Warren Buffett attack

[zack]

Warren Buffett gave the earliest description of the P+epsilon attack that I know about http://www.gametheory.net/News/Items/013.html
This attack is the reason that truthcoin consensus on the outcome of events wont work, and it is the reason that bitcoin consensus does not work.

He is a money wizard.

[psztorc]

This has already been discussed here: http://forum.truthcoin.info/index.php/topic,173.0.html

The differences in Truthcoin are that [1] someone can already buy votes directly (by buying the VTC), making the attack equivalent to the so 51% VTC monopolist attack, and [2] unlike in congress, where the votes would have to be split by people (who might not trust each other, making coordination costly), in Truthcoin each (perfectly coordinated [for free]) person can split each of his voting influence, thus (if bribe was <51% marketcap) guaranteeing the collection of the bribe when the bribed-outcome fails. Attacker loses big, no users are affected.

[kvnn]

it is the reason that bitcoin consensus does not work.

Are you asserting this for Truthcoin specifically or Bitcoin in general?

[zack]

I am asserting that bitcoin POW consensus is vulnerable to the P+epsilon attack, and that Sztorc's oracle consensus without SMPC is vulnerable to it too. There are proof of stake blockchains that can withstand this attack.