EOS is a relatively new Blockchain project in the crypto space with an objective of building a network with the capability of handling millions of transactions at a go. The cryptocurrency started on a high note with some very interesting Initial Coin Offering for a number of reasons;
First, the EOS ICO ran from 26th June 2017 to June 1st 2018, a total of 350 days, making it the longest ICO of all time. This gives everybody a chance to get involved and purchase some EOS.
Second, the currency has managed to raise raised over $4 billion and is already the most successful ICOs of all time. The ICO released a total of 700 million tokens and is 70% of the total supply.
The Team Behind EOS
The EOS team has some experienced team members which include Daniel Larimer, the co-founder of Steem and BitShares. Larimer’s projects are already worth billions.
Block one, as a company is also one of the team members behind the EOS software. The same company is also involved in different Blockchain and business projects.
What Is EOS
EOS is a Blockchain network platform for the development of decentralized apps (DApps) and is similar to Ethereum in functionality. In fact, it has been branded ‘the Ethereum killer’ because it pushes Ethereum out of the market. The EOS network makes dApp development incredibly easy by providing operating system-like services and functions that make dApp easy to use.
The main idea behind EOS is bringing together the best of the various smart contract technologies i.e. the computing support of Ethereum and bitcoin’s security. The platform allows smart contracts to be built on top of the network, thereby allowing developers to release dApp. To put it in simple terms, EOS is working to provide one massive and scalable dApp platform for the normal user.
One objective of EOS that could change the future is the processing of millions of transactions in a second. None of the other smart contracts can replicate this ability including Ethereum, the second largest cryptocurrency accommodating only 15 transactions in a second. Why is this a problem? • Did you know that more than 50000 Facebook likes happen in a second and every single one of these likes is a transaction you can’t see? • The financial industry also needs to process at least 100,000 transactions in a second.
That’s why EOS is needed out there because of its ability to handle millions of transactions
How It Works
The reason Ethereum is unable to process a lot of transactions is the way it manages data with each block only able to store a certain amount of information.
Think of an empty freight container capable of storing 1000 boxes. It can only store up to a certain maximum capacity because of the size. In the current system, not only can the block carry 15 transactions only but it also takes long before the box reaches its destination.
Technology in support of this data is the proof of work which can be painfully slow, expensive and bad for the environment. Ethereum that they are close to dealing with the problem but the truth is- none of their solutions is working.
So, Instead of the Proof Of Work by Ethereum, EOS uses a new consensus known as Delegated Proof Of Stake (DPoS) and fixes all these problems that are causing Ethereum sleepless nights.