Ethereum classic surges 12% to set a new all-time high with the global market capitalization of crypto taking a hit today as we can see in today’s Ethereum classic news.
Ethereum classic surges 12% to come out on top and reach a new high price of $44.80. In the meantime, Ethereum also gained 1.5% to trade at $2,877 per coin which doesn’t come as a surprise that it hit the new ATH of $3000 today. Ethereum Classic forked back in 2016 and it all started with the DAO.
We need to get past the myth that it's *fatal* if one entity gets enough to 51% attack PoS. The reality is they could attack *once*, and then they either get slashed or (if censorship attack) soft-forked away and inactivity-leaked, and they lose their coins so can't attack again. https://t.co/utash1hUDU
— vitalik.eth (@VitalikButerin) September 2, 2020
DAO Stands for Decentralized Autonomous Organisation and essentially mimics the governance of the shareholders’ company on the ETH blockchain. DAOs run on smart contracts which are self-enforcing digital financial contracts and all those that hold the bulk of the coins are the ones that call the shots. There are tons of DAOs now as they are a fixture of decentralized governance but the original one was launched in 2016.
It raised up to $150 million but an attacker managed to steal up to $55 million by exploiting a flaw in the smart contracts. The DAO hack was a seminal momentum in the blockchain history because a huge hack like that posed a huge threat for ETH since $55million was all of Ethereum’s market cap at that time. It then resulted in the hard fork that created the Ethereum blockchain. The network that we know as Ethereum today voted to erase the illicit transactions from the blockchain and another group of people wanted the illegal transactions to remain on the blockchain thus making a huge mistake. Ethereum classic was the prong that kept the transactions while Ethereum deleted them.
The blockchain has been in constant competition since then but Ethereum which now has a market cap of $336 billion took the lead. ETC has a market cap of $5.66 billion and it was left behind. Things got quite harder for the Ethereum classic blockchain when it suffered a 51% attack a year ago. Blockchains are supposed to be decentralized ledgers so all transactions are not validate4d by a single entity that commands one copy of a ledger. Instead, the ledger is hosted on multiple computers that all work along to validate the transactions. If you own too much of the computer power the whole thing will fall apart.
The 51% attack on Ethereum Classic wasn’t the end of the world. ETH Creator Vitalik Buterin also agreed. In spite of the hacks that threatened the existence of ETC, today the coin reached a new ATH.
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