Ethereum Classic is definitely not a twin brother of Ethereum. However, they have a common origin. How does Ethereum Classic cryptocurrency differ from Ethereum, and can it overshadow the success of its relative? Let’s find out what Ethereum Classic cryptocurrency actually is with Changelly!
Ethereum Classic Overview
What Is Ethereum Classic?
An open-source, decentralized cryptocurrency called Ethereum Classic (ETC) was created in 2016 as a result of the hard fork in the Ethereum blockchain that caused it. The need to change the program code to enhance security was the reason for the fork. So, Ethereum Classic emerged as an attempt to keep the Ethereum blockchain unchanged by a part of the Ethereum community that opposed the DAO hard fork.
Nascence of the New Ethereum Chain
Ethereum Classic (ETC) cryptocurrency is supported by Barry Silbert, head of the Digital Currency Group. The ETC community adheres to a stricter ideological framework. Ethereum was just a manifestation of liberalism in the world of crypto, whereas Ethereum Classic is a conservative manifesto that is referred to as authentic Ethereum.
The infamous DAO scandal happened on June 17, 2016. The unknown attacker managed to withdraw more than $60 million from the DAO fund. This event went down in history as a crucial moment for Ethereum. The community proposed three options:
- To implement a soft fork and roll back the system
- To make a hard fork and reset smart contracts implemented by the attacker
- To not interfere in the process
On July 20, the second option was chosen. Two versions of Ethereum appeared that day: Ethereum (ETH) and Ethereum Classic (ETC).
The hard fork helped to return all stolen funds. Among the developers who switched to the new branch were Vitalik Buterin, Charles Hoskinson (who later co-founded Cardano), and Gavin Wood. Opponents of the hard fork remained on the old blockchain and named it Ethereum Classic (ETC).
How Does Ethereum Classic Work? ETC Blockchain Review
Ethereum Classic operates based on the blockchain and consensus rules that originally governed Ethereum.
Ethereum Classic is powered by the blockchain with smart contract functionality. Smart contracts are contracts with predetermined conditions that are automatically executed when these conditions are fulfilled. From a technical point of view, Ethereum Classic has its own compiler, thanks to which it has become much easier to program smart contracts.
The Ethereum Classic network provides standard mining based on the Ethash algorithm and the proof-of-work confirmation system. Miners of ETC have benefited from the fork because they were able to exit the pools and start working independently. We’ll observe ETC mining later in this article.
ETC Advantages & Disadvantages
Despite being one of the oldest cryptocurrency projects, Ethereum Classic (ETC) remains somewhat of an underdog in the altcoin world. But that doesn’t mean it doesn’t have a lot to offer. Below, we’ll take a look at some of the key advantages and disadvantages of ETC, so you can decide for yourself if it’s worth investing in.
One of the biggest advantages of ETC is its immutability. Unlike Ethereum (ETH), which was hard-forked after the DAO hack in order to refund investors, Ethereum Classic refused to change its blockchain. This means that ETC is now the only version of Ethereum that is truly immutable — something that is very important to many cryptocurrency investors.
Another advantage of ETC is its low transaction fees. Because Ethereum Classic has much less code than Ethereum, it’s able to process transactions way more efficiently. This results in lower fees, which is great news for anyone looking to use ETC as a day-to-day payment currency.
However, there are also some disadvantages to consider. One of the biggest is that, because it’s not as popular as Ethereum (which also shows in the Ethereum Classic price), it doesn’t have as much developers’ support. This lack of support could eventually lead to a lack of updates and new features, which could make ETC less attractive to potential investors over time.
Overall, Ethereum Classic is a solid cryptocurrency project with a lot to offer. Its immutability and low transaction fees are definite strengths, but its lack of developer support could become a problem down the line. Only time will tell how successful ETC will be in the long run, but it’s certainly worth keeping an eye on.
Ethereum (ETH) vs Ethereum Classic (ETC)
Adherents of ETC are categorically against any changes in the blockchain because community representatives believe that this destroys the integrity of the system. In the ETH cryptocurrency, changes are possible, but only after the founders have studied the attitude of users to such changes.
All decisions regarding Ethereum Classic are made by several development teams. At the same time, decisions concerning ETH are made with the help of the so-called “protocol supporting team,” the Ethereum Foundation. Users can make their own suggestions by submitting Ethereum Improvement Proposals (EIPs).
At the moment, ETC has voids in its blocks due to lower liquidity. As this cryptocurrency is popularized, it is expected that the blocks will be gradually filled. Meanwhile, Ethereum doesn’t have such a problem.
In most other aspects, Ethereum Classic completely copies the Ether platform. As the source code was identical at the initial stage of the split, many users could sell their coins twice — both as ETH and as ETC. However, the continuous development of Ethereum always leaves his colleague a step behind.
How to Mine ETC?
You can either mine ETC yourself or purchase it on an exchange. Mining Ethereum Classic takes up a lot of electricity and is only profitable if you have access to cheap energy. It’s also important to have the right mining equipment — GPUs are currently the most effective way to mine Ethereum Classic.
Are you interested in mining Ethereum Classic? It’s easy to do, but there are a few things you need to know. First, ETC mining is based on the proof-of-work (PoW) algorithm, which means that miners need to verify blocks of transactions to be rewarded with ETC. Second, while Ethereum has implemented an ASIC-resistant algorithm called Ethash (which makes it impossible to develop specialized hardware for mining purposes), ETC operates on Etchash and is not ASIC-resistant. Finally, crypto mining is not limited to just Ethereum Classic: you can also mine other popular cryptocurrencies, such as Zcash and Monero. Find what crypto mining suits you the best in this article.
If you’re looking for a challenge and want to be part of a growing community, Ethereum Classic might be the right choice for you.
How to Buy Ethereum Classic (ETC)?
You can not buy or sell Ethereum Classic on Changelly yet, but we support more than 400 cryptocurrencies to choose from and offer competitive trading fees and fast transaction times.
Is ETC a good investment? Does ETC have a future?
There are a number of factors to consider when making an investment decision. One is whether the asset is likely to appreciate in value. While past performance is no guarantee of future returns, ETC does have some things going for it that suggest it could rebound.
The cryptocurrency reached an all-time high point of $47.77 on December 21, 2017. The lowest price of ETC was registered on July 25, 2016: back then, the Ethereum Classic coin was worth only $0.45.
ETC has a strong development team that is continuously working on bringing improvements to the platform. Four independent teams are working on Ethereum Classic, including the IOHK team led by Charles Hoskinson, one of the founders of the Ethereum Foundation, which is known for the Cardano project. In addition to them, the guys from EthCore, led by Gavin Wood, the former co-founder of the Ethereum Foundation and the author of Parity, as well as the ETC Dev team and Ethereum Commonwealth are involved in the development.
Another important consideration when investing is associated risk. Cryptocurrencies are notoriously volatile, and ETC is no exception. So, if you’re thinking about investing in ETC, make sure you’re prepared for the possibility of substantial losses.
By the way, don’t forget to check out our fresh ETC price prediction!
With that said, there’s no crystal ball that can predict the future of cryptocurrencies. So, if you’re thinking about investing in ETC, remember to do your own research and only invest what you’re comfortable losing.
None of the content on Changelly is investment advice, nor is it a replacement of advice from a certified financial planner. Before deciding to buy ETC or any other cryptocurrency, we recommend you to do your own research.
Is ETH or ETC better?
Both projects have their own advantages and disadvantages, so it’s crucial to understand how Ethereum Classic differs from ETH before making a decision. We talked about the differences earlier in this article, so it’s up to each individual to decide which one is better for their needs.
How many Ethereum Classic coins are left?
As of now, Ethereum Classic’s total supply is 136,815,356 ETC while the max supply is 210,700,000 ETC.
Which crypto to buy now?
With the recent surge in Bitcoin prices, many investors are wondering if it’s time to get into the cryptocurrency market. However, with over 1,500 different cryptocurrencies to choose from, it can be difficult to know where to start. Here are a few factors to consider when deciding which crypto to buy now.
First, look at the coin’s market capitalization. This is the total value of all the coins in circulation, and it gives you an idea of how popular and valuable the coin is. Second, research the team behind the coin. Do they have a good track record? Do they have experience in the industry? Third, check out the coin’s roadmap. What are their plans for the future? Finally, don’t forget to look at the coin’s price history. Is it volatile or stable? All of these factors will help you make an informed decision about which crypto to buy now. By the way, we have a list of the cheapest cryptos for you.
Ethereum Classic is the original, non-circular version of the Ethereum network. It comes with many of the same features and benefits as the Ethereum smart contract platform and continues to evolve actively to this day. Will it be at the same place as Ethereum one day? We’ll see.
Disclaimer: Please note that the contents of this article are not financial or investing advice. The information provided in this article is the author’s opinion only and should not be considered as offering trading or investing recommendations. We do not make any warranties about the completeness, reliability and accuracy of this information. The cryptocurrency market suffers from high volatility and occasional arbitrary movements. Any investor, trader, or regular crypto users should research multiple viewpoints and be familiar with all local regulations before committing to an investment.