A Deep Dive into Ethereum Classic (ETC) - The Resilient Blockchain

Explore Ethereum Classic (ETC), an open-source, decentralized blockchain platform capable of running smart contracts. Understand its origins, philosophy, and future.

Ethereum Classic: The Resilient Blockchain Holding Firm on Principles

Ethereum Classic (ETC) is an open-source, decentralized, blockchain-based cryptocurrency platform that runs smart contracts. Formed in 2016 due to a hack of a decentralized autonomous organization (DAO), Ethereum Classic remains steadfast in its philosophy of immutability: ‘Code is Law.’

Key Highlights

  • Origins: Ethereum Classic is an open-source, decentralized blockchain that emerged in 2016 following a significant hack of The DAO, a smart contract-based organization on the original Ethereum blockchain.
  • Philosophy: Emphatically adhering to the principle that ‘Code is Law,’ Ethereum Classic participants chose not to reverse the hack, preserving the sanctity of the blockchain’s history.
  • Smart Contracts: The platform retains the functional capacity to run smart contracts, automating transactions and interactions based on predefined conditions.
  • Distinct From Ethereum: Although sharing common roots, Ethereum Classic distinguished itself by maintaining a proof-of-work consensus mechanism and a capped supply of 210.7 million ETC.

Understanding Ethereum Classic: The Immutable Blockchain Network

Ethereum Classic functions primarily like Bitcoin but with enhanced functionalities, such as running self-executing smart contracts. These contracts can conduct activities autonomously once specific conditions are met, ensuring trustless and reliable transactions without third-party interference.

Historical Context

Ethereum’s original blockchain was conceived by Vitalik Buterin and the Ethereum Foundation and launched in 2015. With the DAO managing to attract over 18,000 investors contributing more than 11 million ETH, a vulnerability exploited by hackers led to the loss of one-third of the accumulated ether. This crisis resulted in Ethereum splitting into two entities:

  • Ethereum (ETH): The new blockchain, with changes implemented to invalidate the hack.
  • Ethereum Classic (ETC): The original, unaltered blockchain.

Ethereum Classic’s Scalability Challenge

One significant challenge has been Ethereum Classic’s scalability. While its network can manage between 10-20 transactions per second, this is notably fewer than traditional payment systems. Continuous updates have been implemented to address these limitations, but scalability remains a concern.

Future Perspectives of Ethereum Classic

Although still in the shadows of Ethereum in terms of global popularity, Ethereum Classic holds a dedicated community and undergoes constant development. Periodic upgrades keep the platform relevant, providing compatibility with Ethereum’s network changes and aiming to establish ETC as a compelling digital store of value.

Distinctions from Ethereum

Prominent differences include:

  • Proof-of-Work vs. Proof-of-Stake: Ethereum Classic maintains its proof-of-work mechanism, where competitive mining remains integral.
  • Token Supply: Ethereum Classic has a fixed limit on its total token supply of 210.7 million. This includes halving-like events every 5 million blocks, gradually reducing block rewards.

Vision and Goals

The objective behind Ethereum Classic is to build a global utility to facilitate decentralized smart contracts without central governance interference. Prospects alike with other cryptocurrencies look towards establishing a firm footing as a digital store of value.

Forward Looking Sentiment

While remaining clear about uncertainties in the cryptocurrency domain, particularly market prices, Ethereum Classic aims to retain its esteemed base and robust participation to stay competitive. Its continued presence on exchanges and foothold amongst miners points towards sustained interest, despite the uphill challenge.

Considering Ethereum Classic as an Investment

Whether Ethereum Classic is a suitable investment hinges on personal attitudes towards risk, investment strategy, and outlook for blockchain’s competing potentials.

Related Terms: Ethereum, Blockchain, Cryptocurrency, Smart Contracts, Open-Source.


  1. The New York Times. “A Hacking of More Than $50 Million Dashes Hopes in the World of Virtual Currency”.
  2. Ethereum. “Hard Fork Completed”.
  3. Ethereum Classic. “Apps and Protocols”.
  4. Coinbase. “All Assets by Market Cap”.
  5. Ethereum Classic. “Classic History”.
  6. Ethereum Classic. “The Ethereum Classic Fifthening Is in June 2024!”
  7. Ethereum Classic Improvement Proposals. “ECIP 1017: Monetary Policy and Final Modification to the Ethereum Classic Emission Schedule”.

Get ready to put your knowledge to the test with this intriguing quiz!

--- primaryColor: 'rgb(121, 82, 179)' secondaryColor: '#DDDDDD' textColor: black shuffle_questions: true --- markdown ## What is Ethereum Classic (ETC)? - [ ] A completely different blockchain from Ethereum - [ ] A cryptocurrency created by Ripple - [x] The original Ethereum blockchain that continued without changing its protocol - [ ] A private blockchain network ## Why did Ethereum Classic (ETC) and Ethereum (ETH) split into two separate blockchains? - [ ] Due to differences in mining algorithms - [ ] Because of differences in market capitalization - [ ] To accommodate new investment opportunities - [x] As a result of a disagreement on how to handle the DAO hack ## Which major event led to the creation of Ethereum Classic (ETC)? - [ ] The inception of Bitcoin - [x] The decentralized autonomous organization (DAO) hack - [ ] Ethereum's ICO (Initial Coin Offering) - [ ] The establishment of the Ethereum Foundation ## What is the primary difference between Ethereum (ETH) and Ethereum Classic (ETC)? - [ ] ETC supports smart contracts while ETH does not - [ ] ETH is based on a proof-of-stake consensus while ETC is proof-of-work - [ ] ETH uses Solidity programming language and ETC does not - [x] ETC did not implement a hard fork after the DAO hack whereas ETH did ## What symbol is used to represent Ethereum Classic in cryptocurrency exchanges? - [ ] ETH - [ ] BTC - [x] ETC - [ ] LTC ## Which of the following goals does Ethereum Classic aim to achieve? - [ ] Converting to a proof-of-stake network - [x] Preserving the original Ethereum blockchain - [ ] Moving completely away from blockchain technology - [ ] Eliminating smart contracts functionality ## What is a primary benefit of Ethereum Classic compared to Ethereum? - [ ] Higher transaction speeds - [ ] Lower mining rewards - [x] A commitment to immutability and censorship resistance - [ ] Greater support from institutional investors ## How does Ethereum Classic (ETC) secure its transactions? - [ ] By using proof of merchant validation - [ ] Through a centralized banking system - [ ] By limiting nodes to trusted entities only - [x] Via proof-of-work consensus mechanism ## Which development strategy does Ethereum Classic emphasize for its future? - [ ] Transitioning to a private enterprise blockchain - [ ] Moving to a proof-of-stake system - [x] Remaining as a proof-of-work blockchain while improving compatibility with Ethereum - [ ] Eliminating the concept of decentralized applications ## What is a major challenge that Ethereum Classic faces moving forward? - [ ] Over-regulation by global authorities - [ ] An increasing supply cap - [x] Lower network security compared to Ethereum due to fewer miners - [ ] Incompatibility with other blockchains