Ravencoin's price tumbled to a record low on Tuesday as a network exploit put transactions at risk and mining pools controlling most of the network's hash rate said they're building a competing chain. That competing chain could trigger a three-day reorganization of the blockchain, according to the pools.
The exploit and the price drop
The exploit, which the pools say puts transactions at risk, has shaken confidence in the network. Ravencoin's token fell to its lowest level ever, though the exact price wasn't disclosed in the available information. The drop comes as users worry that transactions could be reversed or double-spent.
Mining pools, which collectively control the majority of Ravencoin's hash rate, have decided they can't trust the current chain. Instead of patching the existing network, they're building a competing one. That's a drastic step, and it's not without consequences.
Why the pools are building a competing chain
The pools argue that the exploit makes the current chain unsafe. By controlling most of the hash rate, they have the power to redirect the network's future. Their plan is to launch a new chain that would start from a point before the exploit was introduced, effectively undoing any damage.
But that's not a simple fix. A competing chain would need to reorganize the existing blockchain, and the pools say that reorganization could take up to three days. During that window, transactions on the old chain could be invalidated, and users might see balances change or disappear.
What a three-day reorganization means
A reorganization, or reorg, happens when a blockchain's history is rewritten. In this case, the competing chain would replace the current one, and the network would have to agree on which version is canonical. With most of the hash rate behind the new chain, it would likely win out, but the process isn't instant.
For three days, the network could be in limbo. Transactions that were confirmed on the old chain might not carry over. Miners and exchanges would have to decide which chain to support. The uncertainty alone could keep pressure on the token's price.
The pools haven't given a specific launch date for the competing chain. They've only said it's coming. Until then, Ravencoin users are left waiting to see whether the reorganization actually happens and what it means for their holdings.
