Ethereum Classic (ETC) has rallied against the market, surging by nearly 22% in a week to reach $33.13. This remarkable growth can be attributed to the launch of its native stablecoin, USC, and the impending halving event, which is set to reduce the block reward from 2.65 coins to 2.048 ETC. Despite being considered undervalued, ETC has historically followed Ethereum (ETH) rallies, and its current price hike is no exception.

The Ethereum Classic network has been working towards building a decentralized ecosystem, and the introduction of USC is a significant step in this direction. With a focus on boosting liquidity for DeFi projects, USC boasts a minimal fee of $0.01, applicable to around 22,000 active addresses per day. This fee structure is expected to attract more users and drive growth on the network.

As the halving event approaches, miners are gearing up to maximize their profits. ETC mining has seen a significant increase of over 60% since April, with some miners potentially turning a profit at current prices without the need for new machines. However, the network's vulnerability to 51% attacks remains a concern, and the growth of mining activity may exacerbate this risk.

Despite these challenges, Ethereum Classic remains committed to its decentralized ecosystem. With four main DEX apps and a total value locked (TVL) of $607.77M, the network is poised for further growth. The recent launch of USC and the impending halving event have injected new life into the ETC market, with trading volumes expanding by ten times their usual rate to reach $1.6B per day.

As the Ethereum Classic network continues to evolve, it faces the challenge of scaling, similar to its counterpart, Ethereum. However, with its native stablecoin and growing mining activity, ETC is well-positioned to overcome these hurdles and establish itself as a major player in the decentralized finance (DeFi) space.

In conclusion, Ethereum Classic's recent rally is a testament to its potential for growth and development. With its native stablecoin, USC, and the impending halving event, ETC is set to remain in the spotlight for the foreseeable future. As the network continues to expand and mature, it will be interesting to see how it addresses the challenges of scaling and security, and whether it can maintain its momentum in the highly competitive cryptocurrency market.