Privacy-focused blockchain network Verge (XVG) has experienced a significant cake reorganization, replacing transactions dating as far back equally July 2020.

Despite being described as potentially "the deepest reorg that has ever taken identify in a superlative 100 cryptocurrency," analysts are yet to confirm that the incident comprised a coordinated attack.

Coinmetrics primary operating officeholder Antoine Le Calvez was i of the showtime to notice the reorg, sharing a screenshot on Twitter showing that at to the lowest degree 560,000 blocks had disappeared on Feb. 15.

Le Calvez suggested the reorg could accept been caused past a double-spend, in which a number of XVG tokens are used simultaneously for two separate transactions. However, due to the magnitude of the incident, Calvez admitted it volition accept some time for developers to comb through the data to establish the exactsource of the reorg.

As a result of this roll-back, any user who received or purchased XVG tokens since July 2020 may have lost their unabridged balance, with Deribit Insights' researcher "Hasu" tweeting that "thousands of balances have merely evaporated." One Verge investor tweeted that their wallet residual is now empty after the attack.

Despite the scale of the potential attack, Hasu believes it will be "pretty easy to counter," advancing that "nodes will refuse the attacker's chain and restore the previous one." Hasu stated the incident highlights the vulnerability of blockchains supported by GPU mining.

This isn't the first time a reorg has been suggested to fend off would-be attackers, with Hasu referencing back to 2019 when Vertcoin succumbed to a 51% assault. The same yr, subsequently major substitution Binance was hacked for more than $40 million, founder and CEO Changpeng Zhao floated the idea of conducting a Bitcoin reorg to recover the funds, even so, the idea was quickly decided against.

An unconfirmed screenshot shared past Twitter user Crypto_Michael showed XVG advisor AlexanDre stating the source is linked to some nodes who wanted to create a fork. He also added that there was not a 51% attack.

XVG counselor AlexanDre telegram announcement on Verge reorg. Source: Twitter

In the last vi hours, XVG has dropped by almost 15% to $0.0224. This has resulted in information technology moving out of the top 100, co-ordinate to Coingecko. Verge's explorer is still down.

Privacy-focused blockchain network Verge (XVG) has experienced a pregnant block reorganization, replacing transactions dating as far back as July 2020.