Kraken Suspends Monero Deposits After Hashrate Concerns
NewsKraken suspends Monero deposits following blockchain security incident. Monero price saw a decline but quickly recovered. Industry focuses on privacy coin centr...
- Kraken suspends Monero deposits following blockchain security incident.
- Monero price impacted with quick recovery noted.
- Industry focuses on privacy coin centralization risks.
A 51% attack on Monero, involving the Qubic mining pool led by Sergey Ivancheglo, occurred recently, prompting Kraken to suspend Monero deposits for security reasons.
This event highlights vulnerabilities in blockchain security, affecting confidence in Monero and privacy coins, with potential implications for market stability and future blockchain governance.
Blockchain Security Concerns
The Monero blockchain experienced a brief 51% attack where the Qubic mining pool, led by IOTA co-founder Sergey Ivancheglo, momentarily controlled a majority of Monero’s hashing power. This prompted Kraken to suspend Monero deposits as a security measure.
Qubic, operated by Sergey Ivancheglo, claimed control of Monero’s hash rate in a demonstration, not an attack. Kraken announced halting Monero deposits, citing concerns over a single pool’s dominance exceeding 50% of the network’s hash power.
Monero (XMR) saw a price decline of approximately 19% during the attack, which rebounded over 7% following miner actions. Kraken’s suspension affects only deposits, with trading and withdrawals still active.
Institutional confidence in Monero was affected, although no direct capital outflows occurred. Centralized exchanges are reevaluating listing and custody models in response to privacy coin security risks.
Historical similarities include centralization issues with Ethereum Classic and Bitcoin Gold. This marks a rare instance of exchange deposit suspension for Monero due to a 51% risk.
Community discussions indicate a focus on possible emergency proof-of-work changes. Hashrate redistribution and security awareness efforts are underway, addressing potential centralization risks in privacy coin networks.
“Qubic claimed to have seized control of the majority of Monero blockchain’s hash rate,” under the banner of a ‘useful proof-of-work demonstration’.
– Sergey Ivancheglo, Co-founder, IOTA
More From Crypto News
Aster (ASTER) Rises 4.88% in 24 Hours: What the Data Shows
Aster (ASTER) is trading at $0.655837, up 4.88% over the past 24 hours, according to CoinGecko data as of 19:13 UTC on November 11, 2026.
Bitcoin Misses Stock Rebound as ETF Outflows Hit Day Four
Bitcoin failed to follow a broad equity rebound on November 11, trading near $73,993 while Nasdaq-100 futures climbed 1.7% after CoreWeave posted an earnings be...
OCC Clears Coinbase National Trust Company for Crypto Custody
The OCC issued its decision in CD-1370 , formally authorizing Coinbase National Trust Company to operate as a federally chartered trust bank focused on digital-...
Reported Ankr Ethereum Bridge Drain Exceeds $303,000, The Defiant Says
The Ankr Ethereum Bridge was drained of more than $303,000 in an exploit carried out across five transactions.
Binance CFO Steps Down After Reported Hack, Co-CEO Cites Planned Transition
Binance’s chief financial officer has stepped down, the exchange confirmed, with the departure landing nine days after the platform suffered what has been descr...
US Treasury Takes Action Against MEXC Over Alleged $16B in Sanctions-Linked Transactions
The Treasury press release identifies MEXC as the subject of the action and ties the exchange to transaction flows connected to three sanctioned or adversarial...
