Ethereum Classic ETC
About
What Is Ethereum Classic (ETC)?
Ethereum Classic (ETC) is the original Ethereum (ETH) blockchain that launched in July 2015. Its main function is as a smart contract network, with the ability to host and support decentralized applications (DApps). Its native token is ETC.
Since its launch, Ethereum Classic has sought to differentiate itself from Ethereum, with the two networks’ technical roadmap diverging further and further from each other with time.
Ethereum Classic first set out to preserve the integrity of the existing Ethereum blockchain after a major hacking event led to the theft of 3.6 million ETH.
Who Are the Founders of Ethereum Classic?
Ethereum Classic is in fact the legacy chain of Ethereum, and its true creator is therefore the original Ethereum founder — Vitalik Buterin.
A contentious hard fork on Ethereum occurred in July 2016, when participants disagreed over whether to revert the blockchain to cancel out the effects of a major hack. This impacted The DAO, a decentralized autonomous organization (DAO) which had raised approximately $150 million in an initial coin offering (ICO) several months earlier.
Ethereum Classic came into being as the network which did not revert the chain. Developers state that there is no “official” team attached to the project, and that its “global development community is a permissionless 'do-ocracy,' where anyone can participate.”
What Makes Ethereum Classic Unique?
Ethereum Classic’s unique attributes are a combination of the following features:
Proof-of-Work: ETC is a will remain as a proof-of-work blockchain which is the most secure consensus mechanism known to man.
Sound money: ETC is digital gold because it is a proof of work blockchain, thus the cost ti produce the money is the same as the cost to produce the blocks, and it has a fixed monetary policy with a supply cap of 210,700,000.
Programmability: ETC is programmable with smart contracts making it much more versatile and useful than other simpler cryptocurrency chains such as Bitcoin or Litecoin.
Full replication: ETC is most secure because it is fully replicated across all nodes of the network. Where other smart contract blockchains are implementing “sharding”, “parachains”, or “sidechains” that reduce security, ETC will remain fully replicated.
Composability: Composability in ETC means that all the applications enabled by programmability are inside the same system, thus making them equally secure and also able to interact with each other in single complex transactions.
Size: The larger a blockchains is, and even more if it is the largest in its category, makes the system eve more secure. ETC is the largest smart contracts blockchain that is proof of work and has a fixed monetary policy.
All the above unique features combined make ETC dapps the most secure daps in the world.
How Is Ethereum Classic Different From Ethereum?
Ethereum Classic (ETC) and Ethereum (ETH) are two separate blockchain networks that share a common history but have since diverged in philosophy and development.
Ethereum Classic is the original version of Ethereum that was launched in 2015. It is a decentralized, open-source blockchain platform that allows developers to build and deploy decentralized applications (dApps) and smart contracts. Ethereum Classic secures its network using a Proof-of-Work (PoW) consensus algorithm.
Ethereum, on the other hand, is a fork of the original Ethereum blockchain created in 2016. It emerged as a response to a hack that caused the loss of millions of dollars worth of Ether. The Ethereum community implemented a hard fork to reverse the hack and return the stolen funds to their owners. As a result, two separate blockchains, Ethereum (ETH) and Ethereum Classic (ETC), were created.
One of the main differences between Ethereum Classic and Ethereum is their approach to governance. Ethereum has a more centralized system, with a core development team that makes decisions about the platform's future. In contrast, Ethereum Classic has a more decentralized approach to governance, with decisions made by the community through a consensus process.
Another key difference between the two is their development roadmap. Ethereum has transitioned from a Proof-of-Work (POW) consensus algorithm to a Proof-of-Stake (PoS) algorithm after The Merge in September 2022. Ethereum Classic, on the other hand, has focused on maintaining its original PoW algorithm and staying true to its decentralized philosophy.
How Many Ethereum Classic (ETC) Coins Are There In Circulation?
ETC began in a very similar technical state to ETH, with the exception of how the DAO hack transactions were handled.
Since launch, however, changes in tokenomics with Ethereum Classic establishing a cap to the supply in December 2017. The maximum supply is thus 210,700,000 ETC, roughly ten times that of Bitcoin (BTC), while ETH has no cap.
ETC uses a PoW mining algorithm, which functions like Bitcoin — miners are rewarded with new coins for validating the blockchain in competition with each other. The ETC block reward decreases with time at a rate of 20% every two years or 5 million blocks, with the next drop due at block 20,000,000, roughly in June 2024 — from 2.56 ETC to 2.048 ETC per block.
How Is Ethereum Classic (ETC) Secured?
When ETC was a minority chain, it suffered some attacks. These included 51% attacks to gain control of mining hashrate and execute spurious transactions and double spend coins, the most recent of which occurred in August 2020.
Ethereum Classic uses the Proof-of-Work (PoW) consensus algorithm. By resolving computationally intensive puzzles to create and validate blocks of transactions, Ethereum Classic miners protect the network.
The ETC blockchain is also fully replicated, which makes it redundant across many nodes worldwide making it practically impossible to take down or tamper with by natural disaters or man.
Now that it is the largest proof of work smart contracts blockchain in the world, its security levels have significantly increased to the point that developers have removed the safety features they added after the 51% attacks of 2020.
How is Ethereum Classic mined?
A subgroup of the nodes of the Ethereum Classic blockchain are miners. These miners group transactions in batches, add to them a time stamp, the previous block cryptographic stamp or hash, and a random iterating number called a nonce.
Once they do this, they create a new cryptographic stamp for this new block specifically and immediately check if it hit a specific target that the protocol determines. If it didn’t hit the target, then the miners go back, change the random iterating number as soon as possible and try again. If they didn’t hit the target again, then they try again, and again, and again, until one of the miners hits the target.
They may do this trillions of times per second, and this is what uses up so much energy and is referred to as “proof of work” because only by working in trying so many times, using so much computing power and electricity, is that, statistically, one of the miners will hit the target within the range of the standard block time, which is 13 seconds in ETC.
When a miner hits the target, then they send the block to the rest of the network for verification and payment of the miner reward plus the block's transaction fees.
Where Can You Buy Ethereum Classic (ETC)?
ETC is a major market cap cryptocurrency and is freely tradable on a large number of major exchanges.
Pairs are available against stablecoins, other cryptocurrencies and fiat currencies, while derivatives and institutional investment vehicles also exist. Exchanges that let you buy Ethereum Classic include Binance, OKEx, HTX and Coinbase.
Crypto newbie? Read our easy guide to buying Bitcoin and any other cryptocurrency.
AI Analysis
What is the Ethereum Classic (ETC) cryptocurrency good for? What are its main use cases?
Ethereum Classic (ETC) is a decentralized, open-source cryptocurrency that was created as a result of a hard fork from the Ethereum blockchain in 2016. While it shares many similarities with Ethereum (ETH), ETC has its own unique features, use cases, and community. Here are some of the main use cases for Ethereum Classic:
- Smart Contracts: Like Ethereum, ETC allows for the creation and execution of smart contracts, which are self-executing contracts with the terms of the agreement written directly into code. This enables decentralized applications (dApps) to be built on top of the ETC blockchain.
- Decentralized Applications (dApps): ETC's smart contract functionality enables the development of dApps, which can be used for a wide range of purposes, such as gaming, social media, and finance.
- Decentralized Finance (DeFi): ETC can be used for DeFi applications, such as lending, borrowing, and trading, which are built on top of the blockchain.
- Tokenization: ETC's blockchain can be used to create and manage tokens, which can represent assets, such as securities, commodities, or currencies.
- Gaming: ETC's blockchain can be used to create decentralized gaming platforms, where players can engage in peer-to-peer transactions and interact with each other in a trustless manner.
- Prediction Markets: ETC's blockchain can be used to create prediction markets, where users can bet on the outcome of events, such as sports games or elections.
- Identity Verification: ETC's blockchain can be used to create decentralized identity verification systems, where users can securely store and manage their personal data.
- Supply Chain Management: ETC's blockchain can be used to create transparent and tamper-proof supply chain management systems, where products can be tracked and verified at every stage of the supply chain.
- Mining: ETC can be mined using specialized computer hardware, which helps to secure the network and verify transactions.
- Development and Testing: ETC's blockchain can be used as a testing ground for developers to test and deploy their applications before deploying them on the Ethereum network.
ETC's main advantages over Ethereum include:
- Lower transaction fees: ETC's transaction fees are generally lower than those on the Ethereum network.
- Faster transaction times: ETC's block time is faster than Ethereum's, which means that transactions are confirmed more quickly.
- More decentralized: ETC's community is often seen as more decentralized and resistant to centralization than Ethereum's.
However, ETC's market capitalization and trading volume are significantly lower than those of Ethereum, which can make it more challenging to use ETC for certain applications. Additionally, ETC's smart contract functionality is not as widely adopted as Ethereum's, which can limit its use cases.
What blockchain does Ethereum Classic use? Is it its own blockchain or built on top of another?
Ethereum Classic (ETC) operates on its own independent blockchain, which is a continuation of the original Ethereum (ETH) blockchain before the DAO hard fork in 2016.
Key Points:
- Original Ethereum Chain – ETC is the continuation of the Ethereum blockchain as it existed before the DAO hard fork (July 20, 2016).
- No Forking from Another Blockchain – Unlike some other cryptocurrencies that are built on top of existing blockchains (e.g., ERC-20 tokens on Ethereum), ETC is not built on top of another blockchain. It is a standalone, fully independent blockchain.
- Same Codebase (Pre-Fork) – Initially, ETC shared the same codebase as Ethereum (ETH) before the fork. However, over time, the two chains have diverged in terms of development and upgrades.
- No Smart Contract Compatibility with ETH – While ETC supports smart contracts (like Ethereum), it does not follow all of Ethereum’s upgrades (e.g., EIP-1559, EIP-4844). This means some smart contracts and tools designed for ETH may not work on ETC.
Summary:
Ethereum Classic is its own blockchain, not built on top of another. It is the original Ethereum chain that continued after the DAO hard fork, while Ethereum (ETH) became a separate blockchain with different upgrades and governance.
Is Ethereum Classic programmable? Does it support smart contracts or decentralized applications?
Yes, Ethereum Classic (ETC) is a programmable blockchain that supports smart contracts and decentralized applications (dApps). It uses a Turing-complete virtual machine, called the Ethereum Virtual Machine (EVM), which allows developers to create and deploy self-executing contracts with specific rules and conditions.
Ethereum Classic's blockchain is based on the same protocol as Ethereum (ETH), and it shares many of the same features, including:
- Smart contract support: ETC allows developers to create and deploy smart contracts, which are self-executing contracts with the terms of the agreement written directly into code.
- Decentralized application (dApp) support: Ethereum Classic's blockchain can support a wide range of decentralized applications, including games, social media platforms, and financial applications.
- Ethereum Virtual Machine (EVM): The EVM is the runtime environment for smart contracts on the ETC blockchain, allowing developers to write and deploy contracts using programming languages like Solidity.
- Decentralized governance: ETC has a decentralized governance model, which allows holders of ETC tokens to participate in voting on proposals for the development and growth of the network.
While Ethereum Classic's programmability and support for smart contracts and dApps are similar to those of Ethereum, there are some key differences between the two blockchains. For example, Ethereum Classic has a different development roadmap and a distinct community, and it has not implemented some of the upgrades and changes that have been made to the Ethereum network.
Overall, Ethereum Classic's programmability and support for smart contracts and dApps make it a popular choice for developers and users who are interested in building and using decentralized applications on a blockchain that is not subject to the same level of centralization and control as some other blockchain platforms.
How fast are Ethereum Classic transactions? What is the typical confirmation time and throughput (transactions per second)?
Ethereum Classic (ETC) transactions have varying speeds depending on network congestion, gas fees, and the type of transaction being processed. Here’s a breakdown of its typical performance:
1. Transaction Confirmation Time
- Average Block Time: ~13–15 seconds (same as Ethereum before the Merge, as ETC is a fork of the original Ethereum chain).
- Typical Confirmation Time:
- 1–2 blocks (~15–30 seconds) for basic transactions (e.g., simple token transfers).
- 6–12 confirmations (~1–2 minutes) for security-sensitive transactions (e.g., large transfers, smart contract interactions).
- Higher gas fees can speed up confirmation times by incentivizing miners to prioritize the transaction.
2. Throughput (Transactions Per Second - TPS)
- Base Layer (Layer 1) TPS: ~10–25 TPS (similar to Ethereum pre-Merge).
- Peak TPS: Can occasionally reach ~30–40 TPS under optimal conditions.
- Comparison to Ethereum (Post-Merge): ETC does not have Ethereum’s Layer 2 scaling solutions (e.g., rollups), so its base-layer throughput remains lower than Ethereum’s current capacity (~100+ TPS with L2s).
3. Factors Affecting Speed
- Network Congestion: High demand (e.g., during airdrops or DeFi activity) can slow down confirmations.
- Gas Fees: Higher fees can prioritize transactions, but ETC generally has lower fees than ETH.
- Hard Forks & Upgrades: ETC has undergone upgrades (e.g., Mantis, Thanos) to improve efficiency, but it still lacks Ethereum’s advanced scalability solutions.
4. Comparison to Ethereum (ETH)
- ETC is slower than Ethereum (which now uses Proof-of-Stake and has Layer 2 solutions like Arbitrum and Optimism).
- ETC is faster than Bitcoin but slower than many modern blockchains (e.g., Solana, Avalanche).
Conclusion
Ethereum Classic transactions are moderately fast (~15–30 seconds for basic confirmations) with low to moderate throughput (~10–25 TPS). For faster and cheaper transactions, users may consider Layer 2 solutions (though ETC lacks native L2s) or alternative blockchains.
Would you like details on optimizing transaction speed on ETC?
How much data can I store on the Ethereum Classic blockchain? Does it support on-chain data storage?
Ethereum Classic (ETC), like Ethereum (ETH), is a blockchain network that supports smart contracts and has a similar infrastructure. However, when it comes to on-chain data storage, there are some limitations.
Ethereum Classic does support on-chain data storage, but it's not designed for large-scale data storage. The blockchain is primarily optimized for executing smart contracts and storing transaction data, not for storing large amounts of data.
The main limitation is the block size limit, which is currently around 8 million gas units per block. Gas is a unit of measurement for the computational effort required to execute transactions and smart contracts on the Ethereum Classic network.
On-chain data storage on Ethereum Classic is typically used for storing small amounts of data, such as:
- Contract code: The code for smart contracts is stored on the blockchain.
- Contract data: Small amounts of data, like mappings or arrays, can be stored in contract storage.
- Transaction data: Transaction metadata, such as sender, recipient, and transaction value, is stored on the blockchain.
However, storing large amounts of data, like files or documents, is not practical or cost-effective on the Ethereum Classic blockchain. This is because:
- Gas costs: Storing large amounts of data would require a significant amount of gas, making it expensive.
- Block size limitations: The block size limit would be quickly reached, leading to network congestion and increased transaction fees.
- Data retrieval: Retrieving large amounts of data from the blockchain would be slow and inefficient.
If you need to store large amounts of data, it's recommended to use off-chain storage solutions, such as:
- InterPlanetary File System (IPFS): A decentralized storage network that allows you to store and share files.
- Swarm: A decentralized storage platform that enables you to store and retrieve data in a decentralized manner.
- Cloud storage: Traditional cloud storage solutions, like Amazon S3 or Google Cloud Storage, can be used to store large amounts of data.
You can then use Ethereum Classic or other blockchain networks to store references or hashes to the data, allowing you to verify the integrity and ownership of the data without storing it directly on the blockchain.
In summary, while Ethereum Classic does support on-chain data storage, it's not suitable for large-scale data storage due to gas costs, block size limitations, and data retrieval efficiency. Off-chain storage solutions are recommended for storing large amounts of data.
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