US Feds Hack Darkside - Crypto Loses Its’ Kryptonite

[bone]

I cannot honestly say that I know what truly happened in this case - but I’ve always been skeptical about widely touted certainty (crypto security).

Plenty of examples throughout history (the German Enigma Code is unbreakable, the infallibility of the US housing market).

And I certainly wouldn’t bet against DARPA and the NSA.

An interesting thought. Basically all it would take to end all crypto is one step function advance in computing that only one party has access to which enable them to successfully mount 51% attacks. No need to hack anything, just use the blockchain's foundation against it. Not what happened here, but worth thinking about for those talking about replacing national currencies with crypto.

 

[Sprout]

I cannot honestly say that I know what truly happened in this case - but I’ve always been skeptical about widely touted certainty (crypto security).

Plenty of examples throughout history (the German Enigma Code is unbreakable, the infallibility of the US housing market).

And I certainly wouldn’t bet against DARPA and the NSA.

There is a narrative that DARPA and NSA are Satoshi. Perhaps the nuclear power that runs the military is also addressing national security through mining covertly.

Might be a good screenplay.

 

[They]

An interesting thought. Basically all it would take to end all crypto is one step function advance in computing that only one party has access to which enable them to successfully mount 51% attacks. No need to hack anything, just use the blockchain's foundation against it. Not what happened here, but worth thinking about for those talking about replacing national currencies with crypto.

https://twitter.com/x/status/1358880291692154880

 

[MrMuppet]

 

[Sig]

https://twitter.com/x/status/1358880291692154880

"Miners have a lot of skin in the game..."

The crypto world suffers somewhat from a failure of imagination on this one. They assume a 51% attack comes from a cabal of the existing miners, which as pointed out is unlikely. On the other hand, an actor whose sole purpose was to discredit/destroy the crypto concept and who had access to or developed step function increase in computing would have no such compunctions. It's interesting that many in the crypto world are convinced that governments see crypto as an existential threat but don't have the imagination to think that such governments, if they really thought it that much of a threat, couldn't divert a couple percent of their defense budget into doubling the world's mining power and then launching 51% attacks until no one is sure how many times the coin they just bought has been spent before. And make no mistake, that's not an "at best" attack, it makes the currency unusable and you can't just wave your hands with some vague "the ecosystem could reject..." solution to that.

 

[Sprout]

More deets about the seizure

https://www.bleepingcomputer.com/ne...B1WJ4s4I6UR9Wzu34ePtppeY5MC-dPLKcv6GGCFJ_gYPo

 

[Cuddles]

"Miners have a lot of skin in the game..."

The crypto world suffers somewhat from a failure of imagination on this one. They assume a 51% attack comes from a cabal of the existing miners, which as pointed out is unlikely. On the other hand, an actor whose sole purpose was to discredit/destroy the crypto concept and who had access to or developed step function increase in computing would have no such compunctions. It's interesting that many in the crypto world are convinced that governments see crypto as an existential threat but don't have the imagination to think that such governments, if they really thought it that much of a threat, couldn't divert a couple percent of their defense budget into doubling the world's mining power and then launching 51% attacks until no one is sure how many times the coin they just bought has been spent before. And make no mistake, that's not an "at best" attack, it makes the currency unusable and you can't just wave your hands with some vague "the ecosystem could reject..." solution to that.

the quantum computing quandary has been addressed. There are quantum computer resistant algos and plenty other projects have forked in the past when a vulnerability is found.

 

[Sig]

the quantum computing quandary has been addressed. There are quantum computer resistant algos and plenty other projects have forked in the past when a vulnerability is found.

No quantum computing required, with the money and resources needed to build a couple squadrons of 5th gen fighters you can build twice as many conventional mining rigs as are currently in use. Like I said, failure of imagination in the crypto world to see it much differently than it currently is.

 

[They]

No quantum computing required, with the money and resources needed to build a couple squadrons of 5th gen fighters you can build twice as many conventional mining rigs as are currently in use. Like I said, failure of imagination in the crypto world to see it much differently than it currently is.

Well fortunately for us plebeians Bitcoin does not end when the last bitcoin is mined.

Bitcoin is more than code. It is the anti-fragility of the tech teams, the engineers, the protocol experts who adapt to and fight off any and all attacks.

Bitcoin will adapt to threats, especially when many of its profiteers/holders/billionaire activist investors are in positions of power in finance, government and military. There is no lack of imagination entering the DLT and cypto arena. (Israel's best included)

Not looking for an argument with you, as I would risk being on the receiving end of an autistic detailed monologue , which I always enjoy reading. But I have to disagree with the assumption that imagination is lacking in the crypto world. Imagination/Creativity often follows money or vice versa and there is plenty of both in the cryptosphere and more flowing in daily.

BTW, ridiculously over priced 5th generation fighters will most likely end up being defeated by swarms of 50 cent drones.

 

[Sprout]

Well fortunately for us plebeians Bitcoin does not end when the last bitcoin is mined.

Bitcoin is more than code. It is the anti-fragility of the tech teams, the engineers, the protocol experts who adapt to and fight off any and all attacks.

Bitcoin will adapt to threats, especially when many of its profiteers/holders/billionaire activist investors are in positions of power in finance, government and military. There is no lack of imagination entering the DLT and cypto arena. (Israel's best included)

Not looking for an argument with you, as I would risk being on the receiving end of an autistic detailed monologue , which I always enjoy reading. But I have to disagree with the assumption that imagination is lacking in the crypto world. Imagination/Creativity often follows money or vice versa and there is plenty of both in the cryptosphere and more flowing in daily.

BTW, ridiculously over priced 5th generation fighters will most likely end up being defeated by swarms of 50 cent drones.

The imagination and creativity in DeFi is like living in dog years. It moves as fast as those jet fighters when compared to TradFi