Verge Experiencing Protocol Attack, Minting $1,000 worth of XVG by the Minute

Verge Experiencing Protocol Attack, Minting $1,000 worth of XVG by the Minute

Altcoins News
May 22, 2018 by Henrik Bliss
1757
  Verge cryptocurrency is suffering a severe miner network attack through a protocol exploit that allows the hacker to print out some $1,000 worth of XVG every minute. According to a report, the bug is similar to the one exploited just last month which was described as ‘time malleability’ at the time. XVG blocks are
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Verge cryptocurrency is suffering a severe miner network attack through a protocol exploit that allows the hacker to print out some $1,000 worth of XVG every minute.

According to a report, the bug is similar to the one exploited just last month which was described as ‘time malleability’ at the time. XVG blocks are mined by using a different algorithm for each block. However, due to several bugs in the XVG code, hackers exploit this feature by mining blocks with a false timestamp.

All the miner had to do was to provide a ‘spoofed’ timestamp on the block that was an hour earlier than the actual time. The XVG protocol would then think that the last block mined on that algo was one hour ago. In the subsequent block with the current time, the protocol would allow this ‘fake’ block to be added to the main chain as well.

It seems the bug was not completely fixed last month, with some users  describing the previous attempts to end the exploits as only a ‘Band Aid’. At the moment, the hacker is reportedly using two algorithms at the same time to mine several blocks per minute.

According to the report, the bug has been running for at least ten hours when the first report of suspicious orphan rates was made. 12 hours ago, the verge team issued a statement, saying it would resolve the issue as soon as possible.


However, the attack is still on-going, with some 20,000 bad blocks produced.  A reddit user said of the attack:

Earliest block I found as a starting point is 2,155,913. https://prohashing.com/explorer/Verge/ still shows the current growth of the blockchain at around 25 blocks per minute resulting in 18250XVG or 950$ per minute for the attacker.

Currently sitting at around 650.000$ worth of XVG.

XVG is down more than 7% in past 24 hours with the rest of the crypto market which has been experiencing a dip in prices. At the time of writing, XVG was trading for $0.050.

 


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