Developer exposes vulnerability in Bitcoin’s Lightning Network, claims security of funds at risk

The crypto community is on alert after news broke out about an alleged ‘vulnerability’ in Bitcoin’s Lightning Network. The security flaw has made users jittery as it threatens to compromise the security of funds and disrupt transaction flow within the network’s channels.Lightning Network vulnerable to ‘replacement cycling attacks’

Apparently, the reported vulnerability — which is being referred to as “replacement cycling attacks” — is yet to be exploited by hackers in real life. But Bitcoin developer Antoine Riard, who first spotted the flaw, has issued a stern warning.

In a report published last week, Riard said the newly-discovered vulnerability in Lightning Network raises the likelihood of a potential “transaction-relay jamming attack”. Malicious actors could leverage this security vulnerability to target Hash Time Locked Contracts (HTLC) — a key component of the Lightning Network.

Such an attack could potentially disrupt the flow of transactions, resulting in delays or preventing them from being processed as expected. Furthermore, it could also compromise the security of funds flowing through the Lightning Network.Source: GitHub

Meanwhile, pro-XRP lawyer John Deaton has also taken aim at the Lightning Network, calling it less effective than the “Spend The Bits” protocol on the XRP Ledger. He argues that Spend The Bits promises more security than Lightning when it comes to making Bitcoin transactions.

Let me be clear and transparent: I am now involved in Precautionary measures are in place but more vigilance required

According to media reports, Lightning developers have already been made aware of the security flaw. Precautionary measures have been taken — with patches released across top Lightning Network implementations, such as Eclair, LND, and C-Lightning. Still, questions arise whether such mitigations would prove effective against more sophisticated attacks.

The alleged vulnerability detected in the Lightning Network could have significant ramifications for other Bitcoin protocols and applications like coinjoins, peerswap, and batch payouts, Riard says. In a separate note, the developer said he is no longer working on Lightning

“Effective now, I’m halting my involvement with the development of the lightning network and its implementations, including coordinating the handling of security issues at the protocol level,” Riard said in a note.The crypto industry is already battered by incidents of thefts

The development assumes significance in that the crypto industry is already plagued by phishing attacks, scams, and more. More than $3.45 billion in digital assets have been stolen from crypto exchanges since 2012, with hot wallet hacks emerging as the top culprit. 

In related news, former PayPal President David Marcus seeks to transform Bitcoin into a global payment network. He envisions Lightning Network as a “universal protocol for online money,” similar to how texting is a universal communication protocol.  © Todayq News