Is it true that blockchain can not be hacked ?

Blockchain provides great security, which makes it nearly impossible to hack unless you have the means which are very hard to achieve. We are going to look at some examples on how a project deployed in a blockchain could be hacked :

Is it true that blockchain can not be hacked ?

Blockchain provides great security, which makes it nearly impossible to hack unless you have the means which are very hard to achieve. We are going to look at some examples on how a project deployed in a blockchain could be hacked :

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  • The Gold Finger attack( a 51% attack )

This kind of attack involves gathering more than 50% of the total computing power of the network. This allows the attacker to create an alternate chain that will be accepted by other nodes. The attacker will be able to : 

-Delete future transactions by not validating them, since they can’t control the past          transaction that have already been stored in the blockchain. 

– Perform a double spend (the attacker buys an asset, then deletes his transaction).

On the Bitcoin blockchain for example, such an undertaking would require a huge financial investment ( billions of dollars ) to procure the necessary computing power and it would be difficult for the attacker to remain anonymous. Moreover, the hack would be quickly identified: it is unlikely that users would choose to continue on the hacked chain.

  • Securing smart contracts 

Smart contracts are self-executing lines of code with the terms of an agreement between buyer and seller automatically verified and executed, deployed to blockchains. A smart contract makes transactions traceable, transparent, and irreversible.

Smart contracts cannot be modified, the lines of code cannot be changed unless all miners agree. However, it is possible to manipulate the smart contract through the flaws , in order to make it execute to trigger a transaction to a pirate account. This precisely occurred back in August 2021. The attacker compromised a smart contract on the Poly Network platform and transferred a total of $610 million to their Ethereum and BSC addresses.

Of course the technology required to hack an immense blockchain such as Bitcoin is not the same as the up-coming cryptocurrencies which have smaller blockchains, which makes them more vulnerable to such attacks .

Another little chapter on the blockchain..! 

 

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Blockchain for those who have no idea what it is

Have you ever felt old fashioned while your friends or kids talk about blockchain,crypto or other tech stuff?

Blockchain for those who have no idea what it is

Have you ever felt old fashioned while your friends or kids talk about blockchain,crypto or other tech stuff?

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Listen, it is no magic or sorcery, they just happen to be updated with whatever is new but here is the thing, even for those who claim to understand it, blockchain is still a mysterious topic because we’re still very early in the development and widespread adoption of blockchain technology. However, we’re here to help, we got you.

In simple words all cryptocurrencies use blockchain technology to record transactions. For example, Bitcoin and Ether use their own blockchain network.

The difference between a bank network and the blockchain is that the blockchain is decentralized, the bank’s data are centralized in their private network. Decentralized means that nobody owns the blockchain, everyone with his PC can be a part of the blockchain,all the transactions (buy,sale,send and receive token ) are recorded and duplicated through all the network.

Among the advantages of  the blockchain : 

  • No one can change or manipulate the data already recorded in the blockchain; 
  • The network is public so everyone can be a part of it, opposite to the bank which uses the private network, and for a reason or another they can decide to not give you access to your money no more ( Greece crisis , Lebanon crisis , taxe confiscation);
  • All the transaction can be visible to everyone (which could fix the corruption problem);
  • Your assets can be available to you wherever you go in the world and accessible through your smartphone.

There are two different types of technologies of Blockchain , proof of work and proof of stack, this would be the subject of the next article .

That’s it?

Yes, that’s it.

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