HardFork and Network update
Dear UltraNote community
We would like to give all the information about the recent hack which happened in March 2020)
The attack was to insert undetectable coins in the blockchain using the key image manipulation technique which is known in the CroptoNote community. (Monero Hack)
The attack went through on the XUN blockchain even though we tested the algorithm against this attack more than a year ago.
It seems that the attackers found another gap somewhere. We have repatched the algorithm & right after we had new attacks which have been unsuccessful as the attacks stopped & we then got flooded with requests which were unsuccessful too.
Since we tested our blockchain for this particular attack more than a year ago and nothing suspicious was detected, when investigating the reason why hundreds of millions of XUN were being dumped on Trade Ogre recently, our first thought was that TradeOrgre was cooking the order books.
But being aware of this potential attack we immediately started to investigate the “Ghost Coin” possibility. It was unfortunately observed that the attackers had found a way through the patch we had applied. As the situation was escalating; we advised traders on Friday the 13th of March 2020 at approx 10.00 PM Uk Time to stop buying coins on Exchanges until we had a clear view of the situation.
On Saturday 14th of March 2020 a fork and roll back were identified as the best approach to resolve this situation of having the “Ghost Coins” on the blockchain.
The two main exchanges STEX as well as TradeOgre were requested to halt all XUN transactions and while they accepted to pause Withdrawals and Deposits they still kept trading open.
Some traders were still trading and a refund/compensation threshold was thus set at 14 March 4.00PM UK time to compensate for the lost coins bought on exchanges Prior to the threshold cutoff time.
Please note that if you bought XUN coins after the specified date you should take your frustrations to the exchanges where you bought illegitimate coins as they were notified well in advance and refused to halt trading.
We are now back on track with a new patched blockchain (safe from this attack) & a roll back of 3 months to the 28th of December 2019.
That means all wallets will go back in-time and contain the balances they had on the above mentioned date.
Three months to some people may sound a lot but it’s what we feel is best for our Community as well as the integrity of XUN Blockchain. UltraNote is a still a relatively unknown coin & given the low activity level prior to the attack the compensation rate would not be too high as compared to a 1 week roll back.
The plan moving forward:
-New wallets will be released shortly. Tests are being done to make sure all is as smooth as it should be.
-The compensation process for lost coins bought on exchanges will be announced as soon as we have the relevant resources to handle that process. (Genesis Block Coins will be used for that purpose and since they are deposited we need to wait for them to unlock)
We will be looking into your requests one request at a time so please wait for the relevant announcement before trying to DM anyone on the team.
To request your compensation you will need:
1. Proof of holdings on Exchanges (i.e) printscreens of wallet balance.
2. Proof of filled buy orders of XUN coins from My trade tab. (proof of the amount of coins you bought and when you bought them)
3. If you did withdrawals you will be asked to provide proof of withdrawals (i.e) printscreens + Transaction hash.
4. If you Deposited coins on your GUI wallet please also take printscreens of your GUI wallet balance.
Time & date should be clearly visible on the printscreens. All the above will be needed for verification of transactions & confirm all matching numbers for refund. UltraNote is a privacycoin so if you do not provide the right information we will not be able to verify the request thus resulting in loss of coins.
After the fork & Roll back which we effected on the 18th of March 2020, we requested exchanges to update their wallets which Both TradeOgre & STEX refused to do since they would apparently be losing the Billions of XUN malicious coins due to the roll back. Even though we offered to compensate them for their fees and refund the exchange users they plainly refused to co-operate. Their attitude gives us no choice than to go towards the delisting of XUN From the above mentioned exchanges. The coins left on STEX & TradeOgre will simply be lost and stuck there on the old blockchain. Please do the necessary to record your exchanges transactions since as mentioned above ONLY BOUGHT coins will be compensated for.
Deposited coins on the exchange by miners that were to be sold will unfortunately not be compensated by XUN team as the exchanges are refusing to update their wallets and the compensation should come from the Exchange & Not XUN team. We cannot take the risk to double refund users If ever STEX or TradeOgre decide to Update their wallets. all the legit deposited mined coins will be accessible again to their owners and thus offering mining dumpers double coins which is unfair towards our community. UltraNote Team has been very clear since the begining that mining to exchanges is not advised and so should be done at your own risk. If miners have complaints to do you are free to get in touch with STEX and TradeOgre.
We believe that this situation is a moment filled of opportunities for XUN as a community to start fresh, on better grounds and also reshape our approach towards the crypto market. Over these 2 years we too have been caught into the notorious cryptocurrency trap of having to conform to market norms by being open source, getting on new exchanges or simply get more attention by trying to get more miners, adopt merge mining and drive higher hash rate. We are pleased to tell you that all of this will change as from now. We are working to put a plan together for us to become a niche privacycoin. A privacycoin for the people who understand true privacy; A coin for a community which is stronger together.
First move will be UltraNote source code going private again. There is no rule stating that blockchain projects should be open source. Our goal is to use blockchain as a vehicle for privacy and not being an open source crypto like the other 1000s of altcoins. We are definitely Not Bytecoin or Dogecoin which are basically cryptocurrencies like thousands of others. We are UltraNote, a privacy solution utilizing blockchain technology. It does not matter if our code is open source or close source. What we deliver with the technology is what should matter the most to our users. The idea behind this move is to bring back a rewarding mining experience to our small miners, those who wish to mine from GUI wallet or small mining rig operators with a few GPUs. Our Mining will now be available only via our official mining pools. This is to mainly discourage the entry of big solo miners who only focus on mine dumping practices. This will be a good way to allow small miners to be core actors of the bigger picture.
All the other upcoming changes will be announced as we progress in order to avoid getting distracted trying to handle too many stuffs at the same time.
We wish to express our gratitude towards your support & outstanding approach to this situation. We are building XUN together and together we will rise.
I wish you all the best & be safe.