They say that third time’s a charm, and there is no argument about it: another attack on XVG can potentially destroy all the credibility of the Dogecoin Dark hard fork which received privacy features. On May 29, 2018 Bitcointalk user ocminer has confirmed early suspicions regarding a third attack on the vulnerabilities of Verge. The claim proved to be controversial, as many supporters of the coin and the lead developer himself attempted to explain that mining had happened within its normal parameters, and any comment regarding a possible attack is nothing but pure FUD.
XVG already has a bad record in terms of security, and some coders blame Justin Sunerok (the lead developer and de facto leader of the coin) for being lazy in his application of the patch – there are even suggestions that the solution against 51% attacks might be plagiarized from Shield’s Github. Nonetheless, the Verge evangelist is convinced and argues that we can only speak of a failed attempt, the blocks had been created at a usual pace, and all the discussion is nothing but an attempt to take down the credibility of the coin.
On the other hand, users point out to unusual activity on the Lyra2 mining algorithm and they claim that attempts to defend Verge are just as misleading and mischievous as previous attempts of blaming the attacks on DDoS activity. It’s clear that the employment of multiple mining algorithms is a vulnerability for XVG, and we should be expecting vulnerabilities to keep on getting discovered and exploited unless the developers take their jobs seriously and proof the mining system of any unfortunate attacks.
After all, a privacy coin must be able to withstand external pressure and hacking attempts in order to remain legitimate on the market among other competitors like Monero, DASH, and Zcash.
So far, Verge has only managed to secure a partnership with Mindgeek. the company behind PornHub and the Brazzers Network, which also offers hosting and search engine marketing services (among others).
The bad news comes just days after webcam models were introduced to the alternative of getting paid in XVG, a situation which would prove to be dramatic if the coin keeps on losing value due to bad news. At press time, according to CryptoCompare data, Verge is trading at $0.038, down from $0.08 earlier this month.
If one coin gets integrated into the mainstream payments system and gains this special utility, then it should at least give the crypto sector a good name by showcasing its advantages. Instead, XVG gives us rollercoaster rides and thrills which affect the entire market. Verge FUD is bad news for all cryptocurrencies and a reminder about the importance of good blockchain security (that only a handful of coins really have).
While there are conspiracy theories regarding Verge’s developers and possible exit schemes (or just quick money grabs), they are most likely untrue – why would anyone who leads a top project which stands out from the other thousands give up in an early phase and ruin his reputation forever just because he was greedy?
Likely, we’re speaking of incompetence and the never-ending story of the tempting honeybag. In this unregulated space, theft is still not punished accordingly, and legislators are far behind with defining what pieces of code should be regarded as: money/property. As such, we should be expecting many more similar events until gurus and evangelists understand that transaction times and low fees are pointless if your coin can get overturned by a bunch of skilled coders who run ASICs.
How can you even suggest that you offer private transfers of digital assets if your blockchain isn’t secure enough to guarantee fair mining? And in the event of multiple 51 percent attacks on the mining algorithms of Verge, we might even see transactions getting reversed and network rules being changed.
This has long passed the level where it’s funny. For the sake of blockchain’s credibility, we should all worry about Verge’s implementation and demand Justin Sunerok to act responsibly and without resorting to quick fixes and an irrational technically-illiterate mob. Communities are nice, but critical thinking is much more appreciated.