Why You Need To Be Hyper Aware Of What Crypto You Invest In Next
Doge coin is going nuts up to $0.62 as of writing this. I have a feeling we are about to see a mass flow of money out of doge into other projects. In fact I sold some myself and invested in Hive and some Hive tribes with my meme money!
I wanted to take a moment and talk about why you need to by hyper aware of how blockchains work and the very real risks of some of them.
As many investors are looking for the next 300%+ gain crypto again some have turned to what looks like Ethereum classic and Bitcoin Cash.
ETC is up 223% in the last 7 days and Bitcoin cash up 38% in the last 7 days Both seem to be into a sell off however as some funds move around.
What you need to be very aware of is that these are POW Proof Of Work blockchains. Much of which have LOW and I'm talking very low amounts of miners and hashing power.
This puts many of these at high risk of 51% attacks.
In fact Ethereum classic suffered three of these attacks last year and at a current mining hash rate of just 27.55TH/s Ethereum is at 626.21 TH/s show's how clearly easy it is for this network to hit a major attack again.
Take bitcoin for example. Bitcoin cash hash rate is 2.96 EH/s by the way you can look up these hash rates at any time here
While bitcoin is a massive 159.75 Eh/s you can clearly see how very real many of these smaller cryptos which people are pumping are at serious risk.
This only applies to POW Proof Of Work cryptocurrencies.
What is a 51% attack?
A 51% attack means that person or persons now controls the entire block chain. Meaning they become the validator of all transactions that take place on the blockchain.
If this happens they could credit their own accounts with free crypto such as diverting all transactions to their wallet. In fact this happened to Ethereum classic at least 3 times last year in which in one case over 2 days worth of blocks were able to be changed creating a 9 million dollar double spend on the blockchain.
A 51% hack happens and it happens more often than you might think on these lower end block chains so please be very aware of this when investing and moving your crypto around on POW blockchains.
Posted Using LeoFinance Beta
