What Is the Risk of a Hash Algorithm Being Broken?

A broken hash algorithm in cryptocurrency could lead to catastrophic security failures. Attackers could forge transactions, create double-spends, or even reverse transactions by finding collisions, where two different inputs produce the same hash.

This would fundamentally undermine the integrity and immutability of the blockchain ledger, destroying trust in the currency. The value of the cryptocurrency would likely plummet as its core security principle would be compromised.

Ultimately, a broken hash algorithm could render a cryptocurrency worthless.