Quick Facts

Approximate Market Cap$2,458,100,581
Year Established2018
FounderDaniel Larimer
Symbol/AbbreviationEOS
UtilityUtility Token 

Digital currency and smart contracts are concepts that have been around for a long time. However, only recently have advancements been made in relation to best practices.

Existing blockchain technology falls short of what programmers and end-users want in order to collaborate and establish large-scale enterprises. EOS is a self-governing blockchain that is based on performance. It is an operating platform intended for the development of large-scale consumer-facing distributed applications.

What is EOS – Definition

EOS/ EOS.IO is a blockchain platform for creating large-scale decentralized apps. This procedure is supported by a strong underlying architecture.

The EOS ecosystem consists of two critical components: the system and the coin utilized in the system. The system is called EOS.IO, and it is similar to a computer’s operating system. The EOS blockchain network is managed and controlled by EOS.IO.

EOS token is an EOS.IO network native cryptocurrency. Each EOS coin may be locked or staked. It indicates one vote that can be utilized to help the platform’s advancement. The amount of EOS tokens that may be generated is unlimited. 

Developers may design and operate their own dApps utilizing system resources just by owning the EOS currency. Users who just plan to keep the EOS token can lease their bandwidth to other users in need.

EOSIO employs a method known as delegated PoS (DPoS) to protect its blockchain.

Pros and Cons

Pros

  • Scalable
  • Eco-friendly
  • No fees

Cons

  • Centralized
  • High inflation rate
  • Loses popularity 

The History

Block.One, a private business launched in 2017 by Dan Larimer and Brenden Blumer, is the creator of the EOSIO protocol. Blumer also designed the first decentralized exchange, BitShares, and the very first crypto social media platform, Steemit, in conjunction with EOSIO.

Dawn 1.0’s first testnet was originally published in September 2017, and complete versions were introduced in both 2017 and 2018. EOS’s formal ICO began on June 26, 2017, and ended on June 1, 2018, making it one of the longest ICOs in crypto history. It was not just one of the longest-running ICOs, but also one of the most effective, raising nearly $4 billion.

How EOS Works

EOS’s major goal is to offer a user-friendly tool for developing dApps while resolving the difficulties of existing blockchain platforms such as Ethereum.

EOS.IO is unique in that its design enables for vertical and horizontal scalability of dApps. EOSIO-based dApps do not charge users for activities, making EOS free to transfer for dApp users.

EOSIO provides a more interactive model of governance. It includes capabilities that allow users to vote and make decisions to change the rules of the system.

A user who owns EOS has the power to vote on choices, and block producers are accountable for carrying out agreed decisions. Both groups have the ability to vote on changes to the “EOS Constitution,” a governance framework that clearly defines the rules for all EOSIO users.

Advantages & Disadvantages

Advantages

Scalability

Because of its DPoS technology, EOS promises to be able to accommodate millions of transactions per second.

Reduced energy consumption

Because of DPoS, EOS consumes less energy than other platforms.

Free transactions

EOS allows for the execution of activities or the provision of services with no related expenses.

Disadvantages

Centralization

Block.one became involved in EOS governance in 2020 and is now the largest single holder of EOS coins. This has compelled numerous crypto researchers and professionals to link the producing authority’s choice with centralization.

High Inflation

The yearly inflation rate for the EOS blockchain is 5%. One percent of this is used to compensate block producers and to enable free transactions. The remaining 4% inflation rate is unutilized.

EOS in the Global Crypto Market

EOS is becoming more well-known among beginner traders and investors. It has received the support of significant actors in the centralized and decentralized financial worlds from its creation. The cryptocurrency’s issuing authority has numerous DAPPs functioning on its ecosystem. This increases cryptocurrency usage, which is good news for investors.

The present price of EOS, which is lower than others, gives the digital asset a difficult entry point for new investors. For active traders, the price represents an excellent chance to acquire another asset to their increasing portfolio of crypto-backed investments.

According to the software regulations, the number of EOS coins can be raised by 5% each year, putting downward pressure on the price of EOS.

FAQ

What exactly is an EOS.IO “smart contract”?

EOSIO smart contracts are distinguished by the fact that they are written in C++. they may be upgraded after deployment without disturbing the blockchain network.

What projects are based on EOS.IO?

EOSIO now supports the two fastest public blockchains, EOS and Telos, as well as over 400 apps like Upland, DefiBox, and many others.

What’s the distinction between EOS.IO and EOS?

EOSIO is a blockchain system that is powered by the EOS coin. The primary token, EOS, is a utility token that offers blockchain bandwidth and storage.