Ethereum Classic, the cryptocurrency that is best known for being a “DAO hardfork-free” version of Ethereum has undergone a fork of its own this morning, possibly the first of many. While this fork does not represent a shift in the currency’s first and foremost premise, immutability, it shows the need to adapt in a world where most of the territory is still uncharted, the world of blockchain, is crucial.
The hard-fork took place yesterday, during the 25th, and it was implemented to counter the countless Denial Of Service (DOS) attacks that have plagued the network. The attacks started on the Ethereum blockchain, during the DevCon conference in Shangai and later moved to Ethereum Classic. The fork went on without a scratch and the network currently seems stable.
“Block 2,500,000 passed without any issues, and ETC GasReprice hard fork is now effective. There was no netsplit, and ETC nethash did not change in any significant way, as can be seen on ETCstats network monitor.” Ethereum Classic subreddit
While the implementation of the hard fork seems to have been successful, it may have overshadowed the latest move by the infamous DAO hacker, Insidebitcoins reports. Since Ethereum Classic didn’t fork to return the investment back to the DAO holders, the hacker still has access to a considerable amount of Ether Classic (ETC). It appears that the hacker is taking advantage of the attacks to move the funds drained from The DAO months ago, or that he may even be the attacker himself making the community look right while he goes left.
So far the hacker was able to move out $61k worth of Ether Classic, and has even made donation to the Ethereum Classic development fund, although this makes it unlikely that the hacker is associated with the developers since the donation would draw a lot of attention, it shows how much he appreciates their actions.
There are talks of a second fork that is assumed to take place soon. This fork will delay the difficulty bomb implemented in Ethereum, that is also present in Ethereum Classic. This difficulty bomb was created to ensure that a smooth transition from Proof of Work Ethereum to Proof of Stake Ethereum takes place when the time comes. The difficulty bomb will increase difficulty exponentially and cause the PoW blockchain to grind to a halt, ensuring that miners can’t mine on both chains (PoW and PoS) once the Proof of Stake fork was implemented.
Since Proof of Work requires users to have computational power get rewards, and Proof of Stake requires users to have a certain amount of coins to get rewards, miners could easily work on both blockchains, using their mining equipment on the old PoW chain and using their mined coins on the PoS blockchain, causing a split (like ETC and ETH).
Ethereum Classic has chosen to remain Proof of Work for now, where as Ethereum will continue to work towards Proof of Stake. It is unlikely, however, that the Ethereum developers will be able to implement the Proof of Stake protocol, Casper, before the difficulty bomb “explodes”. Therefore, the Ethereum blockchain may also go through a similar delay in regards to this difficulty bomb.