Ethereum Classic, a fork of Ethereum, was hacked using a 51 percent attack on the coin’s blockchain, with more than $1 million worth of ETH stolen so far.
Ethereum Classic Remains Under Siege
A less popular offshoot of the world’s second largest cryptocurrency is currently in its third day of the siege, as it was hacked using a 51 percent attack on Jan. 5th.
The hack was first noticed by Coinbase, which issued a statement on Jan. 7th saying that it had found “deep reorganizations” of the Ethereum Classic blockchain. Anthony Lusardi, U.S. director of the Ethereum Classic Cooperative, confirmed the news to Bloomberg on Jan. 8th, saying that 12 instances of double spending of Ethereum Classic tokens were noticed so far.
Coinbase has since halted all transactions involving Ethereum Classic, whose value has dropped more than 7 percent following the news of the attack. Kraken soon followed suit, blocking all transactions involving the cryptocurrency.
Mark Nesbitt, a security engineer at Coinbase, told WIRED that the exchange was “very confident” that the double spends are a result of someone taking over 51 percent of the Ethereum Classic network.
Hack Not a Result of ASIC Testing
Ethereum Classic still hasn’t commented on the issue or revealed how it plans on handling the hack. The lack of comment from the coin’s developers caused a slew of misinformation to go around, with some media reporting that there was no double spending associated with the attack.