ETC Labs CEO Outlined Main Threat to Proof-of-Work Algorithm
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Main page News, Ethereum, Blockchain, Hacker Attack

In a recent interview Forkast.News, ETC Labs CEO, Terry Culver, shared main concerns regarding rental hash power against the proof-of-work mechanism, the consensus used is the Ethereum Classic blockchain.

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Culver admitted that security in terms of Ethereum Classic "is an issue."

"And we believe and know that other blockchains get attacked more regularly, maybe with less visibility. It is a universal problem," Culver added.

ETC Labs previously reported that the crypto market is suffering manipulations from hash rental platforms such as NiceHash despite the strict regulation implemented through the KYC/AML policies.

"Considering how important hash rate is to the security of Proof-of-Work blockchains, this is a serious vulnerability for the blockchain ecosystem as a whole," ETC Labs wrote in an official blog post.

ETC Labs CEO highlights that despite the fact the cryptocurrency market is maturing, the hash rental market also does not lag behind.

Culver believes the rental hash providers are basically money launderers.

"So you could take your BTC from ill-gotten gains, rent hash power, and get out freshly-minted tokens with no provenance — it is actually an incredible vulnerability in the system, if it wants to mature," he added.

In August, cryptocurrency exchange OKEx admitted the possibility of delisting Ethereum Classic (ETC) after the blockchain network of the asset suffered two separate 51% attacks.

Ethereum Classic Experiences Third 51% Attack

The exchange said it had suffered a loss of approximately $5.6 million in ETC as a result of the attack.

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