Ethereum and Ethereum Classic are two different versions of the same code. However, how these two approaches have evolved has had a substantial impact on the speculative value of each item. There are few distinctions because they are so similar, but the ones that do exist are significant.
Concepts and Development
After becoming obsessed with Bitcoin and blockchain, Vitalik Buterin came up with the idea for Ethereum. Realizing that the original cryptocurrency had limitations, he used the new technology to construct his platform, which would support smart contracts or digital agreements that work and behave in a specific way.
Smart contracts can be basic agreements for things like real estate deals or more complex code that powers decentralized exchanges, Defi applications, and other things. The Ethereum-based Uniswap smart contract, for example, functions as its exchange.
Although Ethereum Classic can accomplish all that Ethereum does, it has been mostly abandoned by the development community. The Defi Pulse chart, which shows a total value in ETH locked up rather than ETC, is a beautiful visual depiction.
Ethereum Classic has no DEX, Dapps, NFTs, or anything else, and the cryptocurrency has been subjected to many 51% attacks due to the lack of support.
Transactions and Response Time
The pace of both systems is around 12-15 transactions per second, and the time it takes to obtain Ether varies substantially depending on how much ETH gas costs are paid. The faster the transaction, the higher the fee.
In addition to Ethereum transactions, ERC-20 tokens generated on the platform also require ETH to send, putting the asset in high demand as more tokens are built on the platform.
Thanks to the ETH 2.0 version, which has been rolling out since 2020, Ethereum will support more transactions per second. With the ETH 2.0 update, 32 ETH are required to allow staking, and the number of ETH in the contract grows by the day.
Distribution and Supply
The total supply of Ethereum is a contentious topic. Several key Ethereum developers recently stated they didn’t know the total quantity, and the Bitcoin community chastised them. According to Martin Holst Sweden, an Ethereum core developer, the current total supply is roughly 112 million ETH.
According to CoinMarketCap, the total supply of Ethereum Classic is around 118,000. Because the distribution of both tokens is highly decentralized, the Securities and Exchange Commission of the United States has declared that Ethereum, like Bitcoin, is not a security.
The SEC considers a cryptocurrency to be a commodity if it is sufficiently decentralized. Ethereum is one of these cryptocurrencies, and it is assisting in its institutional acceptance.
Target Market and Use Cases
Both cryptocurrencies were created with the same goal in mind, targeting the same use cases and audience. Because it competes for the same market share and userbase as Ethereum, Ethereum Classic is perceived as an “attack” on Ethereum.
However, there is no comparison. ETC has no DeFi apps or NFTs, therefore ranks near the bottom of the cryptocurrency market cap list. When it comes to all cryptocurrencies, Ethereum is the most popular altcoin, trailing only Bitcoin.
Trends fluctuate, but not in the case of Ethereum Classic and Ethereum — Ethereum will continue to reign supreme, while Ethereum Classic will fade away.