The number of altcoins in the market has grown dramatically in recent times. With this comes an increased possibility of bad actors entering the space.
Mining rental services allow entities to temporarily access huge quantities of mining power and overwhelm network miners, leading to the much feared 51% attack.
Several coins have already been attacked by this method in 2018, with millions of coins being stolen and in some cases performing an emergency hard-fork and switching from Proof-of-Work to Proof-of-Stake.
What is a 51% attack?
A 51% attack is where a single entity gains control of over 51% of the network hashrate, therefore allowing that entity to have complete control of the transactions recorded on the network. This can quickly lead to the controlling entity sending a deposit to an exchange, selling the coin and withdrawing, reversing the transaction and spending it again.
The pervasive use of the Ethash Proof-of-Work algorithm among many cryptocurrency platforms has…