HACKING THE UNHACKABLE: THE MISSING CRYPTO-CURRENCY ...

Yesterday I blogged about JPMorgan's daliances with crypto-currency, and its plans for a new crypto-currency pegged to the dollar,. in a system that could also handle other real currencies and even securities. And you'll recall, I crawled out to the end of the twig of trademark High Octane Speculation once again, and probably managed to crawl off the twig as well. But just in case you missed it, here is that speculation:

My high octane speculation - and I think I'm on the end of the twig on this one - is that this is an attempt to create a version of the old European "Snake", the Exchange Rate Mechanism whereby the currencies of smaller countries were pegged, within certain percentage points of valuation, against the German Deutschmark. When currencies fluctuated outside that benchmark, the central bank (in this case, the Bundesbank) stepped in to restabilize those currencies. It was this mechanism which France later joined, and the emergent result was the euro and the Eurozone. So it's those parts about JPMorgan's new crypto being tied to (1) the dollar and (2) the possibility of expanding that to handle other currencies and possibly even types of securities that really catches the eye, for it suggests that it is a move to peg other currencies, and securities, to the dollar and dollar-evaluation. Think of it as a kind of combination of SWIFT, the Exchange Rate Mechanism, and a securities brokerage all in one fell swoop. And, oh yea, lest I forget, you'll notice it's also a nifty move to allow JPMorgan to become a kind of international central bank, too.

Judging from some of the comments on the blog, there were a few other people willing not only to crawl to the end of that twig with me, but right on off the edge.

Well, believe it or not, crypto-currencies are back in the news again, and if you've been following various stories about missing money and financial fraud, you'll want to pay attention to this article that was shared by Ms. K.M.:

Once hailed as unhackable, blockchains are now getting hacked

I remember well the halcyon days when crypto-currencies were going to give us complete financial security, anonymity and "unhackability," and best of all, make central banks and central banksters obsolete. Of course, that was the latest in the long list of impenetrable armor, unsinkable ships, unbreachable barriers, irresistible and invincible weapons, unbreakable records, and flawless plans that have dotted human history, and at the time - if I may be permitted to toot my own kazoo for a moment - I was in a decided minority warning people that "there just aint no such thing as a secure cyber system."

Now, it seems even MIT has seen past Utopia into reality. But that reality is taking on a shape and dimension that, in my opinion, calls for a revision and extension of my High Octane Speculation remarks from yesterday. Here's the paragraphs from the article that made me think once again. We'll start with this one:

A hacker had somehow gained control of more than half of the network’s computing power and was using it to rewrite the transaction history. That made it possible to spend the same cryptocurrency more than once—known as “double spends.” The attacker was spotted pulling this off to the tune of $1.1 million.

To my mind, that conjured images of what we all know good and well that some banks and banksters do and which they all deny they do or have ever done, and that's use that "in between" period when a bank holds a check, and waits for it to clear, during which time it makes (quick) use of the money that's in "transactional limbo." How much better it would be if one could simply "re-write" transaction history, "double spend" that "in-limbo money" and then go back and re-write everything once again. I may be off the end of the twig on that one, but there's a reason that ink, and not pencils with erasers, were used in the good old days of actual ledgers and accountants.

But then there's this:

In total, hackers have stolen nearly $2 billion worth of cryptocurrency since the beginning of 2017, mostly from exchanges, and that’s just what has been revealed publicly. These are not just opportunistic lone attackers, either. Sophisticated cybercrime organizations are now doing it too: analytics firm Chainalysis recently said that just two groups, both of which are apparently still active, may have stolen a combined $1 billion from exchanges.

We shouldn’t be surprised. Blockchains are particularly attractive to thieves because fraudulent transactions can’t be reversed as they often can be in the traditional financial system. Besides that, we’ve long known that just as blockchains have unique security features, they have unique vulnerabilities. Marketing slogans and headlines that called the technology “unhackable” were dead wrong.(Emphasis added)

It's that non-reversibility of fraudulent transactions in blockchains that caught my eye, because if one were say, a bankster  working in one of those too big to fail too big to jail banks, what a golden cyber-opportunity to harvest even more money, re-write the transaction history, and make off with - well, hey, this is the twenty-first century, and we have to think big - trillions. (And given the Pentagon's inability to find out where all its missing money went, and the private corporations handling all that financial data for the federal goobernment, who's to say it's not already been beta-tested?)

Which  brings us back to JP Morgan's plans for a crypto-currency tied to the dollar (and possibly other currencies) in a system that could not only handle other currencies, but securities too: talk about a golden opportunity for currency speculation, for playing (and rigging) markets, and so on. And then, lest those pesky regulators come around, just re-write the transaction history. Nobody but the NSA would know, and they probably wouldn't talk lest "national security secrets" be reviled... er... I mean, revealed.

But have no fear, too big to fail and too big to jail banks and banksters, who resorted to fraudulent mortgages, robo-signing fraudulent mortgages, opening fake accounts in their customers' names and using them for "transactions" and other money laundering schemes, not to mention forging their signatures, would never resort to such outright theft using blockchains and organized teams of hackers.

Perish the thought!

(Cough, hack wheeze...)

See you on the flip side...

 

 

15 thoughts on “ HACKING THE UNHACKABLE: THE MISSING CRYPTO-CURRENCY ...”

  1. Community based clearing is cornerstone of any nation. A nation can be taken over by supercomputer. That is imperial aggression by Roman legion, and it is called war.

    United Nations is precisely that, parading patriot head on a stick. That is international communism, the One Ring to rule them all. The casino roulette.

    Returning to natural state, clearing is originally truce between clans. The art of truce is based on sharp edge iron tool. Clan is always blood. First blood causes sacred duty.

  2. @ goshawk, I am a big fan of MM’s too. alas….
    http://mileswmathis.com/icke.pdf
    not that I can quote any famous characters these days without grave doubts if not cringing.
    and so what?
    https://www.abc.net.au/news/2019-02-20/david-icke-banned-from-entering-australia/10830064
    in any case, it is thru the uknowwho’s – aliens or not to – get to the heart of the matter.
    82.221.129.208 (Jim Stone sans corrupted DNS servers)… reckons that the youknowwho’s say, if it’s not a printed book, it’s not a book.. ditto currencies. I wonder if archive.org/gutenberg_project/googlebooks will be Fahrenheit 451’s some day when the paper stuff is gone? or mandela effected?
    New Genesis.. In The Beginning, There was “US”.

    1. nice. you and goshawks are hooking me on mm. i was surprised he didn’t write about icke’s at first overt and now covert connections to lucis trust, madam blavatsky and i think r steiner.

      drilling around on mm’s site got my afternoon gobbled by his other links on graham hancock, daniel pinchback, russell brand and ruppert sheldrake. suspected as much and confirmed more than i expected.

      thank you.

    2. Pierre, reading MM produces a strange perception of ‘reality’. On the one hand, if Reptilians, Anunnaki, and such are real, the System has been owned a long, long time. It probably functions like a well-oiled machine, with the scope of it far beyond even Professor Moriarty’s dreams. On the other hand, MM does not reference that ‘deep’ aspect of history; he is currently only back to the old Phoenician families as the “Guiding Hand.” Plus, MM is not a fan of anything spiritual; he would regard Gizars’ interest in higher states/planes as ill-founded (or a psy-op). Leading to, as you said, “not that I can quote any famous characters these days without grave doubts if not cringing.” A strange sense of Matrix-like reality, indeed…

      On David Icke specifically, I had already read MM’s article on him. From the outside, it is hard to gauge Icke’s ‘role’ in the System. He publishes lots of good stuff. However… Within MM’s methodology, I would place him as someone planted to speak Truth to the awakened or nearly-awakened and then to lead them into non-action. “Infinite Love is the Only Truth: Everything Else is Illusion.” (This may be true, but I am doubtful that the 0.001% are operating out of Love for us…)

  3. A counterfeiter wet dream anyone into buying bridges forgery has been going on for ages. And at the top of the list of thieves who would use this technology is our own elites.

  4. I have been reading Miles Mathis’ articles for too long. Any time I see a ‘surface story’, I have to delve beneath that. Sigh…

    In this case, it is that MM has shown in several articles that blockchain technology is traceable directly back to the alphabet agencies (NSA, I seem to remember). They wrote the initial papers, and published them . In the spirit of dead doctors and offed inventors, why would they let that happen? It absolutely stinks of deeper motives…

    The other thing that comes to mind is David Icke’s phrase, “The totalitarian two-step.” This is where various baddies stretch out their plans over decades to keep the sheeple blissfully munching grass. Blockchain memes seem to be seeping into our culture, steadily replacing traditional old tech. It is subtly pushed , much like modern “art” has slowly exterminated classical art. Do it slowly and steadily over decades, and it becomes the new Reality. Remember when ‘gay’ used to mean ‘very happy’ ? Same thing…

    So, I suspect the PTB (giving orders to the intel types) have some nasty plans afoot. “JPMorgan’s daliances with crypto-currency” is likely just the next increment in the “totalitarian two-step.”

  5. So this was a 51% attack on a crypto network. A well known vulnerability in small POW networks. No money is lost, just double spent, which is indeed a problem. Also of the $2 billion hacked, all of that is caused by people and/or exchanges that have bad security protocols. Again this is indeed an issue but far from a Crypto address being hacked out of the blue. Bottom line, use a paper wallet, secure your private keys off line and you’ll never be hacked.

    There’s a public BTC address that contains a million Bitcoin. Been out there since the beginning for the whole world to see and has never been hacked.

    Personally I don’t know where Bitcoin is going in the future and don’t necessarily care but I think it’s important know where the real security risks are, ‘bad security protocols’.

    1. The security of the internet has collapsed. The fight against hacking promise$ to be a never ending market to exploit. Believe it or not, many industries such as finance and insurance have already, essentially, moved off-line.
      Nothing Critical Goes On The Internet !!!
      The internet is full of unwanted ads, fraught w/bots and malware. Instead of putting power in the hands of individuals, it has become a porous cloud where all the money and power rise to the top.
      If security is not integral to an information technology architecture, than that architecture MUST BE REPLACED!

  6. One angle that I hadn’t considered until reading today’s blog, bare with me I’m writing this on the fly:

    What if JPM entering the Crypto game is less about the coin and has more to do with monopolizing the exchange/wallet market? Many of the hacking stories that I have read, deal less with the coin market and more with the coin wallet storage/security. If JPM could build an “iron clad” coin storage (wallet) and exchange, or more importantly present the illusion of such a thing, then they could hold all the cards. One must consider that JPM has many ties to central banks and the FTC. With the proper leverage, the FTC could mandate some sort of regulation forcing the public to move their accounts over to a “centralized system”. – I’m on a twig of my own here.

  7. More than the differences between cryptos and bank created instruments (the former, effectively, is not debt-based), it is the similarities that count, especially the hackability of any and all electronic systems.

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