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I just learnt about the BGP attack:
http://www.wired.com/2014/08/isp-bitcoin-theft/
The attacker was able to redirect the miners to its own pool to effectively "steal" (defraud them of) their mining rewards.
I don't know enough about the Border Gateway Protocol, but I'm wondering if this sort of an attack could be used to split the Bitcoin network itself, essentially by hijacking the node discovery process. If an attacker could hold the split for a few hours (assuming enough hash power), it could successfully execute a double-spend on its target.
Does the client use any kind of authentication with its peers?
P.S. Of course, there would have to be enough economic or political motivation to carry out such an expensive attack (such as to bring down a popular exchange and create media panic).
I should clarify that my question is not about whether or not it is economically feasible to do this (that would be a separate question). My question is whether the peer discovery process is vulnerable to this sort of IP hijacking. To keep it simple, let's assume that the attacker has the equivalent of close to 100% of the network hash rate sitting in reserve and ready to deploy any moment. – Manish – 2014-08-08T02:40:52.213
Sidenote: I think what you are describing is a method for achieving variant of the Sybil attack: Also see bicoin.it: Sybil Attack, Can I trust the peers I am connected to?
– Murch – 2014-08-12T12:53:56.133