While it takes 700 million dollars to reach 51% of Litecoin’s (LTC) network power, 1.2 billion dollars are needed for an attack on EOS blockchain.
EOS uses the DPoS (Delegated Proof of Stake) consensus mechanism and has only 21 Block Producers (BP) who generate the blocks and maintain the network. The remaining BPs remain in standby in case one of the 21 ceases to be in the top 21. To enter the top 21 a BP is required to have at least 303 million EOS votes.
Anyone with an EOS account can become a BP and enter the top 21 if they have enough votes, but obviously they also need to have hardware that can meet the minimum requirements to manage the blockchain.
Currently, the 21st BP has just under 303 million EOS, while the first just under 330 million EOS: so, considering that currently the value of EOS is $3.54, the first BP has a blocked dollar figure of more than $1.1 billion.
A certainly significant amount since we are talking about 9 zeros.
But how can an attack on EOS be made in practice in order to have control of it?
The theoretical scenario is this, with the following requirements:
- At least 350 million EOS staked on an EOS account;
- Control and/or create 30 EOS accounts (each EOS account can, in turn, generate a large number of EOS accounts);
- Have all the hardware necessary to produce the blocks;
Why are 30 EOS accounts needed?
In the EOS blockchain, each account can vote for 30 different BPs. If a person were to have an account with 350 million EOS staked, they could vote for all 30 accounts that are configured to be BPs and in one go the first 30 BPs would be under their control.
How much does it cost to make an attack on EOS?
The first thing that is required are 350 million EOS, which at a cost of $3.54 would cost more than $1 billion.
To this $1.2 billion, the cost of the infrastructure needed for at least 21 machines that would cost between $500,000 and $1 million should also be added.
If a person were to succeed in this goal they could earn at least 21 thousand EOS per day, since it is the prize that goes to the first 21 BP. Consequently, it would take 162 years to make a return on the investment.
So, if someone were to decide to spend $1.2 billion, could they control the EOS blockchain?
No, because at that point everyone would join forces to remove it from the top 21.
If an account has EOS staked, it has the right to vote.Â
Currently, there are just under 600 million EOS staked, so convincing all accounts to vote for 30 different BPs, would restore the decentralisation of the network and at that point, the attacker would have to have more than 600 million EOS to regain control.
In other words, it is not economically or technically feasible to carry out a 51% attack on the EOS blockchain.
