Qubic Conducts 51% Attack on Monero Network Mined 750 XMR and 7M XTM

A cryptocurrency mining pool and altcoin project, Qubic, has published a preliminary report on a 51% attack it conducted on the Monero (XMR) network as part of an experiment. The report detailed how Qubic temporarily gained control of 52% of the Monero network’s global hash rate, allowing it to manipulate the blockchain. During the experiment, six block reorganizations occurred, and 60 blocks were orphaned. Over two hours, Qubic mined approximately 80% of the blocks on the network, leading to the extraction of 750 XMR and 7 million XTM [1].

The report also highlighted the economic outcomes of the attack. The newly mined XTM, combined with previously unsold Tari tokens, totaled 17.2 billion QUBIC, valued at roughly $55,000. Additionally, miners and hash rate contributors received 62.2 billion QUBIC in rewards, equivalent to about $200,000. During the experiment, the network reached a peak hash rate of 2.71 gigahashes per second, representing 52% of the total network capacity, and a total of 5,506 Monero blocks were mined [1].

Qubic stated that its mining operations are currently four times more profitable than Monero mining, based on internal analysis. The company emphasized that the 51% attack experiment remains ongoing, with independent experts evaluating its broader implications for the Monero network. The attack raises concerns about the security of proof-of-work (PoW) blockchains, particularly for smaller or less-secure projects, as hash power concentration can lead to significant vulnerabilities [1].

The incident underscores the risks associated with centralized mining power in the cryptocurrency ecosystem. While Qubic has not provided investment advice, the experiment highlights the need for stronger decentralization and improved security measures in blockchain networks. The outcomes of this experiment may influence investor confidence in altcoin projects and prompt further scrutiny of network resilience in the face of potential attacks [1].

Source: [1] Company That Hijacked Network by Launching 51% Attack on Surprise Altcoin Publishes Attack Report (https://en.bitcoinsistemi.com/company-that-hijacked-network-by-launching-51-attack-on-surprise-altcoin-publishes-attack-report/)