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The ultimate guide to Ethereum Classic

Before the current Ethereum became the second-best digital asset in the crypto sphere, it has a hard fork called the Ethereum Classic. With it’s cheap, lightning-fast, and efficient transactions, this decentralized network is one of the emerging tokens in the market. If you’re curious to know more about Ethereum Classic and how it came to be, read this article on Cryptoshimbun!

What is Ethereum Classic?

The Ethereum Classic is a hard fork of the Ethereum Network. Similar to Ethereum, it was designed as a computing network that can facilitate smart contracts and decentralized applications (dApps).

Smart contracts are digital protocols that can execute themselves through a special computing algorithm. When two parties use smart contracts, an agreement between the two must take place through an exchange of code. Once it’s done, it will run in a decentralized network where it can execute transactions that cannot be reversed.

Through smart contracts, agreements between different entities can take place without the need for any third party. Furthermore, the demands between parties involved must be fulfilled in order for the smart contract to perform its function.

Before the current version of Ethereum existed, the Ethereum blockchain was a network where transactions are carried out through its native coin, Ether.

In June 2016, the network underwent a chain split because of a breach that amounted to a loss worth US$50 million. This resulted in the creation of the Ethereum Classic cryptocurrency.

The hard fork allowed the network to retrieve all the embezzled money and render the hackers’ transactions ineffectual because there are two versions of the blockchain running parallel to each other.

Ethereum Classic: How does it work?

Since its inception, developers of the Ethereum Classic call it the ‘purest decentralized project’ in the crypto sphere because of its untampered algorithm. It functions as a smart contract machine that supports the execution of smart contracts.

In the Ethereum Classic network, there are miners that validate the transactions through a consensus protocol called ‘Proof of Work’. Each time a miner successfully validates a transaction, they will earn ETC as incentives and the information they processed will be stored in a new block in the chain.

All of these blocks are linked together through cryptographic hashes that make them irreversible and immutable from being tampered.

The Ethereum Classic’s ledger contains all the accounts and balances. Inside the network, there are two levels that show the current balances and the accounts in the platform. The other shows the supporting data of the accounts.

Ethereum Classic vs Ethereum: What’s the difference?

While Ethereum Classic is an Ethereum hard fork, the two networks have disparate characteristics that set them apart from each other. However, both of them function as computational programs that can support facilitating smart contracts and decentralized applications.

The difference between the two lies in the scalability because Ethereum Classic is still facing issues with its transaction speed. However, there have been a lot of upgrades implemented to improve its performance.

Furthermore, the two networks function on different consensus protocols. The Ethereum Classic network uses a Proof of Work protocol similar to Bitcoin’s system.

On the other hand, the Ethereum Foundation recently launched Ethereum 2.0, which is the new and improved version of the network. The current version now utilises a Proof of Stake protocol, a type of consensus mechanism where an AI chooses the validator who will validate a transaction.

Ethereum Classic: Is it worth the investment?

While Ethereum Classic is not as popular in the crypto market as Ethereum, it has its strengths that users can benefit from.

One example is that Ethereum Classic is more flexible compared to Ethereum, which dApps developers can use when they create applications on the network. Moreover, when it comes to price, ETC is cheaper. This makes it more accessible and affordable for people who are interested in investing or developing apps using Ethereum.

Best platforms to get Ethereum Classic

eToro

eToro is a trading platform where you can get Ethereum, Ethereum Classic, and other major digital assets. Using this platform allows you to process your transactions through bank transfers, credit cards, SEPA, Neteller, Paypal and more.

Additionally, the site also offers other useful features such as copy trading. This type of trading is simply the act of copying another trader’s strategies. If you’re a first time user, eToro has an uncomplicated interface that you can easily navigate.

Coinmama

Since 2014, Coinmama has been one of the most competitive platforms that offer Ethereum and Ethereum Classic. What makes this exchange special is that it allows users to purchase cryptocurrencies using credit and debit cards.

Aside from the easy payment method, Coinmama also provides top-notch customer service that can give you instantaneous results. Aside from Ethereum, you can also find Bitcoin and Litecoin in their portfolio. To date, Coinmama is one of the easiest ways to get Ethereum Classic.

Coinbase Pro

Another way to acquire Ethereum Classic is through Coinbase Pro. If you’re looking for a way to easily purchase ETC, you can go to Coinbase and make an account because they offer a huge portfolio of assets. They also provide more trading options if you upgrade your account from basic to pro.

Alternative ways to acquire Ethereum Classic cryptocurrency

Peer-to-peer trading

One of the quickest ways to buy Ethereum Classic cryptocurrency is to buy it through cash because you can instantly find people who are selling Ethereum on different markets.

ETC mining

If you are familiar with the concept of crypto mining and you have the equipment for it, you can mine ETC and receive incentives for maintaining the Ethereum Network.

Earn your own ETC

Another method you can do to acquire ETC is by earning it through trading goods that pay in ETC tokens. You can do this by developing decentralized apps on the Ethereum Classic network.

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