SHORT RANGE ATTACK AND IT'S EFFECT ON THE BLOCKCHAIN NETWORK

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Since the creation and introduction of the innovative technology which is the blockchain technology, there has been increasing developments and advancements in different or quite a number of various industries, seeing as it is facilitating the provision of decentralized and secure way of recording transactions.

However, like any technology or any introduction of advantageous developments and innovation there are always known to be disadvantages and in the case of the blockchain, it is prone to a lot of complex and advanced attacks, one of which I will be talking or writing about and it is the threat of short range attack.

The Short range attack operates in such a way that specifically targets certain parts of the blockchain hence disrupting its operation, in this post of mine I will be explaining and exploring some of the significant effects of a short range attack on blockchain networks, underlying how it compromises security.

• REDUCES USERS TRUST

One significant effect that the short range attack has on blockchain networks is that it diminishes and reduces the trust that users have on the blockchain network, this can be considered to be a significant effect or implication owing to the importance of trust to the successful launch and integration of blockchain.

Short range attacks damages trust in blockchain network by showing evidence of the vulnerability of the network and as a result discouraging users and participants from making or excuting transactions or investing in blockchain based industries or network as a result of the impending risk.

Additionally this reduction and diminishing of trust can significantly hinder the adoption and integration of the blockchain technology, it can also have a negative impact on the value of the cryptocurrency associated with the blockchain and as a result leading to market volatility.

• FACILITATES DOUBLE SPENDING ATTACKS

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Another significant effect of the short range attack on blockchain networks is that the short range attack tends to facilitate, trigger or lead to another attack on the blockchain which is the double spending, how it is done is that in the event of a short range attack, an attacker temporarily gains control over enough portion of the network.

This therefore allows the attacker whether he or she to alter or manipulate new transactions, also if the attacker decides to create a fork in the blockchain, he or she has the opportunity to spend the same cryptocurrency more than once on the blockchain based network.

Additionally facilitating and executing a successful short range attack and a double spending attack on the blockchain network causes an undermining in the trust that users and investors have in the integrity and ability of the blockchain to prevent financial losses and secure transactions.

• CAUSES REORGANIZATION OR REARRANGEMENT OF CHAIN

Another significant effect of the short range attack on the blockchain technology is that it tend to kickstart and cause a kind of chain reorganization or rearrangement, when this happens, the legitimate or original blockchain is temporarily replaced by a new one which is controlled or created to serve the attacker's malicious purposes.

Additionally, this reorganization or rearrangement of chain can have drastic effects on the blockchain one of which involves the rolling back of newly mined blocks and replacing them with another version or set of blocks that was mined by the attacker for his malicious purposes.

Morever, the disruptions caused by rearranging a chain can cause and lead to confusion and uncertainty among users and miners and as a result, the transaction history is disorganized and the consensus on the original order of the blockchain is lost and ultimately leading to the erosion of confidence in the network's stability and reliability.

• CREATES LEGAL AND REGULATORY CHALLENGES

Another effect of a successfully launched short range attack is that it can lead to increased scrutiny and regulatory challenges for blockchain networks seeing as attack will attract the attention of governments and regulatory bodies who will use these attacks as evidence for the need for more rigid regulatory oversights.

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Additionally, financial regulators might also take the opportunity of an attack to impose more ridiculous compliance requirements on blockchain based network like cryptocurrency exchanges and wallet providers, as a solution to mitigate the risks associated with blockchain attacks.

The increased regulatory scrutiny and oversight may help to enhance the security of the blockchain based network which is a good thing, the bad thing now is that it can also lead to a limit in the decentralized nature of blockchain technology.

In conclusion, the short range attacks has a number of negative effects on the blockchain networks which includes reducing and diminishing trust of blockchain network, facilitating double spending attacks and creating regulatory challenges and scrutiny just to mention a few.