What is Ethereum Classic? What is the magneto hard fork? Why does it have such a good name and if Ethereum classic exists? Does that mean the Ethereum that we all know and love is the diet version? Some of these questions will be answered by the end of this video, so get ready to pay attention.
This is your daily altcoins, where we give you the most recent news and stories about the different altcoins daily, join the giveaway to win different cryptocurrencies by subscribing to our channel. If you want to know more watch this video and now let us get to the fun parts. Firstly, let’s discuss the difference between the Ethereum and Ethereum classics. The first difference is the name: Ethereum is eth and Ethereum classic is ETC. Both of them share the same code, but the main difference is ideology.
Both Ethereums are platforms where you or any other user can build different applications, given that they have the knowledge for it. The main asset of Ethereum is smart contracts. Smart contracts are a code of agreement between two or more parties that is stored in a blockchain when certain conditions are met, it executes itself using smart contracts. You can make various applications on Ethereum and those applications are called the decentralized application or daps. It’S kind of a long story on how the Ethereum split so I’ll.
Try to do your best to keep it short. First, a new idea, DAO decentralized autonomous organization DAO, would have been one that would fund many decentralized applications that needed funding on the Ethereum network. Dao was a type of hedge fund. Each investor had to buy a DAO token by using ether in the first month when DAO was created, it raised 150 million ether and then using some video game prowess hackers stole 50 million ether from there. There were only two ways to go forward: either ether would change, update and get more secure, or it would stay the same and hope that something like this would never happen again.
The Ethereum community chose both Ethereum eth was born as the better version of the original and Ethereum Classic ETC. Stayed the same so Ethereum classic is the original version for Ethereum for Ethereum classic the code is law, meaning that they didn’t want Ethereum to do anything in relation to the hack, so they stayed the same Ethereum as we all know, and love is more like a Software company, and because of that it has value Ethereum’s classics value for the most part, is because of the speculation around it. It is clear which is the bigger blockchain right now. Ethereum has a much bigger market cap than classic. Ethereum is the biggest platform for decentralized apps, with over 3000 apps on the platform.
Classic is far from that. So now we know what we’re talking about with the Ethereum classic, as the title suggests, it has an upgrade coming in the near future, a hard fork just like the one we talked about a couple of days ago with the eth and its London hard fork. Right now we don’t know the exact date of when it will be deployed, but it is most likely going to happen before the end of summer, probably in late July, this hard fork is called the magneto hard fork. Can we somehow connect the guys from Ethereum classic and crypto.com to exchange their experiences, because those names suck and classic is just rocking with magneto?
Anyway, there are four improvement proposals in the magneto hard fork. They are meant to improve Ethereum’s classic security and also try to lower the gas costs. They can also be done by storing addresses and keys in one place for the users to get them by one transaction. It is right now in the beta testing stage and depending on how that goes, we can see how long it will take to implement those changes, as the community members have suggested. Those who use the ETC must upgrade to a node that is compatible with the new magneto upgrade for everything to go smoothly since the magneto news broke, ETC, already rose by 10 in one day, so the community expects that the hard fork will make ETC.
Go to an all-time high, perhaps the biggest difference between Ethereum and ETC. Is that Ethereum classic still is a proof-of-work system to verify transactions just like many other blockchains use, including Ethereum itself. But the point is that there is no plan to change that fact in Ethereum. Classic, however, magneto hard fork will make the same changes to Ethereum classic, as did the berlin hard fork for the eth back in April. All those changes that happened to Ethereum will be implemented in the Ethereum classic via the ECIP-1103.
This not only makes ETC more secure and gas prices more balanced, but also will make going between the two networks. Easy. The volatility in the eth in bitcoin markets is named as the main reason for Ethereum classic’s rise in price. Some say that Ethereum classic will reach one percent of bitcoins priced by the end of the next cycle and by then bitcoin’s price is estimated to be at around one hundred thousand dollars. One percent of that rough set ETC is the price between nine hundred and one thousand dollars.
Remember this, we will come back later to it. The most interesting thing about Ethereum, a classic that I found while researching it was that its future is in a fog. That’S the poetic man’s version of nobody knows what the future holds, for it at first ETC. Is it a less interesting and useful and secure version of eth? On the other hand, it could get better with upgrades and magneto hard fork is exactly that, so it is really hard to say if these changes will continue and morph ETC into something that will rival its twin brother.
Keep in mind that there are millions of miners for Ethereum and their days on, eth are numbered, since Ethereum 2.0 is on the horizon, and the mining will change drastically. These miners either have to sell their equipment or jump to the second-best option, and you probably guessed that the second-backs option is Ethereum classic the release of the London hard fork and eventually 2.0 will drive the miners from one platform to another. This will surely affect the price of both coins, but the effect will be much bigger for Ethereum classic.
So is there any reason why you might want to invest in Ethereum classic? The answer is as foggy as ETC’s future. Since the start of the year’s ETC’s price rose 20 times, is that a good enough reason for you? Probably not if you want to invest in the long term? Some of the reasons for this rise could be because of greyscale’s Ethereum, classic trust, which is a fund and, as many suggest, it multiplied its stake in ETC by five times.
One of the reasons why bigger institutions are buying more and more ETC. Is that the eth is transitioning to 2.0, which might cause some unforeseen events? So where does all of this leave us? Well, it’s hard to say.
Maybe splitting the Ethereum for one hack would not be a great idea and the fact that eth developers sometimes help out with this TC could be because those developers think the same thing. Ethereum classic is doing very well and as it seems, the price will rise. Even more considering the changes and improvements to the platform for the immediate future, it is all but guaranteed that ETC will rise in value. Maybe it does not have as many users as its brother or as many dapps, but many people are buying it. They believe it has value and at the end of the day, if people believe something has value, it has value, and while this is not financial advice, if I had some money stored up for this type of spending that I wouldn’t regret losing, then I would try My luck for the short term and see what happens with the Ethereum classic.
In my opinion, there are many factors that suggest the growth for ETC. But what will happen in the long term is really hard to say it is really hard to even try and guess where ETC, will be a year from now. But that is the way cryptocurrencies work a year is basically an eternity in the crypto world. So all we have to do is see what happens is to wait.
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