1. About EOS
EOS is native cryptocurrency of the EOS blockchain network and platform for decentralized apps. It conducts many of the same tasks, but is much more capable— up to millions of transactions per second. EOS stands for the operating system of Ethereum–informally. The sale of the EOS cryptocurrency token raised $4 billion over an ICO that lasted for a year. Ethereum was the first blockchain to prop up decentralized application creation. It sounds good in theory, but once released into the wild it was plagued by scalability problems. EOSIO is known as the “Ethereum Operating System,” informally. Because it adds a layer on top of Ethereum to make this dream of a dApp society a reality.
Bitshares and Steemit creator Dan Larimer developed it as one of the first Ethereum dApps. Through a company based in private Cayman Islands called block.one. It was developed to compete with alternatives like the Raiden Network or Lightning Network as a sidechain solution. The roadmap is aggressive, with team planning applications for sharing computer resources. Such as CPU and RAM (a la Golem; another dApp based on Ethereum); decentralized P2P cloud storage (such as Siacoin); and more.
3. How Does It Works?
Network Design & Security Model
In order to secure its network, it uses a delegated proof-of-stake model (DPoS). DPoS uses real-time voting combined with a social system of reputation. Its to achieve consensus as to who can create the next block of transactions in the blockchain.
Every EOS token holder has influence as to what happens on the network, proportional to how many tokens their account holds. The voting process has been somewhat controversial.
In order to vote, users must stake tokens for three days. Those who stake their tokens cannot sell them, putting them at risk of losing money should the price of the token change during that time.
There is no maximum supply limit of EOS tokens. The delegated proof-of-stake model uses inflation to fund transactions and pay block users.
There is a 5 percent cap in the rate of inflation that has been agreed upon which is expected to exist forever. This means that at the end of the ICO, once the 1 billion tokens were issued, a maximum of 50 million new tokens would get created within the year following that.
According to the white paper, a transaction within this crypto can be confirmed with 99.9% certainty after an average of 0.25 seconds from the time of the broadcast.
The software requires every transaction to include part of the hash of a recent block header. In order to prevent a replay of a transaction. Also to also signal to the network that a particular user and their stake are on a specific fork.
4. EOS.IO and EOS Tokens.
There are two key elements in the ecosystem: the EOS.IO and the EOS tokens.
EOS.IO is similar to a computer’s operating system to draw a parallel–it manages and monitors the network of EOS blockchain. EOS.IO uses blockchain architecture designed to to enable vertical and horizontal scaling of decentralized applications. The EOS token is the EOS network’s cryptocurrency.
Instead of investing them, a developer simply needs to hold EOS coins to be able to use network resources to build and run dApps. A token owner that does not run any apps may also delegate or lease its bandwidth to other participants that may need it.
5. How It Is Different From Others?
- Although there are already a range of blockchain-based networks such as Ethereum that allow distributed applications. EOS focuses on crucial blockchain pain points. It aims to solve the problem of speed; scalability; and consistency that often transform into a bottleneck for blockchain-based systems like this.
- With the scale of the dApps ecosystem on a specific blockchain network rising with each passing day, it often suffers. Its due to the limited availability of resources on the network. These involve problems such as the network being overwhelmed by a large number of false transactions and similar requests; spamming applications; poor execution speed; and insufficient network-wide computing power. EOS.IO attempts to address these problems by offering more scalability, flexibility, and usability through its unique mechanism.
- It says that by using parallel execution and asynchronous interaction techniques across the network, it can accommodate thousands of commercial-scale dApps. Even without reaching performance bottlenecks. Through separating the different modules involved in dApps running, the performance is further improved. For example, the process of authentication is performed separately from the process of execution.
- EOS.IO provides versatility across different features in the development and maintenance of dApps. This ownership structure encourages the user’s free use and reduces transaction costs. Because developers are permitted to use resources in relation to their stake rather than the traditional pay-per-transaction model. This also promotes the estimation of hosting costs for app developers and helps them to create effective monetization strategies.
- EOS.IO uses delegated proof-of-stake and a role-based authorization model. Which allowing flexibility to make instant high-level decisions. Such as rollback, freezing and bug fixing of broken apps, through a majority agreement between specified stakeholders.
- It comes with key usability features which are web toolkit for interface development; self-describing interfaces; self-describing database schemas; and declarative permission scheme. That make the developer’s job easy for creating and maintaining the apps.
6. How to Purchase EOS
The simplest way is by buying it with either USDT, BTC, or ETH on Binance. You can also buy it on Bitfinex, Huobi or OKEx. Even though it may not be as easy as the method.
If you currently have only USD (or any other fiat), you have some extra steps. First, you need to set up an account to fund fiat to crypto exchanges on a website. All popular options are Gemini, GDAX and Coinbase.
You will connect your bank account after you have created an account and submit USD to the portal. Buy Bitcoin from there.
Send it to Binance from your original exchange now that you own Bitcoin. Finally, swap your Bitcoin for EOS on Binance.
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