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Monero Rallies 7% Despite 18-Block Reorg, 51% Attack Fears

Monero Faces Largest-Ever Blockchain Reorganization After Qubic's 51% Attack, Sparking Security Concerns and Centralization Debate

  • Monero experienced an 18-block blockchain reorganization that reversed about 117 transactions.
  • The reorganization was linked to Qubic, a blockchain mining pool that briefly controlled over 51% of Monero’s network power.
  • Despite security concerns, Monero’s XMR token rose more than 7% after the incident, even as the broader crypto market fell by about 1%.
  • Community members are considering temporary centralization measures such as DNS checkpoints to address repeated attacks.
  • There are ongoing discussions about long-term solutions to prevent 51% attacks, but none have been fully implemented.

On Sunday, the privacy-focused cryptocurrency Monero faced an 18-block chain reorganization that started at block 3,499,659 and ended at block 3,499,676, according to Monero node operators. The incident reversed around 117 transactions and raised concerns within the Monero community about the network’s future security.

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The reorganization followed an earlier six-block chain reorganization last month and was carried out by the team behind Qubic, which is described as a layer-1 Artificial Intelligence blockchain and mining pool. Qubic temporarily held control of more than 51% of Monero’s network computing power, enabling them to reorganize the blockchain.

Cryptocurrency researcher Rucknium confirmed the latest breach on GitHub. Podcaster xenu claimed on X (formerly Twitter) that it was the largest reorganization in Monero’s history. Notably, “Monero’s network is no longer reliable at this point. I’ll stop accepting XMR for payments until this is resolved,” said crypto commentator Vini Barbosa on X.

According to CoinGecko, the price of XMR remained stable during the reorganization, then rose by 7.4% to about $309 from $288 in the hours following, despite a broader crypto market decline.

Community members, including Rucknium, stated that node operators will likely adopt Domain Name System (DNS) checkpoints as a short-term security measure, where nodes download trustworthy block data from community-run DNS servers. However, this move could introduce greater centralization. Rucknium also noted that Qubic’s 51% control compromised Monero’s existing ten-block protection mechanism, as the latest reorg exceeded that safeguard.

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Long-term solutions discussed by the Monero community include localizing mining hardware, implementing merge mining with Bitcoin or other cryptocurrencies, or using mechanisms like Dash’s ChainLocks for extra security. To date, no single approach has been adopted.

Monero’s token price has only dropped about 5.9% since reports of Qubic’s increased influence surfaced in late July. For more on Monero’s recent performance, refer to detailed price data at CoinGecko.

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