The Latest in IT Security

A single bitcoin mining network has repeatedly supplied more than half the computational power necessary to mint new bitcoins, undermining the decentralized nature of the digital currency and creating new security concerns. Ars Technica reports on new research from Cornell University showing that GHash, a top mining pool whose leaders are unknown, performed more than 51 percent of all cryptographic hashing on at least five separate occasions beginning June 3rd. GHashs computational feat is significant because an entity with majority control over bitcoin creation — a so-called 51 percenter — gains powers over the network that could undermine its security and reliability. With majority control, a miner could spend the same coins twice, demand higher fees, or even mount a denial-of-service attack on the bitcoin network, according to the researchers. Theres no evidence GHash abused its power while it had majority control, but the mere fact that it has become possible to centralize mining power is a worrisome sign, they said.