How is the price https://www.coingecko.com/en/price_charts/bitcoin-gold/usd
still good when this is all over the news?
Bitcoin Gold Hit by Double Spend Attack, Exchanges Lose Millions
261–270 of 555 posts
Re: Bitcoin Gold Hit by Double Spend Attack, Exchanges Lose Millions
#262Earlier quoted context omitted.
The spooky thing that this made me realize, is that if anyone did find a vulnerability in bitcoin (or any cryptocurrency) is that they would have a greater incentive to only slowly leech off the system, because they will be able to siphon out much more over time than if everyone panics over security. The weapon is no good unless it's secret.
Nah, you could short-sell Bitcoin. Take out a sell option, crash the value, buy cheap, then exercise the option. Information is valuable, no matter which direction it predicts the market to go.
I would think a slow-play is significantly easier. For one, it doesn’t require much capital, unlike shorting.
Re: Bitcoin Gold Hit by Double Spend Attack, Exchanges Lose Millions
#263Earlier quoted context omitted.
Not every distributed consensus algorithm is happy with 51%. If you increased the minimum to 60% you’d increase the number of machines the attacker requires by 50%. If 100 machines play fair, >50% requires 101 evil machines, but >60% requires 151 evil machines.
I think you're misunderstanding the meaning behind a 51% attack? An honest network participant will accept the chain with the largest accumulated proof of work. This is necessary to resolve forks of the chain, which are a natural occurrence. A 51% attack means that the attacker can create a chain with more work than the rest of the network. The idea that you can say "we require 60%" makes no sense by itself - you hav…
You're only describing how it works with Bitcoin and other coins that are forked (git-forked) from it.
Some blockchains require a higher amount of consensus to fork (blockchain fork).
Re: Bitcoin Gold Hit by Double Spend Attack, Exchanges Lose Millions
#264What's interesting to me is that the bit game theory that is supposed to make such an attack unprofitable seems not to be holding here. Supposedly the idea that the blockchain was insecure would devalue the coin to such a degree as to disincentive people from attempting these sorts of attacks. I see virtually no movement in the price of BTG and relatively little in XVG (also attacked this week). If anything, the fact…
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Re: Bitcoin Gold Hit by Double Spend Attack, Exchanges Lose Millions
#265When Bitcoin was running up to $20,000, I tried to analyze the system and come to a personal conclusion about its equilibrium value, because I didn't want to miss out if it really was the currency of the future. I ended up not investing, because of the possibility of a double-spend attack. I think that cryptocurrency enthusiasts are seriously underestimating the importance of double-spending attacks to the economics…
> there are certainly organizations with the resources to do it, e.g. intelligence agencies, organized crime
Nation states. Don't forget the large number of sanctioned regimes who would (a) have the resources to execute such an attack and (b) find great profit in doing so.
Re: Bitcoin Gold Hit by Double Spend Attack, Exchanges Lose Millions
#266Earlier quoted context omitted.
Bitcoin hasn't been useful as a currency for a long time. I don't think that's a good measure for determining how an event might affect bitcoin price.
speak for yourself, only thing I cant pay is my mortgage. I have a shift card, bought tacobell with bitcoin.
That's not buying anything with Bitcoin. You are converting your Bitcoin to USD and then purchasing using the traditional, centrally controlled financial system.
And that's not even considering the transactions fees it costs to get the Bitcoin to your account.
Then there are the transaction fees for using the card, which coinbase says is free "for now".
Re: Bitcoin Gold Hit by Double Spend Attack, Exchanges Lose Millions
#267Re: Bitcoin Gold Hit by Double Spend Attack, Exchanges Lose Millions
#268Earlier quoted context omitted.
The spooky thing that this made me realize, is that if anyone did find a vulnerability in bitcoin (or any cryptocurrency) is that they would have a greater incentive to only slowly leech off the system, because they will be able to siphon out much more over time than if everyone panics over security. The weapon is no good unless it's secret.
What about state level actors, say the NSA, that consider bitcoin supplanting the US dollar as the standard medium of international currency exchange a huge threat to the world economy? (or at least their ability to control it) I think people need to be concerned that Governments, at any point of time, with their incomprehensibly huge computation power, can use it to crush bitcoin. Not only that but they can pass law…
> bitcoin supplanting the US dollar
To the extent there is a legitimate threat to dollar supremacy, it is in the Chinese renminbi. The U.S. dollar is ascendant because of the huge base of American consumers, who buy stuff with dollars others then need to find investment for. Plain and simple network effects.
Re: Bitcoin Gold Hit by Double Spend Attack, Exchanges Lose Millions
#269What's interesting to me is that the bit game theory that is supposed to make such an attack unprofitable seems not to be holding here. Supposedly the idea that the blockchain was insecure would devalue the coin to such a degree as to disincentive people from attempting these sorts of attacks. I see virtually no movement in the price of BTG and relatively little in XVG (also attacked this week). If anything, the fact…
>Supposedly the idea that the blockchain was insecure would devalue the coin to such a degree as to disincentive people from attempting these sorts of attacks
The original claim was:
>He ought to find it more profitable to play by the rules, such rules that favour him with more new coins than everyone else combined, than to undermine the system and the validity of his own wealth
what satoshi didn't take into account, is the rise of "cloud mining" services and thousands of competing "alt-coins" using the same hashing algorithm.
Re: Bitcoin Gold Hit by Double Spend Attack, Exchanges Lose Millions
#270Earlier quoted context omitted.
What about state level actors, say the NSA, that consider bitcoin supplanting the US dollar as the standard medium of international currency exchange a huge threat to the world economy? (or at least their ability to control it) I think people need to be concerned that Governments, at any point of time, with their incomprehensibly huge computation power, can use it to crush bitcoin. Not only that but they can pass law…
> bitcoin supplanting the US dollar To the extent there is a legitimate threat to dollar supremacy, it is in the Chinese renminbi. The U.S. dollar is ascendant because of the huge base of American consumers, who buy stuff with dollars others then need to find investment for. Plain and simple network effects.
The RMB is not even fully convertible, it is the opposite of liquid.
The US dollar is useful to countries like china is because the US government acts as a debtor of last resort, allowing them to park surpluses in treasuries.