On July 3, 2018, Syscoin tweeted stating that atypical blockchain activity was noted from their side as well as they ask for the exchanges to stop all $SYS down payment or withdrawal for that day.
This triggered a lot of confusion in the community with conjectures concerning the hack. Records stated that one billion Syscoin was extracted from a solitary block, despite the total supply being around 888 million. In a current blog post on Tool, Syscoin group said that they take its protection really seriously and that’s why the short-term stop on deposit/withdrawal from exchanges was announced.
See likewise: Binance puts on hold trading, withdrawals and other account functions
The group in the article pointed out that Syscoin was not hacked, compromised or struck, as it was reported. Actually, the reality is “another thing completely”. They released Syscoin 3.0.6 around 10 days earlier. The post mentioned, “The release was an obligatory upgrade dealing with a governance superblock fee calculation bug. Once a superblock with transaction charges was struck, it would not validate clients that hadn’t moved onto the mandatory upgrade.”
On July 3, a substantial rise in the cost and also trading quantity of Syscoin was noted. Before the rate movements on Binance, their team spotted large buy wall surfaces throughout exchanges and observed some irregularities. They saw that the blocks that are being processed were not consisting of deals frequently. Furthermore, masternodes were expiring with the mining trouble dropping due to large miners not mining with their ASICs.
See likewise: The Exponential Growth of Syscoin (SYS) Scents Fishy: SYS Cost Analysis
A Superblock was produced at around 1:00 PM PST, and they mentioned that it was “anticipated as well as planned for weeks in advance”, creating some miner nodes to stop. Post this, a number of big mining swimming pools established fee policies that were greater than the coin’s default price. So, the deals where the requirements were not satisfied, they ended up being “backed up” in the mempool of the chain. Continuous mining by the miners with reduced charge prices with deals being refined in batches, making it appear “larger than regular amounts of Syscoin to be transacted in a solitary block”.
A mechanical engineer turned journalist, Shekar takes a keen interest in the study and analysis of cryptocurrencies and blockchain strategy. With the cryptocurrency world blooming in the recent days, he finds great interest in monitoring their growth and gathering every possible piece of information about them. He works as a crypto-journalist for the website Abstractblockchain.