This advanced attack method described by garlonicon has serious and far-reaching consequences for the cryptocurrency ecosystem.

Let's analyze it in more detail:

Step 1: At the beginning, the attacker selects a random and secure seed – the foundation upon which all subsequent actions will be based. Easy Step!

Step 2: The attacker then generates multiple addresses deterministically using an HD wallet (hierarchical deterministic). This crucial step allows all generated addresses to be associated with the specific seed. - Important STEP!

Step 3: Next, the attacker creates transactions deterministically, which is feasible to achieve. The essence of these transactions is to generate self-transfers, meaning transferring funds from one address to another owned by the attacker. However, in practice, the purpose of the attack is not to transfer funds but to increase the size of transaction blocks according to consensus rules. - Problem for network!

The key aspect of this attack method is the understanding that all self-transfers are considered valid by the attacker. Moreover, the attacker can seamlessly reproduce and replicate these transactions by using the main public key. This means that the attacker and their network can quickly verify many self-transfers and automatically consider them valid. In the meantime, the rest of the network must individually verify each self-transfer to avoid mining an invalid block.

The attacker's strategy is simple: always fill entire blocks with their own transactions, regardless of other factors such as transaction fees or genuine network needs.

The implications of this attack are:

1. Primarily, this attack affects mining pools and other full nodes. It is important to understand that the bigger the block with a large number of self-transfers, the more time and resources are required for other nodes to verify such a block. This gives the attacker a time advantage in the block verification process, leading to a slowdown and decreased efficiency for competing mining pools.

2. It is worth noting that network self-defense is almost impossible in this case. The attacker possesses exclusive knowledge of which transactions are fraudulent, allowing their nodes to skip these transactions and consider them valid using the main public key. Meanwhile, the rest of the network, lacking this knowledge, must allocate time and resources to verify each transaction, including the fraudulent ones, reducing block verification efficiency.

3. This attack also leads to high transaction fees. Even if blocks are filled with legitimate transactions, the attacker's self-transfers will always occupy the remaining space, creating a market for transaction fees. In other words, if you want your transactions to be processed quickly, you will have to pay a high fee. This phenomenon can promote network centralization, favoring the attacker.

4. Finally, this attack contributes to network centralization because only the attacker and their nodes can identify fraudulent transactions in advance and skip them as valid. All other nodes must spend time and resources to verify transactions, including the fraudulent ones, which undermines the balance among network participants.

In summary, this advanced attack method allows the attacker to prioritize their own transactions, providing a significant advantage in transaction verification speed and legitimacy compared to other network participants. At the same time, it has negative implications for network decentralization and the fairness of participants, as the attacker controls the verification process and manipulates the fee market. Effective defensive mechanisms are necessary to prevent such attacks on cryptocurrency networks.