When the Ethereum network experienced a hard fork in 2016, it led to a few major changes. One of the biggest is the creation of Ethereum Classic. This blockchain came after a major security breach led to a huge loss and differing opinions among community members on whether the blockchain should be altered in order to recover stolen funds.
Since then, Ethereum Classic has become a viable entity in its own right. Its immutability is the core tenet, executed through smart contracts that utilise the proof-of-work consensus mechanism. But what does that mean for Ethereum Classic’s price? Read on to find out what the future may hold.
Ethereum Classic 2030 Price Prediction
Millions of investors are interested in an Ethereum Classic price prediction. But the key to looking at the Ethereum Classic price is looking ahead to the future. Where will this token – and network – be when 2030 comes around?
Ethereum Classic is at a healthy price even if it is down from its massive all-time high. It is currently trading at $14.94 per token, but what will things look like when the calendar turns to 2030? As it turns out, experts are very bullish on Ethereum Classic in the near future.
When 2030 begins, some foresee Ethereum Classic to be trading in the $105-$127 range. When the year comes to a close, it is expected to be in the $145-$175 range. That would equate to a return on investment of more than 1,100% over today’s current price.
What is Ethereum Classic?
At its core, Ethereum Classic is a decentralised, open-source, blockchain-based distributed cryptocurrency platform. It operates by running a series of contracts, but its origin is even more interesting.
In 2016, the decentralised autonomous organisation (DAO) was hacked. A dispute arose in the community on how to handle the situation, with the suggestion of altering the blockchain coming up. As a result of this dispute, the network “forked”, leading to the creation of the Ethereum Classic network.
Though Ethereum Classic is rooted in the same code, there are major philosophical and technical differences between Ethereum and Ethereum Classic.
A Deeper Dive into Ethereum Classic
At its core, Ethereum Classic is a blockchain platform that uses smart contracts to automate transactions on the blockchain. The smart contract automates things like payment and transfer of ownership, which ultimately removes the needed trust in each party to execute the transaction.
Following the hacking incident in 2016, the network became split or “forked”. The split essentially came about due to a philosophical divide among community members. A small group of miners and developers, feeling that the network should suffer the consequences of the hack, moved on to create the ETC project.
Ethereum Classic has many of the same goals as its originator. Becoming a global payment network facilitated by smart contracts – all while maintaining its core decentralisation – is at the forefront. As a result, its native token, ETC, continues to gain value and can be bought, sold, and traded across any number of networks.
What are the Main Differences Between Ethereum and Ethereum Classic?
Perhaps the most significant difference between Ethereum Classic and Ethereum is that the former retained the competitive reward system and proof-of-work mechanism that was in use before the merge. Currently, Ethereum’s tokens cannot be mined, while Ethereum Classic’s can be mined.
Another major difference is that there are no limits on the number of tokens Ethereum can issue. Ethereum Classic, meanwhile, has a total limit of 210.7 million coins. At each five-million-block plateau, Ethereum Classic has what is called a fifthening. It’s similar to Bitcoin’s halving, which reduces block rewards by 20% every two years. The reduction is expected to continue and as much as 95% of ETC should be mined by 2059.
What Makes Ethereum Classic Unique?
The core community of Ethereum Classic has to do with the “code is law” philosophy, as well as the network’s immutability. This is already where it differs from Ethereum, which chose to undo the consequences of the aforementioned hack, flying in the face of Ethereum Classic’s philosophy.
The preservation of that original philosophy is perhaps the most important thing to most community members. Rather than implementing changes as Ethereum has, Ethereum Classic adheres to the original version of the blockchain, which was meant to be immutable. Being unable to alter the blockchain is part of what makes the decentralisation aspect so significant.
The proof-of-work consensus is important as well. Ethereum has switched to a proof-of-stake protocol. The former means that ETC can be mined, something that Ethereum no longer allows. Plus, there is the immutable ledger. It is one of the core tenets of the Ethereum Classic network. Basically, this means that smart contracts and transactions are permanent and cannot ever be changed. This is believed to instil reliability and trust in the decentralised system.
One of the other important aspects of Ethereum Classic has to do with the fifthening events. The Ethereum Classic network already has a built-in reduction of block rewards. For every five million blocks created, rewards are cut by 20%. It is similar to Bitcoin’s halving, with the expected timeline until 95% of ETC being uncovered being around 2059. With greater rarity and Ethereum’s initial core tenets, Ethereum Classic is a hard line in the philosophical sand.
Will It Ever Match Ethereum?
There is currently a massive price gap between Ethereum and Ethereum Classic. Investors are wondering if there will ever come a time when the fork equals the value of the original. In the end, it all depends on what side of the philosophical fence you fall on.
In any event, Ethereum Classic will remain a valuable entity. When 2030 comes around, we should see where Ethereum Classic falls. For now, it feels like a promising play that has yet to live up to its huge potential.
