What’s the Difference Between Ethereum vs Ethereum Classic?

Ethereum Classic

In past months, the Ethereum ecosystem has been among investors’ most popular topics of conversation due to the Merge in September 2022. Analysts have been monitoring its repercussions on ETH to give investors an idea of what to expect. Ethereum Classic is another topic on the minds of crypto investors.

While Ethereum and Ethereum Classic aims to develop smart contracts and decentralized apps, they achieve this through different means. One significant distinction is the blockchain technology each one uses. Furthermore, they have divergent methods for conducting mining activities, changing transaction details, and limiting coin production.

What is Ethereum Classic?

The creation of Ethereum Classic happened as an offshoot of the original Ethereum blockchain platform, which was established in 2015. Although there have been modifications to the current Ethereum chain, it is still a popular choice among cryptocurrency investors.

Today, Ethereum Classic is incompatible with any Ethereum updates, including hard forks. Its ticker symbol, ETC, identifies it. Ethereum Classic focuses on a platform where users cannot alter transactions. It operates under smart contracts and produces Ether under the ETC token name.

The design of this allows users to see different trades made on the blockchain while maintaining all information anonymously. Ethereum and Ethereum Classic are two versions – one from before and one after a hard fork.

After the $50 million DAO hack, Ethereum’s blockchain technology has evolved. Unfortunately, ETC’s supporters went with the same old blockchain technology. ETH is a 2016-era fork.

The people behind Ethereum made it to help the investors that lost money in the DAO. A small group of dedicated individuals created Ethereum Classic when they refused to switch over to the upgraded version of Ethereum.

The difference between Ethereum and Ethereum Classic

There are significant differences between Ethereum and Ethereum Classic. The Ethereum platform allows prior transactions to be modified and updated. Ethereum Classic, on the other hand, utilizes the original Ethereum system that urged immutability, a procedure where users may not change transactions in blockchain history.

Ethereum Classic verifies transactions through a proof-of-work system, similar to what Bitcoin uses. Miners who verify these transactions on the blockchain receive Ether rewards.

A new Proof-of-Stake process has been put into place for the Ethereum system. Those who validate transactions contribute their “stakes” to the mining process. If chosen, they are rewarded with the chance to add a new block to the chain.

It is possible to generate as many tokens as needed with Ethereum. However, there is a cap of 4.5 percent yearly growth. In its existence, Ethereum Classic is restricted to 230 million tokens.

As of September 2021, Ethereum is worth $1,7o8 per token and has a market capitalization of nearly $260 billion. It is the second-largest cryptocurrency by market share. In comparison, Ethereum Classic’s market cap sits at only $5 billion, with a value of $33 per token.

Ethereum’s status as a cryptocurrency is being questioned by many, but Ethereum Classic has chosen to maintain its predecessors’ standards.

Ethereum Classic and Ethereum similarities

In as much as they have significant distinctions, they also share characteristics. Both Ethereum Classic and Ethereum are built as decentralized platforms without a single authority. They use many instances of the software or nodes to execute their blockchain.

Ethereum utilizes smart contracts to ensure the safety and security of the platform. These contracts mandate that people adhere to specific terms and conditions.

Although Ethereum Classic and Ethereum transactions cannot be altered, they operate as pseudonymous setups. The public keys on a transaction will stay open, but the person’s name and other identifying details will not appear. This design choice keeps specific details private.

The Ethereum Classic (ETC) price differs significantly from Ethereum (ETH). One of the primary reasons for the price difference is that ETC has a fixed supply, whereas ETH does not.

ETC focuses on code as law to ensure unbiased conditions for all, meaning that no authority has the right to halt blockchain processes or censor their execution. Ethereum Classic is a platform that allows for smart contracts and has the advantage of decentralized governance. This means that contracts can be carried out without needing any third party, like a lawyer or another supervisory entity.

Ethereum continues to reign supreme over Ethereum Classic regarding purchasing, selling, and creating NFTs. This doesn’t mean that ETC is doomed, but ETH will probably be the more popular and trusted blockchain in the future.

ETC Price Prediction: Will It Last?

Ethereum Classic Network Price Prediction

After the Ethereum Merge in September 2022, the on-chain activity of the Ethereum Classic Network elevated significantly as ETH miners migrated to ETC. This prompted a swift rise in its hash rate. Ethereum Classic has had an eventful 2022.

The Ethereum community has raised many questions about the future of Ethereum Classic (ETC) since last year’s ETH merge, from the Proof-of-Work to the Proof-of-Stake consensus. This decision has caused a shift in the overall power dynamics of the Ethereum network and raised questions about ETC’s future versus its more trusted counterpart, ETH. 

Ethereum Classic has been experiencing a surge in growth with the Merge hype and a recent influx of miners joining its network, causing double-digit gains. This fact delighted the entire Ethereum community. ETC’s price has been up by +37.58% in the last two months, with the entire cryptocurrency market in a bullish trend.

Given the current market conditions, ETC could surge to cross $50.0 by the end of 2023, driven by the growth of dApps running on the Ethereum network.

Ethereum Classic will surge in value to $30

Post merge, Ethereum Classic has pushed beyond its predecessor, advancing in both scalability and security. The ETC blockchain is more resource-friendly than ETH, allowing for much faster processing of transactions.

Analysts are positive that Ethereum Classic will surge in value and could reach approximately $30 or even more within the upcoming years. It is predicted by many to be one of the most remarkable cryptocurrencies soon. The reasons for this kind of optimism vary, yet all point toward a bright future for ETC.

Ethereum Classic is trading at $22.67, with a 24-hour trading volume of $4,789,884,954.Looking ahead, the technical analysis paints a bullish outlook for the Ethereum Classic price. If Ethereum Classic continues to follow the bullish trend, we may expect it to reach $30 in the near future.

Ethereum Classic Investment Trust forms an alliance with BTCC

To bolster its place as a subsidiary of the Ethereum community, ETC has partnered with influential people and companies, particularly through the introduction of the Ethereum Classic Investment Trust alongside an alliance with Chinese Exchange BTCC.

Thanks to Barry Silbert – the co-founder of Digital Currency Group – a slew of projects were able to come to fruition on the protocol. His endeavors enabled this by actively taking advantage of multiple financial media channels, ultimately advancing Ethereum Classic in an effective and meaningful way.

Grayscale Investments recently declared that Ethereum Trust had been changed to the SEC reporting firm, therefore including ETC amongst the foremost investments of digital assets managers with Bitcoin, Litecoin, Digital Large Cap Fund, and some others. In addition to this thrilling revelation, ETC Labs teamed up with Gitcoin in order to advance technology and bring about investor money into the venture. 

This collaboration is sure to pique investors’ attention. In order to ensure high-end developments, quality projects, and upgraded security systems, they collaborated with BloqCloud and Swarm to create BloqCloud Connect. This will provide much-needed Ethereum and Ethereum Classic infrastructure services for users.

ETC’s future vs its more trusted counterpart, ETH

Ethereum’s usage cases far surpass the Ethereum Classic network’s uses. Ethereum can be utilized to use DeFI applications in many applications and in all of these. Ethereum has much more developers building on its network than Ethereum Classic. This might be a more secure investment in the long run. 

Should you sell Ethereum Classic and buy Ethereum instead?

Ethereum Classic network has also been in shambles as the expectations regarding Bitcoin’s rise to $100K have turned to fears of stability at $40K. Previously, the growth of Bitcoin was expected to bring stability to other coins, including the Ethereum Classic, but it didn’t happen. As a result of this change, there has been a continuous decline seen in the case of many coins.

Today, we can see that the Ethereum Classic price rise has slowed down, and the coin even fell behind the original Ethereum, which the Ethereum Foundation runs. Ethereum trades with a much larger market capitalization and has gained much larger popularity. However, Ethereum Classic is still trendy and can be purchased on practically every cryptocurrency exchange.

Despite the ongoing difficulties for the market, there are chances of a market revival. If you buy the dip, there are chances that you might feel fortunate to have bought Ethereum Classic. As Bitcoin makes further gains, there are chances that the Ethereum Classic might also cross $50. The rise of this currency depends on a rally and stability in its value.

A week ago, Ethereum Classic appears to form a short-term downward trend, but some bullish signals suggest the pair might be setting up for a rally toward higher levels. For now, traders should keep an eye on the $20.35 support level, as any break below this point could signal further downside potential.

Regardless, you should first do thorough research on cryptocurrencies and other digital currencies before considering investing.

Disclaimer. The information provided is not trading advice. Cryptopolitan.com holds no liability for any investments made based on the information provided on this page. We strongly recommend independent research and/or consultation with a qualified professional before making any investment decisions.

Micah Abiodun

Micah Abiodun

Micah is a crypto enthusiast with a strong understanding of the crypto industry and its potential for shaping the future. A result-driven Chemical Engineer (with a specialization in the field of process engineering and piping design), Micah visualizes and articulates the intricate details of blockchain ecosystems. In his free time, he explores various interests, including sports and music.

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