Ethereum vs. Ethereum Classic What are the differences?
The global cryptocurrency space has a large coin and token market. However, among them, there are still preferred ones for many crypto traders and investors. ethereum (ETH) and Ethereum Classic (VB) are among them.
The Ethereum network has received various splits into different independent blockchains. The last one—EthereumPoW—happened after the merge. Although Ethereum Classic has Ethereum in its name, it has different features than Ethereum. It is important to understand how ETH differs from VB before deciding which one is correct. This article will share their history, differences and other important information.
What is Ethereum?
Ethereum is a decentralized open source blockchain-based distributed computing platform and operating system with smart contract (scenario) functionality. Ethereum was proposed by Vitalik Buterin, a cryptocurrency researcher and programmer, in late 2013. It was founded by Vitalik Buterin in 2015 and is the second largest cryptocurrency network after Bitcoin in terms of market capitalization.
The main feature of Ethereum is the use of smart contracts. These digital programs can be used to facilitate, verify or enforce the performance of a contract or agreement between two parties without the need for a third party. Smart contracts are stored on the blockchain and can be written in various languages. As a result, they can be used for a variety of purposes, from crowdfunding and managing financial assets to creating decentralized autonomous organizations (DAOs) and decentralized applications (dApps).
Ethereum also has the cryptocurrency Ether (ETH). ETH is used to pay transaction fees and power the network. Transactions on the Ethereum network are secured using cryptography and distributed consensus algorithms — proof of stake (PoS). Ethereum also provides tools for developers to build decentralized applications. One of these is Solidity, an open-source programming language that allows developers to write code that will run on the Ethereum Virtual Machine (EVM)
What is Ethereum Classic?
Ethereum Classic is a blockchain-based distributed computing platform and operating system that enables users to develop, deploy and run smart contracts and dApps. These applications can facilitate business transactions, manage digital assets, and handle various financial transactions. Transactions are secured using encryption and are processed and verified by all participants in the network.
The network is designed to be censorship-resistant, reliable, immutable and secure, allowing users to build their applications without relying on centralized third parties. Ethereum Classic also facilitates the development of decentralized autonomous organizations (DAOs) that allow collective decision-making and exchange of value between stakeholders.
Unlike Ethereum, which switched to a proof-of-stake consensus system in September 2022, Ethereum Classic continues to adhere to the proof-of-work (PoW) algorithm. The PoW mechanism allows miners to compete to solve cryptographic puzzles to verify transactions and create new blocks on the blockchain. In addition, it provides the Ethereum Virtual Machine (EVM), a decentralized virtual machine that can execute scripts using an international network of public nodes.
