Timestamp Manipulation: Timestamp-based Nakamoto-style Blockchains are Vulnerable

Abstract: Nakamoto consensus are the most widely adopted decentralized consensus mechanism in cryptocurrency systems. Since it was proposed in 2008, many studies have focused on analyzing its security. Most of them focus on maximizing the profit of the adversary. Examples include the selfish mining attack [FC '14] and the recent riskless uncle maker (RUM) attack [CCS '23]. In this work, we introduce the Staircase-Unrestricted Uncle Maker (SUUM), the first block withholding attack targeting the timestamp-based Nakamoto-style blockchain. Through block withholding, timestamp manipulation, and difficulty risk control, SUUM adversaries are capable of launching persistent attacks with zero cost and minimal difficulty risk characteristics, indefinitely exploiting rewards from honest participants. This creates a self-reinforcing cycle that threatens the security of blockchains. We conduct a comprehensive and systematic evaluation of SUUM, including the attack conditions, its impact on blockchains, and the difficulty risks. Finally, we further discuss four feasible mitigation measures against SUUM.