Coop. among an anon. group protected Bitcoin during failures of decentralization

arxiv.org

4 points·snapcaster··6 comments

This paper is really interesting. Apparently there were opportunities for miners to 51% attack the network multiple times but each time didn't take advantage of it

The whole 51% really isn't too practical in reality. It means you can overwrite some transactions. While losing the mining rewards too for the period.

So first you need big enough transaction that makes it worth the resources spend. That is doing more work. And that transaction needs to be such that if it gets reversed the other party can't take other avenues to claim value back.

If I understand correctly, that means that one group of miners controls 51% of the bitcoin, and they could use that to take over 100%. But if they did, what's the value of a bitcoin? Once they've proven that they are both able and willing to rip off all other owners, who else wants to have any bitcoin?

Not controls 51% of the bitcoin, that itself wouldn't be enough. It's 51% of the mining power at any one point in time. I agree, I also wonder how much of that was due to lack of ability to short the price of bitcoin at the time. Nowadays you could maybe profit even if you totally destroyed the bitcoin network and made your own mining hardware worthless?

Fails to cite other important papers and results.

I only casually follow this stuff, do you have some links or other related info? I would be interested in reading more about this but don't really have any existing knowledge of the field

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