Qubic’s 51 Percent Attack on Monero Sparks Security Fears for Dogecoin and PoW Networks

Qubic's 51% Attack on Monero: Dogecoin Targeted Next

The blockchain world has been shaken by a recent 51% attack on Monero, orchestrated by the AI-focused crypto project Qubic. According to BTC-ECHO, a miner faction managed to control over half of Monero's network hashrate, disrupting block production in what appeared to be a demonstration of power rather than a malicious attack. Qubic described the event as a "proof-of-concept," utilizing a sophisticated selfish mining strategy that allowed their pool to secretly mine and withhold blocks. This resulted in a disproportionate share of block rewards and, ultimately, network consensus.

Qubic stated that their end goal is to secure the Monero protocol through their miners, channeling rewards via Qubic pools to create higher incentives for Monero miners. Notably, Qubic's founder, Sergey Ivancheglo, announced on X that Dogecoin is the next target for a similar attack. The incident led Kraken to temporarily pause Monero trading as a precaution.

• Qubic's attack was a demonstration, not a full protocol takeover.
• Dogecoin is now in Qubic's crosshairs, as confirmed by its founder.

Key Takeaway: Qubic's actions highlight vulnerabilities in Proof-of-Work blockchains and signal potential risks for other major networks like Dogecoin. (Source: BTC-ECHO)

Kraken Suspends Monero Deposits Amid 51% Attack Claims

BeInCrypto reports that Kraken, one of the world's largest crypto exchanges, has suspended Monero (XMR) deposits following Qubic's claim of majority network control. While deposits are paused, trading and withdrawals remain operational. Qubic claimed to have reorganized six blocks and orphaned about sixty others during a two-hour window, mining approximately 80% of network blocks and generating around 750 XMR and 7 million XTM.

However, the Monero community disputes Qubic's claim, arguing that the pool never exceeded 35% of the network hashrate and instead used a selfish mining strategy. Despite the controversy, Monero's price surged by over 10% within 24 hours, reaching approximately $264, indicating renewed investor confidence.

• Kraken paused deposits as a precaution, but trading and withdrawals continue.
• Monero's price rebounded despite the attack and ongoing debate.

Key Takeaway: The incident underscores the importance of decentralization in mining and the resilience of Monero's market, even amid security concerns. (Source: BeInCrypto)

Qubic Community Votes to Target Dogecoin Next

According to Cointelegraph, the Qubic community held a vote to determine which ASIC-capable Proof-of-Work blockchain should be the next target for a 51% attack. Dogecoin (DOGE), with a market capitalization exceeding $35 billion, received over 300 votes—more than any other network. Qubic's successful attack on Monero, which involved reorganizing six blocks after a month-long struggle for hashrate dominance, has raised alarms about the security of major PoW blockchains.

The Qubic mining pool currently holds a hashrate of approximately 2.32 GH/s, as per MiningPoolStats. Despite the attack, Qubic stated that Monero's core functionality—privacy, speed, and usability—remained unaffected. Kraken responded by suspending Monero deposits, citing potential risks to network integrity.

• Dogecoin was chosen as the next target for a 51% attack by Qubic's community.
• Kraken suspended Monero deposits but allowed trading and withdrawals.

Key Takeaway: The Qubic community's decision to target Dogecoin highlights the ongoing threat to large PoW blockchains and the need for robust network security. (Source: Cointelegraph)

Kraken's Security Measures and the Psychological Impact on Monero

The Coin Republic details Kraken's decision to pause Monero deposits after observing a high concentration of mining power in a single pool, Qubic. While Qubic publicly claimed to control over 50% of Monero's hashrate, independent data measured their share between 35% and 38%. In certain periods, Qubic mined more than half of the blocks due to selfish mining tactics, which can create the illusion of greater control.

A review found that out of 699 blocks, 250 were linked to Qubic, representing about 35.7%. Analysts also noted a 50% increase in Monero's total hashrate, suggesting Qubic injected new energy into the network. The episode has sparked discussions about future security measures, including better coordination among miners and potential changes to Monero's RandomX mining system.

• Kraken paused deposits as a security measure; trading and withdrawals were unaffected.
• Qubic's tactics raised both technical and psychological risks for Monero.
• Community debates focus on decentralization and mining system updates.

Key Takeaway: The incident exposed not only technical vulnerabilities but also the psychological dynamics of miner behavior and network trust. (Source: The Coin Republic)

Industry Response and Concerns Over Centralized Hashrate

FinanceFeeds reports that Kraken's suspension of Monero deposits followed evidence that a single mining pool had gained majority control of the network's hashing power. This allowed the pool to potentially reorder transactions and attempt double-spending. Qubic, the responsible entity, claimed to have reorganized six blocks and temporarily lost its lead after a DDoS attack reduced its hashrate from 2.6 GH/s to 0.8 GH/s, but later regained majority control.

The event has intensified concerns about the centralization of mining power and its impact on Monero's core values of privacy and censorship resistance. Observers warn that as mining becomes more competitive, smaller miners may be priced out, increasing the risk of dominance by powerful pools. Kraken has not specified when deposits will resume but continues to monitor the situation closely.

• Kraken's action highlights the risks of hashrate centralization.
• Qubic's involvement has drawn attention to the need for decentralized mining.

Key Takeaway: The Monero incident demonstrates how concentrated mining power can threaten even established privacy coins, prompting exchanges and communities to reassess security protocols. (Source: FinanceFeeds)

Sources:

• Nach Netzwerkattacke auf Monero: Dogecoin ist nächstes Ziel
• Kraken setzt Monero-Einzahlungen nach mutmaßlichem 51%-Angriff von Qubic aus
• Qubic Community übernimmt Monero (XMR): 51-Prozent-Angreifer nimmt nun Dogecoin (DOGE) ins Visier
• Monero 51% Angriffsdrohung: Kraken setzt Einzahlungen als Vorsichtsmaßnahme aus
• Kraken pausiert Monero-Einzahlungen, nachdem Miner die Mehrheitskontrolle übernommen hat
• Monero Einzahlungsstopp: Kraken reagiert auf 51%-Angriff