25 Crypto Networks Vulnerable to ‘Fake Stake’ Attack, are Your Funds at Risk?
In a Proof-of-Stake system, mining is replaced by the commitment of coins. The system uses existing coins to “mint” new coins instead of hashing power. A successful attacker could inadvertently make himself the only recipient of block rewards as well as transaction fees. At a minimum, he could limit the competition pool such that he was gaining disproportionate wealth. Back in October, the researchers began contacting affected cryptocurrencies. They weren’t able to reach all of them. Several of the affected crypto projects have introduced code that makes the attack much harder to perform. However, the researchers prefer the attack eliminated altogether, and still consider them vulnerable. They say that the increase in difficulty of the attack is not an adequate substitute for requiring full validation of data.This design can infinitely increase the resources required to participate in the network as a staking node. Staking nodes in competition with an attacking node might have no inkling as to why their software is failing. The following blockchains have implemented fixes for part of the vulnerability: