EOS cryptocurrency is quite infamous in the information space. Dozens of experts are trying to convince people not to buy tokens of “HYIP-project”, which should become the first OS for DApps. EOS is called “unverified”, it is accused of “unreadiness” and even fraud, and the whole project is predicted to fail.
However, despite the negative attitude of skeptics and critics, EOS shows enormous growth.
Only in April 2018 the cost of EOS tokens in circulation increased fourfold (from $4 billion to $15 billion). Now their capitalization is twice as that of Litecoin indicators.
Such an extraordinary leap in prices allowed EOS digital currency to join the list of five record- breakers in capitalization. Those who overtake EOS are Bitcoin, Ethereum, Bitcoin Cash and Ripple. For the moment, the most significant success of EOS digital currency is the implementation of its network at the end of the last year.
The EOS system is planned to be launched in early summer – developers guarantee the bandwidth in the range of 1000-6000 transactions per second. This value should rise to millions of transactions per second after some time. In addition, the EOS promises to minimize the transaction time (up to ½ second) and get rid of the commission fee.
Ethereum, today’s market leader, provides only 20 transactions per second, and assigns a sky-high tariff for many applications (approximately $0.075 per transaction)
The impressive capabilities of OC EOS, according to the software developer Dan Larimer, will be distributed among token holders (such promise was considered by some experts as a perfect pitch that could attract investors). Those who own n% of tokens will be able to manage an n% share of the share network resources, and these are unique opportunities for passive income.
EOS token holders will have a number of advantages:
• Information storages in blockchain (they can be rented out);
• Bandwidth, for which they will charge a fee;
• The ability to directly participate in OC control;
• Access to the distributed applications and users;
• Constant inflow of profit;
• Free tokens distribution of those applications running in EOS.
Even when EOS was only announced, Dan Larimer used a rather aggressive promotion strategy, positioning his project as the “Ethereum killer”. The latter was mercilessly criticized by Larimer for its low efficiency. Vitalik Buterin (co-founder of the Ethereum project) responded to Larimer’s attacks many times and politely turned his attention to the EOS defects.
The unique EOS feature
I′ts main advantage and the weakest side at the same time – is the DPoS consensus algorithm. With the help of peculiar “elections”, token holders will be able to assign 21 transactions validators. The latter will monitor the normal network functioning for additional bonuses. In case the obligations are fulfilled poorly, the rest of the token holders will get the right to “take back” their votes – and the next candidate in the list will get the validator role.
In the opinion of the developers such “selection” of validators will ensure high system speed.
Dan Larimer (it is exactly him, who came up with the idea of DPoS) believes that the material interest of EOS users (because they vote in wallets) will make them choose carefully and appoint managers that really deserve this.
Vitalik Buterin has a different point of view
In his opinion, shortly after the EOS starts functioning, an organized group of token holders or even those violators who bought the votes will take control of the system management. The impact of individual users on the election results is not that big, so most of them will either not vote at all, or give their votes for the candidate proposing the maximum amount.