✔️ Information reviewed and updated in February 2024 by Pedro Martínez González
One of the most striking characteristics of cryptocurrencies is that they are based on the construction of networks or user communities such as Ethereum Classic. In the blockchain, nodes made up of users are a fundamental part of the block validation process.
Ethereum Classic emerges as a discrepancy in the community that makes up Ethereum which made the mechanism behind this virtual currency change. That is why here we will tell you everything you need to know so that you can make the most of this virtual cryptocurrency.
▶ What is Ethereum Classic?
Born from a discrepancy between the community that makes up Ethereum, as well as what happened with Bitcoin and Bitcoin Cash, this currency can be said to be the improved version. According to its creators, significant improvements to its technology are incorporated here.
Ethereum Classic is a platform and virtual currency that allows the realization of decentralized and free transactions. The collaborative concept makes the endorsement of Ethereum Classic in your community. We could establish its origins in 2016 after the Ethereum hack known as DAO attack where 50 million Ethers were stolen.
It could be said that after this event two branches emerged, one of them is that of the supporters of a Hard Fork along with the modification of the Blockchain. On the other hand, there are the people who say that the Blockchain is immutable so it should not be modified.
Those who were in favor of the Hard Fork decided to modify the Blockchain by creating a new blockchain from the hacked chain. This is how we can say that the Ethereum Classic ecosystem was born, from a discrepancy on how to prevent and solve the hack.
▶ Differences of Ethereum Classic versus other virtual currencies
- Operation: Bitcoin and its environment are limited only to carrying out economic transactions while in Ethereum Classic we find a big difference. And it is that like Ethereum, not only these transactions are allowed here, the development of smart contracts is also encouraged.
- Safety: Compared to other digital currencies, the technology behind Ethereum Classic makes the security much higher. This is because the structure of this currency is much more solid and stable, which provides more confidence. In addition, the issuance of Token is controlled to avoid inflation.
- Privacy: One of the advantages offered by using smart contracts, and which represents a difference compared to Bitcoin, is the anonymity of the transactions. This is because these contracts only require the participation of the parties involved, thus preventing third parties from accessing the transaction information.
- Mining process: Being developed by the users themselves, Ethereum Classic's algorithm makes mining a bit more accessible. Unlike Bitcoin that requires a specialized ASIC, for Ethereum Classic you only need to have a computer with a good power GPU.
▶ Technology behind
We could say that Ethereum Classic finds its base in both the Bitcoin technology and the Ethereum Blockchain. And it is worth remembering that Ethereum was born as an improvement of the original Bitcoin Blockchain adding new functions and innovations.
In this way, we find that Ethereum Classic has a robust, solid and resistant Blockchain, but with important changes. One of the most obvious is reflected in the speed of transactions, since compared to Bitcoin that takes 600 seconds to validate a block, Ethereum C takes just 12 seconds to process.
The architecture behind Ethereum Classic is based on the use of nodes, each node is made up of a client which, in turn, is a server. According to information from the same network, there are more than 34 nodes attached to the blockchain.
In addition, Ethereum Classic operates the SHA3 algorithm based on PoW - Proof of Work, which makes its operation very similar to Ethereum. Another similarity between both currencies is that they allow the creation of smart contracts, as well as the development of Dapps, apps that are integrated into the Blockchain of this currency.
The Ethereum Classic mining process is very similar to Ethereum, plus the required equipment is not that complex. Thanks to the speed of transactions and controls over coins to avoid inflation, the mining process focuses on the development and execution of Dapps and smart contracts.
You must take into account that To mine Ethereum Classic it is necessary to have an exclusive mining pool for this cryptocurrency. Another point to take into account is that the mining process includes clients and servers (network users) which mine and validate each other.
▶ How can I get it?
There are three main ways to get Ethereum Classic coins. The first is the mining of this currency, for this you need an exclusive pool for it. This process can be a bit more complicated, but also more attractive for the rewards.
The second option is to invest in Ethereum Classic through an online broker. That is, it is possible to buy this type of currency and then sell it or exchange it for other assets such as dollars in the Forex market. For this you must find a broker that allows you to operate with this virtual currency.
Last, you can get your own Ethereum Classic by buying them in an Exchange. Most exchange houses, or at least the most important ones, allow this process to be carried out, since it is one of the most popular currencies.
Take into account that In order to manage your Ethereum Classic and carry out transactions, as well as check your balance, it is necessary to have a Wallet or electronic purse. Being a widely used virtual currency, nowadays you can find all kinds of Wallet for both mobile phones and for web and software.