Ethereum Classic is indeed a Cryptocurrency and open-source computer system that operates on the network. Smart contracts may be created and deployed by programmers; these are pieces of code that can run without human intervention and perform predetermined actions when specific circumstances are met. Anybody with access to a suitable Cryptocurrency wallet may access the ETC network and begin conducting transactions immediately. In the wake of the notorious DAO incident, the Ethereum society was riven along ideological as well as operational lines, prompting the formation of this group in 2016.

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Ethereum Classic is really the earliest blockchain that was developed by Vitalik Buterin as well as Gavin Wood, the founders of Ethereum. In July 2016, Ethereum had a controversial hard fork due to disagreements about where to restore the blockchain to undo the consequences of a significant attack. The DAO, a decentralized autonomous organization that had collected over $150 million in an ICO a few months before, was affected. Thus, Ethereum Classic arose as the network that did not perform a chain fork. As far as the designers are concerned, there really is no formal group behind the initiative, as well as the worldwide production society, which is a permissionless "do-ocracy" in which anybody may partake.

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Difference Between Ethereum and Ethereum Classic

The core features of both ETC as well as ETH are identical. To provide one example, decentralized apps may be built and deployed with the help of open-source code dApps. For their apps, they may also generate ERC-20 coins. However, Ethereum Classic is separate from the ETH blockchain in that it cannot be updated. The term "hard-fork" refers to an upgrade that is not compatible with older versions. Through the adoption of a novel protocol, the new blockchain and its customers are isolated from the old blockchain. Consequently, Ethereum Classic cannot take advantage of developments on the upgraded Ethereum chain. There is indeed a lot of room for misunderstanding since Ethereum Classic's native coin is also named Ether. Therefore, their respective tick marks are where the distinction resides. Ethereum Classic's tokens are designated by the abbreviation "ETC," as opposed to Ether's ETH.

What Makes Ethereum Classic Unique?

The primary goal of Ethereum Classic is to keep the Ethereum blockchain unchanged from its initial state, without introducing any new features to fight the DAO breach. Initially popular among those who were dissatisfied with Ethereum's answer, the traditional system has recently won over a larger audience, including prominent financiers like Barry Silbert, Chief Executive Officer of investment company Grayscale. Since ETC is being developed by volunteers, its creators have no plans to make money off of it. Similar to Ethereum, processing charges are paid by consumers and distributed to miners depending on their contribution to the network according to the PoW mining algorithm. Several programmers are still working on future enhancements such as scaling solutions, but unlike Ethereum, Ethereum Classic has little or no intentions to switch to a PoS mining process.

Future of Ethereum Classic

Although Ethereum is generally seen as the more credible system, and as Ethereum Classic has been plagued by safety issues, the outlook for Ethereum Classic is less favorable than that of Ethereum. Ethereum Classic (ETC) might face difficulties in the upcoming years as a result of a loss of shareholder trust caused by breaches into the network in the past. It is unclear, therefore, how far the Ethereum Classic initiative will take the development of smart contracts or even how widely they will be used.

How Many Ethereum Classic Coins Are There In Circulation?

For the most part, the technological foundations of ETC as well as ETH were identical at launch, with the exception of how transactions were managed after the DAO breach. Nonetheless, tokenomics have evolved since launch, with users voting in December 2017 to place a limit on the total number of Ethereum Classic coins that will ever be created. Thus, 210,700,000 ETC is the maximum supply, which is approximately 10 times those of Bitcoin (BTC), whereas Ethereum (ETH) has no such limit. Similar to Bitcoin, miners in ETC compete to validate blocks on the blockchain in exchange for a share of the Cryptocurrency's supply. Block 15,000,000, or around April 2022, marked the next reduction in the ETC block award from 3.2 ETC to 2.56 ETC.

Goals of Ethereum Classic

A lot of work has gone into improving and expanding the Ethereum Classic initiative since the fork. The initiative still aspires to become a decentralized, worldwide payment system based on smart contracts. Ethereum Classic, like many other Cryptocurrencies, will probably keep working to meet the needs of its users as a medium of exchange and a store of wealth in the virtual realm.

How is Ethereum Classic Network Secured?

An Ethereum Classic network remains safeguarded via PoW, but being a minority blockchain, it has faced frequent assaults. One of the most significant of such 51 percent assaults happened in August of 2020 and also included gaining control of the mining hash rate in order to conduct fraudulent transactions and double-spend money.

The Bottomline

Ethereum's fork resulted in two groups, within each methodology as well as a set of ideas. In keeping with the initial network's goals, Ethereum Classic is fully immutable and decentralized. The mainstream Ethereum community adheres to the principle of constant evolution. The Ethereum 2.0 project is a great example of the society's dedication to improving the ecosystem for everyone.
 

Disclaimer: The author’s thoughts and comments are solely for educational reasons and informative purposes only. They do not represent financial, investment, or other advice.