Monero XMR Private Coin Not So Private
Several reports on the 2nd of August have revealed another security issue related to XMR, Monero’s claimed state of the art privacy coin. Monero’s connection to several acts of malicious mining is well-known, although the new loopholes discovered within the coin display a new level of risk and threats for trade as a result of the currencies markup. Since the discussed issue was discovered, it has been dealt with and repaired.
As per reports, hackers have been abusing Monero tokens as a means of creating fake transaction data that is sent to the company’s staff and essentially conning them into depositing more XMR into their accounts under the impression of technical faults by the exchange.
The source of this manipulative con was held within the exchange’s digital storage device, the Monero Wallet and given its open-source nature, the wallet is a prime target for transaction address altering and stealing. Codes are manipulated and added to, resulting in an increasing number of tokens per transaction and displaying false values of said transaction.
As pert TheNextWeb.com, the website states that each line added to any number of XMR tokens can trick company employees and team members into approving unreliable and untrusted transactions much easier through code manipulation. Additionally, thieves and hackers may ring these exchanges and demand instant transactions with claims of much higher numbers of tokens over the original number held within the transaction.
Additionally, the bug itself, living up to the definition of its name, is able to jump onto other coins by Monera. Hackers managed to get their hands on ARQ coins from Altex, a Monero hard fork.
Privacy coins are meant to allow any owner to hold onto the complete anonymity, although with this benefit, it also provides cyber criminals with the same tools and features. Without a necessary win-win situation, shedding some light on a coin and reducing the anonymous nature of it will expose the currency more and shed some of the complete privacy, however, this also reduces any selling advantage it may have, making one direct solution an incredibly difficult task.
As for Monero, any of the discovered weaknesses may be exposed and will result in a poor display of the privacy promised by the company and coin. It also negates any concept of privacy should a hacker manage to break in and alter any user assets.