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Ethereum Classic [ETC] Independence declaration: Can’t beat the real thing

Priya

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Ethereum Classic [ETC] Independence declaration: Can't beat the real thing
Source: Unsplash

On 20th July, Ethereum Classic [ETC], one of the top currency in the market announced its anniversary on their Twitter handle. The decentralized platform announced its two-year anniversary since block 1.92M.

Ethereum Classic Independence Tweet | Source: Twitter

Ethereum Classic Independence Tweet | Source: Twitter

Ethereum Classic [ETC] is an ecosystem which enables smart contracts to built on it. It is also referred to as the original Ethereum because Ethereum Classic still runs on the old chain.

On 20th July 2016, one of the most notable day for Ethereum as their original blockchain was forked. One of the smart contract, Digital Decentralized Autonomous [DAO] built on the Ethereum ecosystem was compromised. In the month of June, DAO was one of the most sort after smart tokens as the token as it was a decentralized venture capital fund which would fund decentralized dApps built on the ecosystem. During the crowdsale, the project raised more than $150 worth ETH.

A dApp would have had to first be approved by the curators of Ethereum and later on, receive a minimum of 20% vote from the DAO tokens holders in order to be funded by the platform. In case, a DAO holder would be against the funding of dApp, they had the option to withdraw their token through a feature called ‘split function’.

The feature was also the main reason for the hack to take place. Since the split functions in a way that when a user requests for the ether in exchange for their DAO, the transactions would have to be registered and be updated on the internal balance. The hacker continuously sent requests to the ether before the transaction could be recorded. This resulted in the accumulation of approximately $50 million in the hackers accounts.

Since there was a binding of the ether for 28 days for anyone who chose the split function option, the hacker would have had to wait for those many days before moving the ether.

In order to avoid a successful hack from taking place and to reimburse all the investors who incurred a loss, the Ethereum community proposed for a soft fork. The implementation of a soft fork would have resulted in a DoS attack. After which, the community proposed hard fork as a solution.

The Ethereum Classic community states:

“Creating an unrepresentative voting mechanism called the ‘carbon vote’, which they initally stated was ‘unofficial’ only to contradict these statements a day before determining the hard fork.”

Since the majority of the community voted for a hard fork, block 1.92M underwent a fork and this led to the creation of Ethereum [ETH]. The people who were against the hard fork as they believed that it was against the values essential for the blockchain remained on the old block and called it Ethereum Classic [ETC].



Till date, the community is seen showing its disdain towards the hard fork and they listed their grievance in along with their tweet:

Ethereum Classic's List of Grievances | Source: Ethereum Classic Github

Ethereum Classic’s List of Grievances | Source: Ethereum Classic Github

After the fork, the key developers of Ethereum shifted to Ethereum [ETH] including Vitalik Buterin. The Ethereum Community underlaid a series of conditions such as forking the block only for upgrading the technology and anyone could suggest improvements and upgrades. They also consider ‘Code as Law’.





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Priya is a full-time member of the reporting team at AMBCrypto. She is a finance major with one year of writing experience. She has not held any value in Bitcoin or other currencies.

Altcoins

Rabobank announces plans to drop its crypto-project

Sarvesh Kumar

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Robobank to drop its plans of having their own crypto-wallet
Source: Pixabay

Rabobank, a bank based out of The Netherlands, has decided to drop their idea of creating their own native cryptocurrency called Rabobit. The bank had announced their cryptocurrency plans in February 2018. Rabobank was looking at closing the gap between banks and cryptocurrency wallets. However, they have taken this decision after exploring the field for more than a year.

According to a report by Hard Fork, a spokesperson from the bank said,

“After careful consideration with our customers in mind, we recently decided that now is not the time to develop the idea further and bring it to the next phase of innovation”

Their cryptocurrency idea was part of the Rabobank Moonshot program, which was looking at boosting innovation in Fintech services. The bank does not consider their research a waste, but the same has led to valuable insights and experience in general, the spokesperson added

The spokesperson also said,



“We have learned valuable lessons about our customers and the crypto market and on how to design blockchain and crypto applications.”

The spokesperson cited regulatory uncertainty as the reason why the Dutch institution pulled out of the project. Although the bank has dropped the idea, they will be keeping a tab on the market and the regulatory changes in the industry.

Rabobank is not the only bank to drop the idea of having a cryptocurrency wallet. Recently, ABN AMRO, another Dutch bank, also dropped their plans of “Wallie,” their own cryptocurrency wallet. The reason for their drop was also with respect to regulatory conditions in the industry.





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