Five companies out of China control nearly half of Bitcoin’s computing power, according to a new report released Friday by blockchain analysis firm TokenAnalysis. As a result, Bitcoin’s “trustless network” continues to erode as mining power concentrates into the hands of a few.
Ethereum Classic, the cryptocurrency created after the main Ethereum developers led by Ethereum founder Vitalik Buterin split off in a June 2016 hard fork to reverse the theft of $55 million in coins, suffered another loss this week. On Jan. 5, a miner or group of miners managed to gain control of more than half of the Ethereum Classic mining power, or hashrate, in what is called a “51% attack.” This gave them the ability to double spend ETC coins—basically spending a newly created coin and then forking the ETC blockchain, allowing them to cancel the transaction and be able to spend that coin again. Called a deep chain reorganization,…