Concerns regarding a 51% attack on Monero have arisen after Ledger's CTO Charles Guillemet reported a takeover by the Qubic pool.
Qubic's Control Over Monero Network
Charles Guillemet stated that the Qubic pool has been increasing its share of Monero's mining power for several months. Now Qubic holds more than half of the network's hashrate, allowing it to alter transaction records, block payments, or double spend. He noted that earlier in the day, he observed a significant chain reorganization, indicating that the takeover has started.
Market Consequences for Monero
The onset of the attack has sparked panic in the market. Monero's price dropped by 13%, currently trading at $247.43. Guillemet warned that maintaining control over the network could cost around $75 million per day, but this could also discourage other miners and significantly reduce trust in the network.
Comparison of Monero and Qubic
It is noteworthy that Qubic is a separate blockchain ranked 222nd on CoinMarketCap, with a market capitalization of about $300 million. In contrast, Monero is in the top 30 cryptocurrencies, valued at approximately $6 billion. Guillemet described the situation as a $300 million chain taking control of a $6 billion chain.
The situation concerning Monero demonstrates the fragility of even well-established blockchains when too much power is concentrated in one group. The potential repercussions could affect not only Monero users but the broader market as well.
