Ethereum vs Ethereum Classic: Everything You Need to Know

Ethereum vs Ethereum Classic: Everything You Need to Know

Ethereum vs Ethereum Classic are two competing blockchain platforms with different philosophies about how the blockchain should be run. While both platforms are similar in many ways, they also have significant differences.

Ethereum is a platform for decentralized applications (dApps) and smart contracts. Ethereum Classic is a platform for decentralized applications and smart contracts, with a focus on immutability and censorship resistance.

Key Differences

Ethereum was founded in 2014 by Vitalik Buterin, with the goal of creating a global, decentralized computer. Ethereum Classic was created in 2016, after a controversial hard fork of the Ethereum blockchain.

The hard fork was the result of a disagreement about how to handle the funds stolen in the DAO hack. The fork resulted in two separate blockchains: Ethereum (ETH) and Ethereum Classic (ETC).

Ethereum and Ethereum Classic both use the same programming language, Solidity. However, they have different virtual machines. Ethereum uses the Ethereum Virtual Machine (EVM), while Ethereum Classic uses the Classic Virtual Machine (CVM).

Ethereum has a higher transaction speed than Ethereum Classic. Ethereum can process 15 transactions per second, while Ethereum Classic can only process 5 transactions per second.

Lastly, Ethereum is backed by a number of major corporations, including Microsoft, JPMorgan Chase, and Intel. Ethereum Classic is not backed by any major corporations.

ethereum vs ethereum classic
Source: Nerdwallet

Does Ethereum Classic (ETC) follow Ethereum (ETH)?

Ethereum Classic (ETC) does not follow Ethereum (ETH). While the two blockchains share a history, Ethereum Classic (ETC) was created as a result of a hard fork and is now a separate blockchain. Also, while Ethereum (ETH) uses a Proof-of-Work (PoW) consensus algorithm, Ethereum Classic (ETC) uses a Proof-of-Stake (PoS) consensus algorithm.

PoW is a system that ties mining capability to computational power. Blocks must be hashed, and the difficulty of each block increases as time goes on. In order to improve their chances of getting the next block and receiving the reward, a miner will need to increase their computational power.

This system makes it very difficult for someone with malicious intent to control a majority of the network, as they would need a majority of the computational power.

PoS, on the other hand, ties mining capability to the amount of currency a miner holds. The more currency a miner holds, the more likely they are to mine the next block. While this system is not as secure as PoW, it is more efficient and requires less energy.

Furthermore, the two communities that support each blockchain have different philosophies. The Ethereum Classic (ETC) community believes in immutability and believes that all transactions on the blockchain should be final. The Ethereum (ETH) community is more accepting of changes to the blockchain, particularly when it comes to upgrading the protocol.

Ethereum Classic (ETC) vs Ethereum (ETH): How the split happened and their future

Ethereum Classic (ETC) is a fork of Ethereum (ETH). The fork happened in 2016 after the DAO hack. The fork was caused by a disagreement on how to handle the hack. The ETH community decided to hard fork the blockchain to refund the DAO investors while the ETC community decided to keep the blockchain as it is. The two communities have since been at odds with each other.

DAO is short for Decentralized Autonomous Organization. It was a smart contract created on the Ethereum blockchain that raised over $150 million in ether. The DAO was hacked and the attacker stole $50 million worth of ether. The ETH community decided to hard fork the Ethereum blockchain to recover the funds. The hard fork created a new blockchain, Ethereum (ETH), and the old blockchain became Ethereum Classic (ETC).

The recent Ethereum merge has caused a lot of controversy in the crypto community. Some people believe that the merge is a good thing while others believe that it is a bad thing. The merge has caused a lot of debate and it is still unclear how the two communities will coexist in the future.

However, it is clear that both communities have different philosophies. The ETH community is more focused on new features while the ETC community is more focused on scaling solutions. It is still unclear how the two communities will coexist in the future but it is clear that they have different philosophies.

Ethereum vs Ethereum Classic Investment

Here are what will help you decide which coin to invest in:

1. Do you believe in the original vision of Ethereum?

2. Do you believe that the hard fork that was implemented on the network was unethical and unnecessary?

3. Do you believe that the team behind Ethereum Classic is competent to deliver on the original vision?

4. Are you willing to take on more risk for the potential of higher rewards?

If you answered yes to any of the above questions, then Ethereum Classic could be a good investment for you.

Ethereum however, is a safer investment. It is the more established coin with a larger market cap. It also has a more active development team and community. Also, since it is the coin that was created after the hard fork, it has more support from exchanges and wallets.

Furthermore, it is the second most popular cryptocurrency after Bitcoin. This means that it has more liquidity and is more likely to be adopted by mainstream businesses and institutions.

In the end, it all comes down to your personal preferences and beliefs. If you believe in the original vision of Ethereum and are willing to take on more risk, then Ethereum Classic could be a good investment for you. However, if you want a safer investment with more upside potential, then Ethereum is a better choice.

Why is Ethereum Classic so cheap?

There are a few reasons why Ethereum Classic is cheaper than other cryptocurrencies. One reason is that it is a fork of Ethereum, so it has less development and marketing behind it. Additionally, Ethereum Classic has a smaller market cap than Ethereum, so it is more susceptible to price fluctuations.

Other reasons for the low price of Ethereum Classic include the fact that it is not as widely adopted as Ethereum, and that it has a lower trading volume. However, Ethereum Classic has been slowly gaining traction in recent months, so its price may start to increase in the future.

Conclusion

Both Ethereum and Ethereum Classic are viable cryptocurrencies, with two different approaches to scalability. Ethereum Classic has a very clear vision and has so far stuck to its guns. Ethereum has a clear vision but has struggled to implement it. And that makes all the difference.

If you want to invest in a cryptocurrency that is much more likely to stick to its guns, go with Ethereum Classic. However, if you want to invest in a cryptocurrency that is a market leader and is much more likely to be adopted by mainstream businesses, then go with Ethereum. Either way, you can’t go wrong.

About Ahmad Abdullahi

Avatar photoI am Ahmad, a content writer. I write high-quality SEO articles, and blog posts that you need for your website to gain more niche authority.

Leave a Reply

Your email address will not be published.

1 × 4 =