The Legend on the official EOS website describes it as the next generation, open-source blockchain protocol that offers industry-topping transaction speeds as well as flexible utility. The writing goes on to claim that EOS has been recognized as the premier performant blockchain platform that targets enterprise across the globe. This is EOS in a nutshell. However, what does this mean to you, the blockchain and cryptocurrency enthusiast?
Today, we will take a detour from the usual crypto mixer talk, and delve into the world of blockchain innovations, where tumbling Bitcoins and other safety measures take a backseat. Instead, we shed light on the controversial EOS project, and how it hopes to revolutionize the crypto space.
What is EOS?
An article on Investopedia describes EOS as the most advanced infrastructure for decentralized applications (dApps). In other words, it is a decentralized system based on the blockchain with the function of enabling developers to create, host, and execute decentralized applications of commercial scale on the protocol.
In a nutshell, the EOS platform presents a better functionality proposal compared to Ethereum.
The network offers adequate support and core functionalities that allow individuals as well as businesses to create and host blockchain-based applications in the same way the web-based applications have been hosted.
The said core functionalities include offering secure access as well as authentication, data hosting, offering permission, facilitating inter-application communication as well as the communication of these dApps with the internet, and usage management.
I know we mentioned that we will have less crypto mixer talk but I know this information may have piqued your imagination. You probably are wondering what crypto mixers fully-embedded on such an operating system would look like.
EOS enjoys the support of a web toolkit that facilitates interface development. This feature makes the protocol elaborate and self-sufficient. It, as such, can offer hassle-free app development and essentially works like Apple’s App Store or Google’s Play Store do.
The platform is now a property of block.one. The parent company is a brainchild of Dan Larimer, the renowned cryptocurrency entrepreneur and software programmer who create the Steem blockchain and BitShares, a cryptocurrency platform.
How EOS Works?
To understand how EOS works, it is prudent to first dissect the protocol’s architecture. The platform has two key components; the EOS.IO, and the platform’s native token, EOS.
EOS.IO is built to look a lot more like a computer’s operating system. That is, its function mainly is to manage and control the entire EOS blockchain network. It applies a blockchain architecture that is created to allow for both vertical as well as horizontal upgrading and scaling of decentralized applications.
The EOS token, on the other hand, is the native cryptocurrency for the EOS protocol. As a developer, you need to hold EOS coins, though not necessarily to spend. Holding them gives you the right to use the network as well as create and run dApps on the platform, even without spending the said coins. The right is proportionate to the amount of EOS tokens you hold.
Besides, if you hold coins and are not keen to develop or deploy any dApps on the EOS network, you can still rent or allocate your bandwidth to platform participants that may want to deploy or run dApps.
Features of the EOS Platform
EOS is obviously not the only platform that addresses the use of dApps. However, it presents very compelling arguments for its many new features. The combination of features and the innovation they present make EOS.IO the platform to look up to for future blockchain uses. Some of these features are:
It is common for blockchain applications to experience resource limitations. The novel EOS architecture eliminates the problems associated blockchain technology’s tendency to hedge its efficiency on networking as well as network effects.
The EOS platform provides asynchronous access to the network’s resources while allowing dApps to adopt parallel execution. The feature allows multiple users to deploy and have their apps active at the same time; an important step in overcoming resource bottlenecks.
2. Token Holding Model
Almost all blockchain platforms work with a transaction model; where network users expend tokens to access the various projects and services that the network offers. EOS, on the other hand, advocates for a free access system. And, while the EOS model is not really free access, it comes close compared to all other blockchain models.
Instead of using tokens on the EOS platform, you are only required to hold tokens. The platform’s once-a-lifetime token holding allows a user to exploit the EOS network proportionate to the tokens they hold. Simply put, this means that you buy the tokens upfront and get access to use the platform permanently.
In most blockchain projects, that is the networks that focus on app development included, users do not get the opportunity to create user accounts on the network’s database. The EOS network, however, does the opposite. Its present a feature that eases the process of creating and deploying apps.
Besides, the ability to create avatars on the network improves EOS’s efficiency since it transfers the essential task of user authentication that is often repeated by the platform’s users and including it into the system’s architecture.
4. Development Kit
The platform’s core developer Block.one has launched EOS’s development kit that blockchain enthusiasts agree is feature-laden. A development kit means the set of tools that a network makes available to programmers to enable them create apps as well as granting them access to the various projects that the network offers as well as the functions that are natively innate to the platform.
EOS’s system is considered sophisticated because it gives users an easy way of solving problems. This feature essentially means that the said users can easily create apps that are just as sophisticated.
Bitcoin’s hyperinflation problem, most cryptocurrency enthusiasts admit, is not ideal. To ensure a similar scenario does not play out, the EOS developers have created a system that will continue releasing new tokens corresponding with the growing user base. If implemented properly, it will ensure that the price of the EOS token is consumer friendly.
The EOS system has adopted the proof-of-stake approach. Essentially, this structure implies that the amount of tokens you hold determines how influential you are on the platform. The more tokens you possess; the more responsibility the network bestows on you. This approach is more efficient compared to the proof-of-work approach.
In all, these six features make the EOS network a lot more applicable to emerging blockchain applications. They make the network essential, just like tumbling Bitcoins or crypto misers are essential services and products in the cryptocurrency transaction space.
The EOS network may have come with several unique features; fortunately, buying EOS tokens is a lot like buying other major cryptocurrencies.
You need to start by selecting and installing your preferred EOS wallet. A wallet, like you all probably know by now, is the place where you keep the codes that grant you access to the EOS tokens that you hold.
A number of cryptocurrency storage methods exist. However, the two safe modes are via a physical offline device, usually a thumb drive, or in an online account.
This article highlights all the cryptocurrency wallets available to you.
Whichever way you choose; you will first have to proceed to an exchange. There are numerous exchanges but Coinbase is a great place to start if you are a newbie.
On Coinbase, create an account, and choose a preferred method of funding your account. Kindly note that most platforms do not accept the conventional payment methods. So, consider a debit card or a checking account. Alternatively, a checking account will do if you are doing bank transfers. If you pick this option, be sure to have your bank’s routing number jotted somewhere. Most exchanges will require you to provide this information.
If you already hold some form of crypto, say BTC or ETH, then you are steps ahead.
Individuals that are buying EOS tokens into an online wallet should connect their wallets to the online exchange from whence the purchase is taking place.
The methods used here are a lot similar to the process of tumbling Bitcoins using a crypto mixer.
Coordinating the processes in the blockchain space can be a tad consuming. Being a novel field, a lot more definition and fine-tuning still needs to be done. The EOS network is in place to create some semblance of harmony. Transactions speeds, for instance, are a major challenge. In a world where millions of transactions per second is essential, the mediocre speeds that Bitcoin offer may delay mainstream cryptocurrency adoption. EOS, as such, comes to the scene to provide workable solutions.