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Title: Qubic’s Controversial 51% Attack on Monero: Implications and Reactions
In a surprising turn of events, Qubic, a Layer-1 blockchain, has claimed to have successfully executed a 51% attack on Monero’s network. This operation reportedly led to a six-block reorganisation, replacing 60 blocks that had previously been confirmed. The implications of this bold move have ignited a significant debate within the cryptocurrency community.
An "Experimental" Initiative
Qubic characterised this operation as a “high-stakes technical confrontation.” In their blog post, they outlined how they managed to incentivise Monero CPU mining through their network, effectively gaining control of the majority hashrate. In Proof-of-Work (PoW) systems, achieving 51% control enables attackers to alter transaction histories, block transactions, and conduct double-spending. Historically theoretical, the execution of such an attack puts Monero’s decentralisation and security model under scrutiny.
The crypto community has reacted with mixed feelings. Developers like Luke Parker of SeraiDEX expressed scepticism regarding the validity of Qubic’s claim, arguing that the depth of the reorganisation does not necessarily validate a successful 51% attack. He suggested that such a reorganisation could result from an adversary with substantial hash power simply getting lucky, without definitive proof of an organised attack.
In contrast, others, like SlowMist co-founder Zhong Chenming, suggested that the implications of Qubic’s actions could be far-reaching, empowering them theoretically to rewrite transactions and censor them at a high cost but with uncertain economic advantages.
The Build-Up to Conflict
The roots of this confrontation can be traced back to June 30, when Qubic initiated efforts to incentivise Monero CPU mining using their network resources. The rewards in mined XMR were intended for funding token buybacks and burns, creating a strategic redirection of Monero’s computational power towards Qubic’s interests. Sergey Ivancheglo, the founder of Qubic, openly acknowledged the attempt at takeover, stating that their aim was to reject blocks mined by other pools once they controlled the majority of the hashrate.
The Monero community responded fiercely, allegedly launching a distributed denial-of-service (DDoS) attack on Qubic’s mining pool in late July, which resulted in a drastic reduction of their hashrate—from 2.6 GH/s to just 0.8 GH/s within a six-hour window. This reaction signifies the level of concern surrounding the integrity of the Monero network.
Currently, the XMR token is experiencing turbulence, trading at around AUD 368, marking a drop of 5.2% for the day and over 24% down in the past month.
Conclusion
The confrontation between Qubic and Monero has raised critical questions about the vulnerabilities of PoW networks and what a 51% attack could mean for decentralisation. While some experts view Qubic’s actions as a mere experiment, others believe it highlights serious concerns regarding the security of the Monero network. As discussions continue and the situation unfolds, the impact of this incident may resonate throughout the broader cryptocurrency landscape, prompting deeper reflections on decentralised security and network resilience in the fast-evolving world of digital currencies.
