Breaking: Kraken Halts Monero Deposits Following 51% Attack—Qubic Pool Under Scrutiny
Crypto exchange Kraken slams the brakes on Monero deposits after a 51% attack rocks the network—with fingers pointing at Qubic Pool.
Here's what went down:
• Kraken's security protocols triggered an automatic freeze when anomalous chain activity was detected
• The attack exploited Monero's mining algorithm—exposing vulnerabilities in its ASIC-resistant design
• Qubic Pool's hash rate dominance raised eyebrows, though no formal accusations have been made
The fallout? Another black eye for privacy coins in their endless boxing match with regulators. Meanwhile, Bitcoin maximalists are smugly sipping coffee—because apparently, 14-year-old code never needs security patches (wink).
Kraken steps in as a precaution
Kraken said in a statement that Monero deposits had been paused as a security measure:
“As a security precaution, we have paused Monero (XMR) deposits after detecting that a single mining pool has gained more than 50% of the network’s total hashing power. This concentration of mining power poses a potential risk to network integrity. We are actively monitoring the situation and will resume deposits once we determine it is SAFE to do so. Trading and withdrawals for XMR remain fully operational.”
Privacy coin under pressure
Monero, launched in 2014, is known for its strong privacy features. Unlike Bitcoin and Ethereum, Monero conceals the sender, receiver, and transaction amounts, making it a preferred choice for users seeking anonymity. While these features drive adoption among privacy advocates, the network’s smaller hashrate compared to top-tier blockchains has long left it vulnerable to majority attacks.
The recent exploit underscores these risks, highlighting how concentrated mining pools can temporarily undermine the integrity of privacy-focused networks.
