Why 51% hashrate is a good thing - page 2.

bitsmichel

sr. member

Activity: 518

Merit: 250

Quote from: ClutchThese on June 13, 2014, 09:27:37 AM

Quote from: david123 on June 13, 2014, 09:21:39 AM

Quote from: bitsmichel on June 13, 2014, 09:02:37 AM

if a single entity contributed the majority of the network’s mining hashrate, they would have full control of the network and would be able to manipulate the public ledger (blockchain) at will. http://learncryptography.com/51-attack/

This is just wrong. Having 51% (or better: 50,0001%) just opens up the possibility of pushing through a fork, e.g. double-spending your own(!) coins.
And there's no way they could do so in secret. Hell would break loose within hours if not minutes. Ghash.io could only hurt itself
with such an attempt.

To have full control and freely manipulate the public ledger you need 100% and all private keys.

I understand that it looks a bit nasty that ghash.io grew that big, but I don't see how this poses a serious threat at this point..

I'd have to agree with you for the time being. Obviously, it's not good to "trust" any site. But i highly doubt anything will happen. They're making WAY too much money off having this much control of the network.

ok, had copied it from the site

Makes sense they can't spend the money without owning the private keys

ClutchThese

sr. member

Activity: 448

Merit: 250

Quote from: david123 on June 13, 2014, 09:21:39 AM

Quote from: bitsmichel on June 13, 2014, 09:02:37 AM

if a single entity contributed the majority of the network’s mining hashrate, they would have full control of the network and would be able to manipulate the public ledger (blockchain) at will. http://learncryptography.com/51-attack/

This is just wrong. Having 51% (or better: 50,0001%) just opens up the possibility of pushing through a fork, e.g. double-spending your own(!) coins.
And there's no way they could do so in secret. Hell would break loose within hours if not minutes. Ghash.io could only hurt itself
with such an attempt.

To have full control and freely manipulate the public ledger you need 100% and all private keys.

I understand that it looks a bit nasty that ghash.io grew that big, but I don't see how this poses a serious threat at this point..

I'd have to agree with you for the time being. Obviously, it's not good to "trust" any site. But i highly doubt anything will happen. They're making WAY too much money off having this much control of the network.

BitCoinDream

legendary

Activity: 2394

Merit: 1216

The revolution will be digital

Quote from: david123 on June 13, 2014, 08:55:54 AM

Quote from: BitCoinDream on June 13, 2014, 08:34:03 AM

In the pie chart below, I dont see deepbit anywhere around at this moment. What happened to them ?

They are history, and for a reason. They still owe me coins, I never got an answer to
my mails. I think at some point the owner decided to completely stop caring about his pool.

Can u please point me a link to that history ? Were they on this forum ? I would like to know more about them...

david123

legendary

Activity: 1022

Merit: 1004

Quote from: bitsmichel on June 13, 2014, 09:02:37 AM

if a single entity contributed the majority of the network’s mining hashrate, they would have full control of the network and would be able to manipulate the public ledger (blockchain) at will. http://learncryptography.com/51-attack/

This is just wrong. Having 51% (or better: 50,0001%) just opens up the possibility of pushing through a fork, e.g. double-spending your own(!) coins.
And there's no way they could do so in secret. Hell would break loose within hours if not minutes. Ghash.io could only hurt itself
with such an attempt.

To have full control and freely manipulate the public ledger you need 100% and all private keys.

I understand that it looks a bit nasty that ghash.io grew that big, but I don't see how this poses a serious threat at this point..

BitCoinDream

legendary

Activity: 2394

Merit: 1216

The revolution will be digital

Quote from: joshraban76 on June 13, 2014, 08:57:14 AM

May I understand, why there is a panic of 51% hash rate reached, I still can't get the point.

Suppose u & me has made a deal that I'll give u 1 BTC and u'll sell me a website. Now, if I have understanding with the 51% hash power holder GHash.IO, I can send u 1 BTC, take your website's credentials, again send 1 BTC to GHash.IO. GHash.IO will accept the 1 BTC I sent to them and not u. Now they can send me back 0.5 BTC. So, in effect I get my job done with 0.5 BTC, whereas I am supposed to pay 1 BTC.

bitsmichel

sr. member

Activity: 518

Merit: 250

Quote from: joshraban76 on June 13, 2014, 08:57:14 AM

May I understand, why there is a panic of 51% hash rate reached, I still can't get the point.

if a single entity contributed the majority of the network’s mining hashrate, they would have full control of the network and would be able to manipulate the public ledger (blockchain) at will. http://learncryptography.com/51-attack/

GHash is at 45% now https://blockchain.info/pools?timespan=6hrs

joshraban76

sr. member

Activity: 252

Merit: 250

May I understand, why there is a panic of 51% hash rate reached, I still can't get the point.

david123

legendary

Activity: 1022

Merit: 1004

Quote from: BitCoinDream on June 13, 2014, 08:34:03 AM

In the pie chart below, I dont see deepbit anywhere around at this moment. What happened to them ?

They are history, and for a reason. They still owe me coins, I never got an answer to
my mails. I think at some point the owner decided to completely stop caring about his pool.

lg15x

hero member

Activity: 728

Merit: 500

I have to sell some bitcoin for peercoin now for avoiding some risk. Hopefully we can get through.

BitCoinDream

legendary

Activity: 2394

Merit: 1216

The revolution will be digital

Quote from: Meni Rosenfeld on June 13, 2014, 08:21:20 AM

Deepbit had over 50% before.

In the pie chart below, I dont see deepbit anywhere around at this moment. What happened to them ?

BitCoinDream

legendary

Activity: 2394

Merit: 1216

The revolution will be digital

Quote from: PetePete on June 13, 2014, 08:16:12 AM

I know everyone is freaking out and alarm bells should be ringing, but correct me if im wrong there has never been a 51 hash rate reached before? If so its perfect timing that this is happening now, we get to see with our own eyes what happens with the protocol once a 51% hashrate is reached before Bitcoin goes mainstream. Its all part of the experiment. Im sure this issues will be resolved and we may never reach 51% again. In the mean time the price is dropping as people are panic selling. I say now is the time to buy

At the bare minimum HODL!

I am reading how this issue can be resolved - by Gavin

Meni Rosenfeld

donator

Activity: 2058

Merit: 1054

Deepbit had over 50% before.

ljudotina

legendary

Activity: 1260

Merit: 1029

Quote from: PetePete on June 13, 2014, 08:16:12 AM

I know everyone is freaking out and alarm bells should be ringing, but correct me if im wrong there has never been a 51 hash rate reached before?

Not true, happened before....noone exploded or died because of it....

PetePete

newbie

Activity: 43

Merit: 0

Wouldn't this also be a good opportunity to implement any changes for efficiency issues to the protocol now that mining power is cornered?

PetePete

newbie

Activity: 43

Merit: 0

I know everyone is freaking out and alarm bells should be ringing, but correct me if im wrong there has never been a 51 hash rate reached before? If so its perfect timing that this is happening now, we get to see with our own eyes what happens with the protocol once a 51% hashrate is reached before Bitcoin goes mainstream. Its all part of the experiment. Im sure this issues will be revolved and we may never reach 51% again. In the mean time the price is dropping as people are panic selling. I say now is the time to buy

At the bare minimum HODL!

Topic: Why 51% hashrate is a good thing - page 2. (Read 2827 times)