Ethereum Classic is known as an open-source, decentralized, blockchain-based distributed cryptocurrency platform that operates using smart contracts. Ethereum Classic was established in 2016 as a result of the hacking of the original Ethereum network. The original Ethereum blockchain has split into two, namely Ethereum Classic and what is now known as Ethereum.
Smart contracts, based on the principle of "Code is Law," are autonomous digital applications that can operate on their own, self-executing as programmed. Examples of such applications include Automatic Teller Machines (ATMs) and the Bitcoin systems.
Ethereum Classic (ETC) is defined as a hard fork of Ethereum (ETH) launched in July 2016. Its main function is to host and support decentralized applications (Decentralized Applications) within its smart contract network. Its native token is ETC. Since its launch, the technical roadmaps of the two networks have diverged over time, with Ethereum Classic striving to distinguish itself from Ethereum. Ethereum Classic is known for its efforts to preserve the integrity of the current Ethereum blockchain following a major hack that led to the theft of 3.6 million ETH.
While Ethereum enabled the return of the 3.6 million ETH, the Ethereum Classic chain continued as is.

Since Ethereum Classic is the old chain of Ethereum, its original founders are the initial Ethereum developers, Vitalik Buterin, and Gavin Wood. A contentious hard fork on Ethereum occurred in July 2016 when participants couldn't agree on whether to revert the blockchain to cancel out the effects of a major attack. This affected the Decentralized Autonomous Organization (DAO), which had raised approximately 150 million dollars in an Initial Coin Offering a few months earlier.
The Ethereum Classic chain emerged as the network that did not revert. Developers have stated that there is no "official" team attached to the project and that it is a permissionless 'do-ocracy' where anyone from the global development community can participate.

The primary goal of Ethereum Classic is to maintain the Ethereum blockchain in its original state without artificially countering the DAO hack. Initially, Ethereum Classic gained attention as a collective of those who did not agree with Ethereum's response, but over time it has attracted a broader fan base, including major investors like Barry Silbert, CEO of investment firm Grayscale.
As a volunteer organization, ETC developers do not aim to turn the network into a for-profit entity. Users pay transaction fees just as in Ethereum, and miners collect these based on work performed according to the Proof of Work mining algorithm. Unlike Ethereum, Ethereum Classic has no plans to switch to a Proof of Stake mining algorithm, and several developers continue to work on future improvements, such as scaling solutions.

Ethereum Classic facilitates the execution of smart contracts by offering the advantage of decentralized governance. In other words, contracts can be executed without the need for a third party like a lawyer. Smart contracts are likened to if-then statements. To be more explicit, if the necessary actions in the smart contract are carried out, the responding contract parameters are completed. If the contract parameters are not met, a penalty, fee, or contract termination can occur according to the conditions set at the start of the contract. For example, in a real estate transaction, if the contract specifies that an advance payment must be made by a certain date and the funds are not received, the contract can be terminated.
Smart contracts exist within ledgers or blockchain networks independently maintained and updated by users. These independently held ledgers are known as a decentralized transaction and contract ledger maintained at various locations.
The agreement between the buyer and seller is written in the lines of code in the self-executing smart contract based on the conditions in the contract. As a result, since the contract's execution is controlled by codes, there is no need for external monitoring or censorship by a central authority.

The Ethereum blockchain was established as a network facilitating transactions with its cryptocurrency ether. Later, in June 2016, the blockchain was hacked, resulting in the theft of fifty million dollars worth of funds. As a solution, a hard fork was implemented to secure the network. Ethereum Classic (ETC) emerged as a split version of Ethereum's blockchain, with ETH being known as Ethereum itself. The hard fork in question was done to return the stolen funds to their original owners according to the records before the hack, leading to a split that resulted in two versions existing simultaneously. The newer network known as Ethereum uses the cryptocurrency ETH or ether, while the older network, rebranded as Ethereum Classic, uses ETC.

Despite Ethereum and Ethereum Classic offering smart contracts and pursuing the same market, Ethereum has gained more legal popularity between the two networks. Additionally, Ethereum (ETH) ranks as the second most popular cryptocurrency in the world after Bitcoin.
One potential challenge posed by Ethereum Classic (ETC) concerns scalability limitations. The Ethereum Classic network can perform fifteen transactions per second, which is significantly less than payment networks like Visa, which can handle over a thousand transactions per second. Despite undergoing numerous software updates, scalability for payment systems remains one of Ethereum Classic's biggest future challenges. Additionally, given that Ethereum Classic has already experienced a major hacking and theft issue, security remains a concern for smart contracts. These concerns could potentially hinder the use of smart contracts through Ethereum Classic in major financial and real estate transactions.
The regulatory landscape for the crypto market, which could change or not change the operation of Ethereum Classic (ETC) and other networks, continues to evolve. For example, the Securities and Exchange Commission (SEC) does not consider Ethereum or Bitcoin securities due to their decentralized networks. Some cryptos not considered securities may face challenges in being approved to be included in various financial products comprising a range of securities, stocks, exchange-traded funds, and similar bonds. Uncertainty surrounding the regulatory environment for Ethereum Classic and other less popular blockchain networks continues into the future.

The future position of Ethereum Classic appears less bright than Ethereum, mainly because Ethereum, especially due to the security issues Ethereum Classic could pose, is considered more legally accepted between the two networks. Investors have lost their trust in ETC over the years due to attacks on the system, so challenges are likely to persist for Ethereum Classic until it redevelops its code and software to prevent future attacks. Moreover, how smart contracts within the Ethereum Classic project will be developed and accepted for widespread use is still unclear.

Although Ethereum Classic (ETC) holds value as a speculative digital asset for investors to trade, Ethereum (ETH) is accepted as more legal and commonly traded. In early 2021, the Chicago Mercantile Exchange (CME) approved the trading of Ether futures. Only Bitcoin and Ether have been approved for such transactions. Futures are derivative contracts based on an underlying security at a fixed price and maturity date. Ether futures allow investors to trade Ether for speculation and hedge against extraordinary positions in ETH or other cryptos.
By analyzing how much capital or investment dollars are committed to each of the two different currencies, one can determine how the investment community views ETC versus ETH. When comparing the market capitalizations of the two cryptos, it's known that ETH yields. A cryptocurrency's market value is calculated by multiplying the currency's price (based on a pricing currency like the US dollar) by the circulating coins or tokens. At this point, ETC has a market value of 3.9 billion dollars with 116.3 million coins in circulation, while ETH has about 115.6 million in circulation and a market value of over 304.9 billion dollars. ETC trades at 33.65 dollars, while ETH, as of April 27, 2021, trades for over 2,600 dollars per coin.
Although both networks offer smart contracts, the potential for security issues surrounding ETC will likely compel investors to invest in ETH and adopt Ethereum's smart contracts over Ethereum Classic's.

Since the fork, numerous developments and improvements have been made to the Ethereum Classic project. The project's goal is to continue working towards being a global payment network that operates without central governance using smart contracts. Like other cryptocurrencies, Ethereum Classic will likely continue striving to be a digital store of value, meaning it will continue to be updated while maintaining its value and recorded position. A digital store of value for crypto involves the purchasing power that can be rapidly converted into cash or used to buy another asset similar to money. Thus, Ethereum Classic will keep updating its current position as a digital store of value while preserving its worth.

ETC started with a technical state very similar to ETH, despite how it handled DAO (Decentralized Autonomous Organisation) hack transactions. However, since its launch, tokenomics have changed with participants voting in December 2017 to limit the ETC supply. As a result, the maximum supply is 210.7 million ETC, roughly ten times that of Bitcoin (BTC), with no limit for ETH.
ETC uses a Proof of Work mining algorithm similar to Bitcoin, meaning miners are rewarded with new coins for verifying the blockchain in competition with each other. The ETC block reward decreases over time, with the next reduction at block 15,000,000, expected in April 2022, dropping from 3.2 ETC per block to 2.56 ETC.

Although the Ethereum Classic network is secured using Proof of Work, being a minority chain, it has been subject to regular attacks. Examples include several 51% attacks for gaining control of the mining hash power, conducting fake transactions, and the last one being double spending attacks in August 2020.

For those interested in cryptocurrency investment, the question of how to buy and sell Ethereum Classic (ETC) is frequently asked. This can be done either through mining or using a specialized cryptocurrency exchange.
In Turkey, buying Ethereum Classic (ETC) with Turkish Lira is surprisingly easy and quick. Ethereum Classic can be purchased without any technical knowledge or official documentation.