OKEx suffered the loss of $5.6 million of the recent attack on ETC network.

[coupable]

The first attack on the ETC network occured last July 31 caused the loss of $5.6 million as revealed by ETC devs and a blockchain analysis firm. In the investigation made by the blockchain analysis firm, it was mentioned that OKEx wallets were involved during the hack. Later this month, OKEx exchange published an article decribing how the attacker used the exchange to purchase and trade ETC and that the exchange suffer the loss of the full hacked amount announced by several investigation parts. In the same article, OKEx clarifies that the loss was fully borne by the exchange and did not cause any loss to its users.
As a result, the exchange suspended all deposits and withdrawals for ETC and plans to delist ETC.

Link to article: https://www.okex.com/academy/en/okex-responds-to-ethereum-classic-51-attacks-reveals-its-hot-wallet-system-incident-report [Must read]

[DoublerHunter]

^ The algorithm of OKEx is weak, so better to change it as soon as possible and secure as they can, the incident might happen again. 5.6 million is easy money for hackers. Does the OKEx, dev figure out who the hell it was?
"If a single malicious miner or group of miners were to gain control of more than 50% of the mining power on the network — in what is known as a 51% attack — then they would be able to alter historical blocks and reverse transactions that they initiated".
Does it mean that Miners can take full control and manipulate the transaction, and they get busted when the double-spending popped out?

[passwordnow]

plans to delist ETC.

They have to if it brought them a disaster, there's no reason for this coin to be listed. Coinbase had a solution for it and that is by delaying the crediting of it to the account of their users. We're going to see only two options for other exchanges that have it.
Delist or delay.

[coupable]

^ The algorithm of OKEx is weak, so better to change it as soon as possible and secure as they can, the incident might happen again. 5.6 million is easy money for hackers. Does the OKEx, dev figure out who the hell it was?

According to the report made by OKEx, the hacker registered five accounts preparing for the hack attempt. Four of them finished level three on KYC (registered from Russia) and one in level two (registered from Hungaria). OKEx promised to continue the investigation by itself and revealed the addresses used by the hacker to send/withdraw ETC and ZEC (used to purchase ETC).

"If a single malicious miner or group of miners were to gain control of more than 50% of the mining power on the network — in what is known as a 51% attack — then they would be able to alter historical blocks and reverse transactions that they initiated".
Does it mean that Miners can take full control and manipulate the transaction, and they get busted when the double-spending popped out?

ETC network has this vulnerability since a long time and this not the first time being attacked in the same way despite the improvement made each time.

[pikkie]

plans to delist ETC.

They have to if it brought them a disaster, there's no reason for this coin to be listed. Coinbase had a solution for it and that is by delaying the crediting of it to the account of their users. We're going to see only two options for other exchanges that have it.
Delist or delay.

well I really agree with what you say because if you only delist at the OKEX exchange but at other exchanges there are still ETC exchanges available then it will be useless if only OKEX delists, so at least do a deeper freeze with the address used to store The thief's ETC will provide one of the best solutions.

[alani123]

plans to delist ETC.

They have to if it brought them a disaster, there's no reason for this coin to be listed. Coinbase had a solution for it and that is by delaying the crediting of it to the account of their users. We're going to see only two options for other exchanges that have it.
Delist or delay.

This is exactly true. Coinbase has a crazy long confirmation requirement for ETC incoming transactions. Last year when I checked it was over 3500 blocks. Which is almost 20 hours based on Ethereum target block time of 20 seconds. This is a good protection against rewrites but after the latest incident exchanges and services might consider raising it even more if they want to keep ETC included.

Funnily enough, in spite of how inconvenient it is to transact with ETC securely, the price hasn't gone through any massive drops.

[coupable]

plans to delist ETC.

They have to if it brought them a disaster, there's no reason for this coin to be listed. Coinbase had a solution for it and that is by delaying the crediting of it to the account of their users. We're going to see only two options for other exchanges that have it.
Delist or delay.

well I really agree with what you say because if you only delist at the OKEX exchange but at other exchanges there are still ETC exchanges available then it will be useless if only OKEX delists, so at least do a deeper freeze with the address used to store The thief's ETC will provide one of the best solutions.

It's not that easy for OKEx to delist ETC because of the large liquidity it has in ETC, having some of the largest ETC transaction volumes in the industry. This is the main reason why the hacker choose it to prepare for his operation, as trading large amounts of ETC isn't available in all the exchanges who listed ETC.

Funnily enough, in spite of how inconvenient it is to transact with ETC securely, the price hasn't gone through any massive drops.

Seems that both two recent attacks occured in exchanges storing big liquidity of ETC. OKEx is one of them and the loss was fully borne by the exchange and did not cause any loss to its users.

[Tipstar]

Only delisting is not a good idea. Okex already falls behind other good exchange on volume and with ETC gone, ETC traders would move on to other exchanges. Exchanges like Binance and Huobi are already leading the ETC trade. If other exchange can keep their ETC safe, so should Okex.
But I'd personally not recommend anyone to hold or trade in ETC, it's still being traded just because some whales hold a good amount. When the dump all their coins, the prices would come crashing.

[pakhitheboss]

Already they have a weak volume and now the hack story will completely dent their reputation and eventually they will lose the trust. It is better to avoid OKEx in the future, if this can happen to one cryptocurrency then it can happen to others too.

[minairia3]

Only delisting is not a good idea. Okex already falls behind other good exchange on volume and with ETC gone, ETC traders would move on to other exchanges. Exchanges like Binance and Huobi are already leading the ETC trade. If other exchange can keep their ETC safe, so should Okex.

Its not that they cant protect it but the concern is their loss as well too. We all knew that its one of the big exchanges and maybe they come up with a solution to lessen the damage made by etc network attack events. Thats true other user would shift exchange but it does not mean they will leave but probably only for etc coin.

So sorry for etc investors probably they are really pissed off right now for back to back bad news including this one.

[elda34b]

It's just a matter of time before ETC got delisted from various exchanges. If they can't solve their 51% attack problem, no one will use it anymore. It's a really terrible decision to even hold them when their network security is questionable.

[DarkDays]

Lmao, why does anybody still use Ethereum Classic?

This thing has been attacked more times than practically any other blockchain I know of.

If it isn't even decentralized enough to keep user money safe, then why on earth is it still being built on or have value?

Good time to short ETC, it's only down from here. Several attacks this year is too much to overcome, especially given that it has no marketing team lol.

[Francis Freeman]

The first attack on the ETC network occured last July 31 caused the loss of $5.6 million as revealed by ETC devs and a blockchain analysis firm. In the investigation made by the blockchain analysis firm, it was mentioned that OKEx wallets were involved during the hack. Later this month, OKEx exchange published an article decribing how the attacker used the exchange to purchase and trade ETC and that the exchange suffer the loss of the full hacked amount announced by several investigation parts. In the same article, OKEx clarifies that the loss was fully borne by the exchange and did not cause any loss to its users.
As a result, the exchange suspended all deposits and withdrawals for ETC and plans to delist ETC.

Link to article: https://www.okex.com/academy/en/okex-responds-to-ethereum-classic-51-attacks-reveals-its-hot-wallet-system-incident-report [Must read]

I read a few months ago that coins which have less Hashing power are suspectable to this kind of attack. I didn't realize ETC had less hash that can be controlled by malicious party.

[SyndicateLabs]

I have seen this article by Okex. Even they say that if ETC does not update their security, Okex will surely delist ETC from their exchange. Btw ETC had a lot of problems with 51% attacks, if I remember correctly they have encountered 3-4 similar attacks in the past 3 years.

[jacafbiz]

This is bad for Ethereum Classic when every major project is looking to move forward the team will now be grounded in this mess. I read a post that said what prevented another hacker from doing the same thing if there is no quick fix to the issue on ground. The best thing they need now is for them to most to POS unlike they want the project to be the next Worldcoin

[Anarchy101]

I have seen this article by Okex. Even they say that if ETC does not update their security, Okex will surely delist ETC from their exchange. Btw ETC had a lot of problems with 51% attacks, if I remember correctly they have encountered 3-4 similar attacks in the past 3 years.

Yep they suffered three 51% attacks in about 2 years 1st one was back in Jan 2019 then now in Aug they suffered two 51% attacks within a week state of the network is not looking good right now. This was official response of Hao “Given ETC’s popularity and standing, we are not rushing into delisting,”

[Metall303]

ETC is an insecure project and I think that after these hacker attacks people will stop believing in this project. I think that soon we will see how the community will begin to get back their money from this coin

[JungleOnion]

I'm concerned how much this could affect ETC's reputation because is not able to protect the very concept it defended back in 2016 when people decided to keep supporting the chain holding the DAO hack. Immutability and decentralization is the core concept of ETC and these attacks show that decentralization is an issue.

[coupable]

ETC is an insecure project and I think that after these hacker attacks people will stop believing in this project. I think that soon we will see how the community will begin to get back their money from this coin

The problem here should be solved by some major updates or forks, for several reasons;
- ETC is a classic project running since years, you could imagine how big the liquidity is. OKEx exchange has a big reserve in ETC so imagine if we stop believing in ETC how big the loss could be.
- Think about apps and protocols developped at top of Ethereum-Classic network, they will be crashed if ETC stop running: https://ethereumclassic.org/ecosystem/apps-and-protocols