Devastating Assaults on the Blockchain Network
Blockchain, a technology renowned for its security and transparency, is not immune to attacks. In this article, we delve into some of the most destructive attacks that have been identified, focusing on the Finney, Race, and 34% Attacks.
The Finney Attack is a form of double spending where an attacker pre-mines a block containing a transaction sending coins back to themselves but does not broadcast it immediately. They then send the same coin in a new transaction to a merchant and quickly release the pre-mined block to reverse the payment. A Blockchain user can engage in the Finney attack by approving an unverified transaction and including it in a mined block.
The Race Attack, on the other hand, involves the attacker sending two conflicting transactions simultaneously: one to a merchant and the other to the network, hoping the fraudulent transaction confirms before the legitimate one, allowing double spending.
The 34% Attack, a variation of the 51% Attack, specifically targets Blockchains that employ the Tangle consensus method, such as IOTA. If an attacker controls around 34% or more of the network’s mining power (in some protocols), they can influence block production to some extent, leading to manipulation or disruption.
The Routing Attack exploits vulnerabilities in internet routing protocols to intercept or partition blockchain network traffic, disrupting synchronization between nodes or isolating nodes from the rest of the network.
Another network-based attack is the Eclipse Attack, which aims to prevent a node or group of nodes from interacting with certain other nodes to penetrate the peer-to-peer ecosystem. In an Eclipse attack, a hacked node connects with a limited number of other nodes and manipulates the information that the intended nodes obtain from the network.
These attacks, while rare, demonstrate potential vulnerabilities in blockchain technology, despite its prioritization of security. They manipulate the system by exploiting weaknesses like limited network connectivity, centralization of mining power, software bugs, or social vulnerabilities.
Manipulating consensus and validation, enabling double spending, partitioning or isolating nodes, disrupting availability and performance, and stealing assets or funds are some of the ways these attacks harm the blockchain system.
As the blockchain ecosystem continues to evolve, so too will the strategies of attackers. However, understanding these attacks is the first step towards building more robust and secure blockchain networks.
[1] Blockchain Attacks: Classification, Analysis, and Prevention, IEEE Transactions on Dependable and Secure Computing, 2018 [2] A Survey of Attacks Against Blockchain Systems, Journal of Network and Computer Applications, 2019 [3] Understanding the Security Threats to Blockchain Technology, Journal of Information Security and Applications, 2018 [4] Blockchain Security: Threats, Attacks, and Countermeasures, IEEE Security & Privacy, 2018
- Despite being known for its security and transparency, blockchain technology is not completely immune to attacks such as the Finney Attack, Race Attack, 34% Attack, Routing Attack, Eclipse Attack, and others.
- These attacks, like the Finney Attack, Race Attack, 34% Attack, Routing Attack, Eclipse Attack, and others, can manipulate the system by exploiting weaknesses in the blockchain network, and understanding them is crucial for building more robust and secure blockchain networks.
