Introduction to Ethereum Classic (ETC)
Launched in July 2016, Ethereum Classic (ETC) originated as a hard fork of Ethereum (ETH). Its primary mission is to function as a robust smart contract platform, fully capable of hosting and supporting decentralized applications (DApps). At its core, the network utilizes ETC as its native cryptocurrency. Over time, Ethereum Classic has established its unique identity, diverging significantly from Ethereum’s technological roadmap.
The Genesis of Ethereum Classic
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The inception of Ethereum Classic was catalyzed by a significant hacking incident that resulted in the theft of 3.6 million ETH. This prompted Ethereum Classic to focus on safeguarding the original Ethereum blockchain. The roots of Ethereum Classic trace back to the original creators of Ethereum, Vitalik Buterin and Gavin Wood. A pivotal moment occurred in July 2016 when a contentious hard fork was proposed to reverse the blockchain and mitigate the repercussions of the attack. This event impacted The DAO, a decentralized autonomous organization, which had amassed around $150 million through an initial coin offering (ICO) a few months earlier. Ethereum Classic emerged as the network that chose not to alter the original chain.
The Philosophy and Community of Ethereum Classic
Ethereum Classic operates on a philosophy of maintaining the original Ethereum blockchain’s integrity as it existed prior to The DAO hack. Initially, it garnered support from individuals dissatisfied with Ethereum’s response to the hack. Over time, its following has expanded to include notable investors such as Barry Silbert, CEO of Grayscale, an investment firm. The ETC development community is characterized as a global, permissionless “do-ocracy,” encouraging open participation without an official team structure.
Network Structure and Future Prospects
As a voluntary organization, the developers of Ethereum Classic do not aim to convert the network into a profit-driven entity. Users are required to pay transaction fees akin to those on Ethereum, and miners are rewarded based on the proof-of-work (PoW) algorithm. Unlike its counterpart, Ethereum Classic has no current plans to adopt a proof-of-stake (PoS) consensus model, although some developers are exploring potential network upgrades, including scaling solutions.
Conclusion
Ethereum Classic remains committed to preserving the legacy of the original Ethereum network while continuing to evolve with community-driven developments. For enthusiasts and investors interested in the future of Ethereum Classic, understanding its distinct path and potential upgrades is crucial.
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Also read:
Understanding Ethereum (ETH) Price in USD
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