ETC Hack Update: What does this teach us?
Recently Ethereum Classic was hacked on the Gate.io exchange and it was reported that the hacker took close to $1 million worth of coins. Unfortunately stories like this are becoming all too common. What is nowhere near as common? Coins being returned after the hack!
The recent ETC 51% hacker has returned $100k worth of ETC back to https://t.co/8kWqgDWNXb on the 10th of January. We have raised the ETC confirmation number to 4000 and launched a strict 51% detection for enhanced protection.— gate.io Exchange (@gate_io) January 12, 2019
See details: https://t.co/xX8cVIWdC2 pic.twitter.com/MUQX3hpMPV
First of all, stop giving us the Fiat value for reports like these. The volatility is too crazy for me to understand what was taken and returned. None the less some, not all, but some were returned in a possible lesson trying to be taught by a not so white hacker. So what can we learn from this?
On The Coin Boys, a cryptocurrency podcast, we had the pleasure of talking to Roc Zacharias (@CryptoRocky) with Lunar Digital Assets about the news. He bought up an excellent point on the podcast (which you can listen to at the top of this article) on how this is a huge lesson on hashrate.
If you are similar to us on the Coin Boys, you know we don’t come from a technical background. Sometimes big words can scare us and one of those words was hashrate. Hashrate is needed for any blockchain project, and it should be high. The smaller the hashrate, the more susceptible to 51% attacks the coin can be.
This bear market is showing us exactly how much we can lose at any given moment, and to add to that, now we need to protect our investment from the equivalent of train robbers in the wild west. I know, the comparison has been made so many times, but I figured it was easier to understand this way. If you don’t like that comparison I’ll use this one… Now we need to protect our investment from the equivalent of Yondu and The Ravagers in Guardians of the Galaxy!… There you happy now?
The point is we need to be careful when buying into those small tokens and coins. They may seem like a good deal to some of you, but just beware because you’re putting a lot of trust into the project that hasn’t proven itself yet..
Roc also pointed out how even though this was pretty bad news, ETC didn’t take as big of a hit as other coins did in the past by dropping only a few percentage points. Which is a pretty standard Tuesday for cryptocurrency. It brings hope for future occurrences like these, and maybe we have stabilized a bit on this crazy ride.
As always time will tell what will happen, and we must keep a lookout for ourselves and each other. Feel free to comment below, and don’t forget to subscribe, rate and review the Coin Boys on Itunes, SoundCloud, or Google Play. Also please leave us a message on Any Social Media @coinboyspodcast, or leave a voicemail at 424-372-7437. We would love to hear from you.