Smart contracts are self-executing programs that run on the blockchain. Once deployed, they execute exactly as programmed—automatically and without intermediaries.
How Smart Contracts Work
A smart contract is code stored at a specific address on the blockchain. When someone interacts with that address and meets the contract's conditions, the code executes automatically.
For example, a simple smart contract might work like this:
- User sends ETC to the contract address
- Contract verifies the amount meets the minimum
- Contract automatically sends tokens back to the user
No human intervention is needed—the code runs exactly as written.
The Ethereum Virtual Machine
Smart contracts on Ethereum Classic run on the Ethereum Virtual Machine (EVM). The EVM is a global computing environment that processes contract code identically across all network nodes.
This means:
- Every node reaches the same result for every computation
- Contracts behave predictably regardless of who runs them
- Code written for Ethereum can run on ETC (and vice versa)
Gas and Execution
Every operation in a smart contract requires computational resources. “Gas” measures this cost—each operation has a gas price, and users pay for the gas their transactions consume.
Gas serves two purposes:
- Resource allocation: Ensures network resources are used efficiently
- Spam prevention: Makes flooding the network economically costly
What Smart Contracts Enable
Decentralized Finance (DeFi)
Smart contracts power financial applications without traditional intermediaries. On ETC, you can:
- Swap tokens on decentralized exchanges like ETCswap
- Provide liquidity and earn trading fees
- Use stablecoins like Classic USD (USC)
- Access lending and borrowing protocols
Token Creation
Anyone can create new tokens using smart contracts. Standard interfaces like ERC-20 (fungible tokens) and ERC-721 (NFTs) ensure tokens work across different applications.
Decentralized Applications
dApps use smart contracts as their backend. Unlike traditional apps, the business logic runs on the blockchain—transparent, auditable, and unstoppable.
DAOs
Decentralized Autonomous Organizations use smart contracts for governance. Members vote on proposals, and the code automatically executes the results.
Benefits of Smart Contracts
- Trustless execution: Code runs exactly as written, every time
- Transparency: Contract code is publicly auditable
- Immutability: Deployed contracts cannot be changed (by design)
- Permissionless: Anyone can deploy or interact with contracts
- Composability: Contracts can interact with other contracts
Important Considerations
While powerful, smart contracts require careful development:
- Immutability cuts both ways: Bugs in deployed contracts can't be easily fixed
- Gas costs: Complex operations can be expensive to execute
- Security audits: DeFi contracts should be professionally audited
- Code is public: Anyone can read contract logic
Smart Contracts on ETC
Ethereum Classic provides a robust platform for smart contracts with some unique advantages:
- Proof-of-work security: Maximum protection against attacks
- Full EVM compatibility: Use existing Ethereum tools and libraries
- Lower fees: Generally more affordable than congested networks
- Established ecosystem: Growing DeFi with DEXs, stablecoins, and more
Getting Started
To interact with smart contracts on ETC, you'll need a wallet like MetaMask or Classic OS connected to the Ethereum Classic network. From there, you can explore dApps, swap tokens on ETCswap, or even deploy your own contracts.