The Ethereum blockchain was initially established as a single network where transactions were facilitated by ether, or ETH. The new cryptocurrency quickly became popular for initial coin offerings, as different groups used the platform to launch their own tokens.

The DAO, a decentralized venture fund where investors would vote on assets to invest in was one of the most successful ICOs. The hackers discovered a smart contract bug that allowed them to withdraw about a third of The DAO’s accumulated ether which quickly amassed to over 11 million ETH from 18,000 investments.

Given that the hack was so large, a lot of investors recommended rolling back the Ethereum blockchain to save those who were affected. However, others contended that this would set a dangerous precedent for future occurrences. A poll conducted shortly thereafter resulted in 97% of participants voting to return the lost funds through a hard fork.

The Ethereum blockchain split into two separate networks as a result. The newer network took on the name Ethereum and uses ETH or ether as its cryptocurrency. The older one is now known as Ethereum Classic and uses ETC.

Many experts believe that Ethereum Classic does not have the same promising future as Ethereum because Ethereum is seen as the more legitimate of the two networks. This is especially true in light of recent security concerns surrounding Ethereum Classic.

Investors have lost confidence in ETC over the years due to hacks into the system. Ethereum Classic may have challenges ahead until its code and software can be redeveloped to prevent future hacks. However, it remains to be seen how smart contracts will be developed within the Ethereum Classic project and whether they can be adopted for widespread use.