Coin’s stolen 7000 bitcoins, once again verified the “impossible triangle” of the blockchain

Coin’s stolen 7000 bitcoins, once again verified the “impossible triangle” of the blockchain

On May 7, Binance, a well-known cryptocurrency exchange, issued a notice stating that hackers had stolen 7,000 bitcoins from the coin-hot wallet at block height 575012. The currency security indicates that large-scale security vulnerabilities have been discovered in the system. "The hacker community uses a combination of attack techniques, including phishing, viruses and other means of attack; hackers took 7,000 bitcoins in this attack." The currency said that the stolen bitcoin accounted for 2% of its total bitcoin holdings.

The news spread, immediately triggered market turmoil, not only the currency of the company's own token BNB fell more than 10%, but also led to the BTC and other mainstream digital currencies fell more than 2%.

In fact, this is not the first time a similar security incident has occurred.

On March 7, 2018, the currency was hacked, and the cryptocurrency in a large number of user accounts was suddenly sold and immediately traded into BTC. Subsequently, hackers used these stolen accounts to buy VIA (Ville) at a high price, causing VIA to be pulled up to 110 times. Undoubtedly, this is an organized and premeditated hacking operation. The failure stems from the hacking of some API robots. Coin Ann immediately announced the suspension of withdrawal of all currencies, but the hacker did not choose to withdraw cash, but on the currency to raise the value of VIA, triggering a chain reaction of other exchange currency prices, hackers then hang from other exchanges Single profit.

At that time, the market was affected by this news and the whole line collapsed. The mainstream currencies plunged by 10% in one hour. The BTC fell below the $10,000 mark and hit a 10-day low of $9,400, a drop of more than 10%.

On July 4, 2018, there was a large withdrawal from the Currency Exchange. Within 2 hours, more than 7,000 BTCs were transferred to the same address, and the news that the currency was suspected of being stolen quickly spread. On the same day, there was a suspicious transaction in the currency security. A SYS that quoted $0.29 in the currency security actually purchased 96 BTCs (worth about $6.23 million). In the early morning of the same day, SYS said that its network may have loopholes, and one billion SYS was taken from a block. The abnormal transaction of the currency security is suspected to be related to the network vulnerability of SYS.

After the news of the stolen stolen goods on July 4, the BTC quickly fell, falling from $6,638 to around $6,447 in one hour, a drop of nearly 3%.

Coin’s stolen 7000 bitcoins, once again verified the “impossible triangle” of the blockchain

In fact, in the blockchain industry, which is known as the pursuit of "safety", similar security incidents have emerged one after another, becoming one of the biggest uncertainties in the development of the industry.

The Mentougou incident that occurred in 2014 is the most influential safety incident to date.

In February 2014, Mt.Gox (Mentougou), the world's largest bitcoin exchange, began to have difficulty in withdrawing cash. The currency holders began to complain, and the emotions continued to ferment on major social networking sites. Until the Mentougou Exchange suspended the withdrawal of Bitcoin for the third time, the user’s trust in the trading platform began to waver, causing the bitcoin price to fall 25%.

Two days later, the price of Bitcoin suddenly plunged 80%, and the problem of withdrawal has still not been resolved. The Mentougou Exchange issued a statement to the problem of trading failures and cash withdrawals to the Bitcoin trading mining software and protocol mechanism.

Just as the users were overwhelmed, a document allegedly inside the Mentougou gave an answer that showed that the Mentougou Exchange had lost nearly 850,000 bitcoins. Just this afternoon, Mentougou completely closed the trading website, and completely annihilated a glimmer of hope from many users.

On February 26, 2014, Mentougou received a subpoena from the Federal Court of Manhattan in New York. On the 28th, Mentougou officially filed a bankruptcy petition with the Japanese court and stated in the document that a total of 850,000 bitcoins were lost (100,000). For the company), this total value at the time was about $475 million.

According to the statistics of relevant institutions, in total, more than 2 billion US dollars were stolen in 2018, and the number of large-scale events exceeded 130 (an average of 3 days together). Blockchain users and project parties have become the "cash machines" of 300,000 hackers around the world. . Among them, the number of exchange security incidents (56.67%) and the amount of losses ($1.344 billion) topped the list; smart contract security and security incidents were rare (6.67%), but the economic loss ratio was extremely high (1.24 billion) USD); DApp, personal wallet, and company servers are all spared.

Coin’s stolen 7000 bitcoins, once again verified the “impossible triangle” of the blockchain

In fact, in the current blockchain technology, there is always an "impossible triangle", that is, it cannot achieve high efficiency, decentralization, and security at the same time. The three can only get two:

1. Pursuing “safety” and “decentralization” cannot achieve “efficiency”. Bitcoin blockchain technology is a combination of technologies that pursue "decentralization" and "security." Each of its nodes downloads and stores all the data packets, making the network democratically autonomous, but it also brings huge storage space loss and verification costs. However, Bitcoin can only process 7 transactions per second, which is far from being able to carry the global currency payment scenario.

2. Pursuing "high efficiency" and "decentralization" requires sacrificing "security." Ethereum is equivalent to a semi-independent multi-chain of isomorphism. The state of the world is shared, but the transaction history is separate. Multi-chaining has chosen “decentralization” and “scalability” and partially sacrificed “security” because the computing power is scattered.

3. The pursuit of “high efficiency” and “security” cannot achieve “decentralization”. In the evolution of blockchain technology, in addition to the public chain, there are also alliance chains and private chains. The alliance chain only allows the pre-set nodes to perform accounting. The joining nodes need to apply and authenticate. This blockchain technology is essentially "partial decentralization" or "multiple" based on ensuring security and efficiency. The compromise of centralization. The private chain has become a completely "centralized" technology.

Currently, major exchanges such as the currency security, fire currency, and OKex are actually highly centralized exchanges. From the previous attack on the exchange, the hackers used mainly the traditional means of attack. At least from the perspective of the exchange, the "security" of the blockchain did not play any role.

Since its inception, blockchain technology has been described as an omnipotent technology that is optimistic that can affect all walks of life and even reshape production relations. However, the "impossible triangle" bottleneck of the blockchain itself has become the biggest obstacle to its development and growth. (The internet)