Attackers who have taken control of the Ethereum Classic network are reported to have received 807,000 ETCs.
We recently reported that Ethereum Classic may face a 51% Offensive. A recent analysis shows that this attack is far from a simple glitch and hackers make millions of dollars in money.
According to the analysis of the blockchain data intelligence company Bitquery, the attack between July 31 and August 1, seized 807 thousand 260 ETC worth $ 5.6 million. It is stated that the attackers spent 17.5 BTC, that is, about 200 thousand dollars, on the hash power they use to perform the attack.
What hackers get is not limited to just that! They also won 13,000 ETC as a mining award.
In the attack that continued for four days, a total of 4 thousand 280 blocks were excavated.
On the other hand, the attackers stole 807 thousand ETC through double spending from the wallet of a stock exchange and pulled a few wallets of their own. This exchange is estimated to be OKEx, one of the popular cryptocurrency exchanges. Anchain.ai CEO Victor Feng confirmed that the address drawn from hundreds of thousands of ETCs belongs to OKEx. The hash power required for the attack was hired through Nicehash.
What is double spend?
Double spending means the same funds are spent on two different buyers at the same time. Reaching more than 50% of the control of the network, the attacker sends the same coins to both their wallets and cryptocurrency exchanges, that is, they make two different transactions with the same money. Then, the money they have deposited in the exchanges is quickly withdrawn and the first transaction is canceled. In this way, exchanges are defrauded by the method called double spending.
You went to Starbucks and bought a coffee for $ 10. You paid in cash. Now your $ 10 is in Starbucks’s safe. You can’t spend the same 10 dollars elsewhere, but unless you steal!
Ethereum Classic is a digital currency, not a cash. Therefore, there is a possibility of copying and re-publishing of transactions on the network. In the example of Starbucks, you paid cash, the payment was instantly approved and verified by another person. In digital currencies like ETC, double spending may occur if this verification mechanism is missing. This is also possible when the control of the network is taken over.