Ethereum Classic is an open-source, decentralized, distributed, blockchain-based cryptocurrency that employs smart contracts. After a hack in 2016, the Ethereum community was unable to agree on whether to compensate the network’s affected users, which gave rise to Ethereum Classic. The initial blockchain was divided in two, with Ethereum Classic remaining as the original, “immutable,” chain and Ethereum continuing as a hard fork under Vitalik Buterin’s direction. In this article, you will learn about ETC basics and why Ethereum Classic was renamed into Ergo.
What is Ethereum Classic (ETC)?
Vitalik Buterin and his team created Ethereum Classic at the beginning as software that would enable programmers to create new cryptocurrency tokens and decentralized apps (dApps) that would function on the brand-new Ethereum blockchain network. In addition to providing a blockchain network with decentralized governance, Ethereum Classic hosts dApps and facilitates value exchange via smart contracts that are housed within a distributed ledger.
But in June 2016, the Ethereum network witnessed a hard split as a result of debates over immutability between the mining community and the developers. An active community of miners is currently responsible for maintaining Ethereum Classic, and they have chosen to follow a distinct technical development roadmap. Since its creation, Ethereum Classic has avoided forking and developer-driven changes.
How does Ethereum Classic (ETC) work?
Similar to Bitcoin, Ethereum Classic validates transactions using a Proof of Work (PoW) consensus mechanism. Miners take responsibility for network security as well as processing transactions and building blocks with the help of their time and computing power. Utilizing the network requires that transactions occur in the proper sequence. The network is shielded from bad actors because blocks can only be created by miners who can solve computationally difficult issues.
A fundamental feature of Ethereum Classic is the network’s support for smart contracts, which users may utilize to run programs. Self-executing agreements, or if-then conditions, are a component of these smart contracts and are specified in code lines. Because the process is entirely self-contained, there is no need for a third party, such a lawyer, to conduct any transactions between a buyer and seller.
Ethereum Classic has promised to use Proof-of-Work mining to maintain the security of its blockchain and would not include upgrades from the split Ethereum network. Also implementing a fixed monetary policy is ETC.
What Makes Ethereum Classic (ETC) Unique?
One of the most historically well-liked hard forks of any blockchain is Ethereum Classic, which remains popular today. Due to the use of the same base code, many of the functionality present in Ethereum may also be found in Ethereum Classic. With a different philosophy than Ethereum, Ethereum Classic seeks to stay immutable and provides users with a robust Proof of Work system. In advance, at crypto exchange CEX.IO you have an opportunity to get an online Ethereum web wallet which can help you with your investments and for buying Ethereum enter the amount in ETH or fiat that you want to purchase.
What happened with Ethereum Classic?
After Cardano inventor Charles Hoskinson converted the Ethereum Classic Twitter account into the new community page for the Ergo community, followers of the account may have found themselves unintentionally becoming supporters of a totally new cryptocurrency project.
Since its creation in July 2016, the Ethereum Classic account has gained over 600,000 followers and was used to post about Ethereum Classic until September 15.
But as of October 6, the Twitter page now features the Ergo Platform, a proof-of-work (PoW) blockchain with connections to Cardano that enables smart contracts and is similar to Ethereum.
In a long discussion posted on Oct. 6, the executive director of a nonprofit organization that supports Ethereum Classic, Bob Summerwill, accused Hoskinson of reusing the account and said that “6 years of community labor has been lost.”
With barely 1200 followers as of this writing, the new handle has not yet attracted as many followers as its previous account.
Input Output Hong Kong (IOHK), a blockchain corporation owned by Hoskinson, left the ETC for a second time after obtaining no support for its own plan, as described by Summerwill in the thread. Up until his revelation on September 6 that he would not be returning the Twitter account to the ETC community, Hoskinson kept mute regarding the account.
Hoskinson’s action effectively increased the Ergo Platform’s Twitter following, which had only 64,000 followers under its previous username, ergoplatformorg. Even the “new account,” Ergo Platform, has been promoted by the owner of the Ergo account to followers.
Additionally, it is important to remember that Hoskinson has often declared his dislike for the Ethereum Classic network. The intensity of the conflict, though, seems to have increased during the past month. Additionally, Hoskinson blatantly referred to ETC as a “dead project with no purpose” in September. ETC was selling at $27.78 at the time, down 1.50 percent on the day. We just have to see how the situation will unfold in the future.