Ethereum Classic receives Donation from Ethereum. Are the two Reconciled?

Ethereum

Ethereum has shocked the crypto community by donating the sum of $150,000 in ETC to it its long-time rival Ethereum Classic. Many have taken this to mean the two have reconciled after a long period of rivalry.

This is premised on the fact Ethereum has invited Etereum Classic’s Anthony Lusardi to speak about cooperation between them and Ethereum classic in return has invited to speak on the same subject at Ethereum classic summit.

Ethereum foundation announced the donation to Ethereum Classic on its official Medium blog, part of which spoke about their reconciliation.

“The Ethereum Foundation and the ETC Cooperative are jointly funding Akomba Labs to build the ETH-ETC peacebridge to represent each chain’s transactions on the other. Fracticious yet semi-productive engagement between IOHK’s research team and Ethereum Research on proof of stake consensus algorithm”

Ethereum Classic came about after a hardfork that resulted in two different companies but it claims to be the original Ethereum because it still uses the old blockchain. Because both companies work with smart contracts, the competition between them must have been tough. In fact, Cryptonomics.news ranks ETC as one of the Altcoins likely to overthrow ETH in smart contracts.

Although the decision to separate was for a good cause – to avoid a successful hack, no doubt it has been a ground for enmity between the two. An attack was targeted at an Ethereum based smart contract Decentralized Autonomous Organisation (DAO).

While the hacker waited for 28 days to elapse before withdrawing funds of up to $50 million according to conditions of funds withdrawal, some members of the company decided to hardfork the blockchain to avoid the loss of the funds.

This happened on July 2016 and the duo have not been very friendly towards each other since then. Ethereum however says the relationship has improved since May 2018 and the donation may be a sign of good faith.

Members of the crypto community have experessed happiness at the reconciliation and the decision of the two to work together. Founder of Digital Currency Group Barry Silbert on his Twitter page wrote:

“The Ethereum Foundation just donated $150,000 (in $ETC) to the Ethereum Classic Cooperative. Thrilled to see bridges being built between the Ethereum and Ethereum Classic communities”

Ethereum is currently the number two cryptocurrency by market capitalization While Ethereum Classic is number 16. Probably the reconciliation will make the two work together to bring Ethereum Classic up the ladder.

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About the Author

Ponny
the author Ponvang Bulus is a cryptocurrency enthusiast, investor and writer. He is interested in trending technical, regulatory and financial issues in the crypto space and loves to write about same.