What Is Ethereum Classic?
Ethereum Classic (ETC) is a type of cryptocurrency that continues the original Ethereum blockchain following the DAO attack in June 2016.
Ethereum Classic is a decentralized blockchain platform that lets anyone build and use decentralized applications that run on blockchain technology.
Like Bitcoin, no one controls or owns Ethereum Classic – it is an open-source project built by people worldwide.
Ethereum Classic was designed to be adaptable and flexible to make it easy to create new applications on the Ethereum Classic platform.
Ethereum (ETH) is essentially a hard fork of the blockchain formed to refund the money that was siphoned during the attack (around $50 million).
Understanding Ethereum Classic
Ethereum Classic facilitates running smart contracts by offering the benefit of decentralized governance. In other words, the arrangements can be enforced without a third party involved, such as a lawyer. Smart contracts are similar to if-then statements, meaning if the actions required within the contract have been fulfilled, then the responding contract parameters would be completed. If the contract parameters have not been fulfilled, there might be a penalty, a fee, or the contract might be voided, depending on the terms established at the onset of the contract.
For example, in a real estate transaction, if the contract stated that an upfront deposit was to be paid on a specific date and the funds were not received, the warranty could be voided. The smart contracts are contained within a distributed ledger or blockchain network. A distributed ledger is a ledger of transactions and agreements, which are kept and maintained decentralized across various locations.