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A 51% attack does not usually steal coins directly from wallets, but it can break trust in a blockchain. When attackers rewrite transaction history, people who receive payments can lose money, exchanges can pause activity, and token prices can crash.

A 51% attack is a problem that can happen on a blockchain network. A blockchain works because many computers around the world help check and confirm transactions. These computers are called miners or validators. They all follow the same rules, so no one person can cheat the system. A 51% attack happens when one person or one group controls more than half of the network’s power. This power can be mining power or staking power, depending on how the blockchain works.

When someone controls more than 50% of the network, they gain too much influence. They can decide which transactions are confirmed and which ones are ignored. This breaks the main idea of blockchain, which is fairness and decentralization. Instead of many people sharing control, one group becomes too powerful.

To understand this simply, imagine a classroom where students vote on answers. If one group has more than half of the votes, they can always win, even if they are wrong. In a blockchain, the same thing can happen. The attacker can approve their own version of the transaction history.

This allows them to engage in double-spending. Double-spending means using the same crypto twice. For example, the attacker can send coins to someone, receive a product or service, and then rewrite the transaction history to take the coins back. The seller loses money, and trust in the network is damaged.

a computer screen with a bunch of numbers on it
Photo by Behnam Norouzi / Unsplash

Several real blockchains have been attacked this way. In 2018, Bitcoin Gold, a version of Bitcoin, had a 51% attack where attackers made millions in double-spending. Ethereum Classic, a version of Ethereum, suffered multiple 51% attacks that allowed attackers to reorganize the blockchain and double-spend millions of dollars’ worth of tokens. Smaller networks like Vertcoin and Litecoin Cash have also faced these attacks because they have fewer miners, making it easier for someone to gain control.

How to Avoid 51% Attacks

Blockchain developers know that a 51% attack is a serious risk, so they design networks in ways that make these attacks very hard and very expensive. One important method is changing how the blockchain reaches agreement. Some networks move away from Proof of Work, where miners use computing power, and use Proof of Stake instead.

In Proof of Stake, people must lock up a large amount of the blockchain’s coin to help confirm transactions. If someone wants to control more than half of the network, they would need to own and lock up a massive amount of the total supply. This would cost a lot of money, and if the attacker behaves badly, their staked coins can be taken away, which strongly discourages attacks.

Another way blockchains protect themselves is by increasing the number of confirmations needed before a transaction is seen as final. When a transaction needs many confirmations, it becomes harder for an attacker to go back and change it. Even if someone controls a large part of the network for a short time, rewriting many confirmed blocks would take more power and more time. This gives exchanges, wallets, and users a chance to detect something unusual and pause activity before more damage happens.

man in black hoodie using macbook
Photo by Azamat E / Unsplash

Some blockchains also use checkpointing. This means that after a certain point, blocks become permanent and cannot be changed, even if someone later gains more power. This limits how far back an attacker can rewrite history. Developers also focus heavily on decentralization.

They encourage many independent miners or validators in different countries so that no single company, pool, or government can control the network. When power is spread across thousands of participants, it becomes much harder for one group to take over.

Over time, many blockchains also improve their monitoring systems. They watch for sudden changes in mining power, validator behavior, or block timing. If something looks suspicious, exchanges may slow down deposits and withdrawals, and developers may issue warnings.

For everyday users, the best protection is choosing and using well-established networks with large mining or staking participation. Big networks are harder to attack because they require huge amounts of computing power or staked coins. Before trusting a new blockchain with important transfers, it is wise to wait for multiple confirmations of a transaction, especially on smaller networks.

Using trusted wallets and exchanges that monitor network health can also help, because these platforms may delay deposits if they detect abnormal activity. Staying informed about how a network protects itself gives users an edge in avoiding the risks of potential attacks.

All these measures together help make 51% attacks rare on strong networks. A blockchain with many active users, many validators, and clear security rules is much more difficult to attack and much more likely to survive long term.

Why 51% Attacks Still Matter Today

a laptop computer sitting on top of a desk
Photo by Kamil Molendys / Unsplash

Even though major blockchains are strong, 51% attacks remind everyone that security is a core part of the blockchain promise. Decentralization, having many independent participants secure a network, is what keeps crypto fair and trustworthy. Smaller blockchains, and even some large ones early in life, need to design their networks carefully so they do not become easy targets.

As crypto continues to grow in finance, gaming, real estate, and everyday payments, understanding risks and defenses like those against 51% attacks helps users and developers build a stronger, safer ecosystem for the future. Using trusted wallets and exchanges that monitor network health can also help, because these platforms may delay deposits if they detect abnormal activity. Staying informed about how a network protects itself gives users an edge in avoiding the risks of potential attacks.

INFOGRAPHIC: Biggest Crypto Hacks Ever [2014-2025]
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