New promising coins enter the market every year, and their developers promise to change the world. If you analyze new cryptocurrency projects carefully, you can see that some of them have a really huge potential. One such project will be discussed in our today’s article. So, the EOS coin: a new global computing platform with a huge bandwidth that is capable of “killing Ethereum” or another scam? Let’s find out.
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- The main characteristics of EOS
- Forecasts for EOS cryptocurrency
- EOS news, investments in the second half of 2018
EOS was one of the most memorable and high-profile ICOs in 2017. The project attracted $465 million of investment during the first stage of token sale, which was an absolute record for the last year. The ICO was finished in the summer of 2018 with the record $4 billion.
The platform is built on the Ethereum blockchain, but it has few similar characteristics. Although EOS functions on the blockchain of Ethereum, it has a number of fundamental differences from its “older brother”. One of the key differences is the availability of the EOS confirmation method Proof-of-Stake. We remind you that Ethereum is only planning to abandon Proof-of-Work, but nobody knows when it is going to happen.
The main purpose of EOS is to support decentralized commercial applications. The platform has a wide functionality for developers of third-party applications. This is, in fact, a new OS for blockchain projects. The platform has all the prerequisites for scaling, since its mechanism can provide hundreds of thousands of transactions per second. This aspect is the “Achilles’ heel” for the vast majority of blockchain projects. EOS has a visible advantage over key players in this field.
However, we can not truly evaluate this platform, because the system was launched just a few weeks ago. The development team promises to implement a fully working version of the platform in the second half of 2018, that is, we have to wait for a while.
If the development team manages to realize all its ambitious plans, then EOS has every chance to replace Ethereum. At this point in time, the coin occupies the 5th place in the Coinmarketcap rating with a capitalization of $7.2 billion, with the price of about $8. It is worth noting that we see an increase of 800% on the annual chart, this is given the current deep correction of the market. The coin should show good dynamics this year, but the full potential of the EOS project will only open in 1-2 years. Therefore, analysts advise buying a coin exclusively for long-term and give a pretty bright forecast to EOS for 2019-2020.
But you should not expect for the rate of this coin to be $500-$1000, as Ethereum’s, as it is hampered by the total number of tokens. The emission of the coin is limited, but its total number is 1 billion pieces. For example, this number is ten times smaller for direct competitors (NEO and Ethereum), which makes them more limited, and, therefore, more valuable.
We remind you that the EOS main network was launched on June 9, 2018. Immediately thereafter, the arbitrators decided to freeze transactions for 27 suspicious wallets. This caused a stormy reaction in the cryptocurrency community, the question of the immutability of the blockchain and the fight against centralization was raised. Literally a couple of weeks after that, the project’s main inspirer Dan Larimer said he intended to change the EOS constitution and restrict the rights of arbitrators. To do this, it is necessary to vote among the token holders, and only 120 days after this, you can proceed with the change of the main project document.
The abovementioned small scandals do not interfere with the project plans to achieve the set goals on time. The network is running, the developers do not sit still, it helped the coin take the honorable first place in the rating of the China Electronic Information Industry Development. By the way, Bitcoin took only the 17th place in this rating.
Should you invest in EOS now or not? There is no clear answer to this question, otherwise, people would simply read the forecast, invest into the favorites and drink cocktails in Monaco after a year or two. But in all seriousness, the fundamental reasons for the growth of this coin are certainly there. But do not forget that the cryptocurrency market can sometimes be, to put it mildly, not entirely rational. There may be force majeure circumstances that prevent the team from implementing its plans or a new, more technological product will appear on the market. Calculating all the variables in this equation is simply impossible.
Perhaps, the right decision might be to buy EOS only for a long-term (1-2 years). And, of course, it is necessary to follow the rule of financial asset diversification. If you form your investment cryptocurrency portfolio, the share of EOS should not exceed 2%-5% of the total investment in the industry. You can store coins both on stock exchanges and on the multicurrency Exodus wallet. The first option is not entirely suitable for safe long-term storage, so it’s better to use a hot or cold EOS wallet.
The startup EOS has made a lot of noise in the cryptocurrency community in 2017, having collected $465 million in the first stage of the ICO. EOS is a platform for developing blockchain-based applications. It is built on the blockchain of Ethereum. The main advantage of EOS over other projects is the declared bandwidth of the network. According to the developers, the system is capable of processing hundreds of thousands of transactions per second. The project has every chance to replace Ethereum and become the new favorite platform of the industry.
If you are going to invest in EOS, then it might be better to regard this asset for a long term, since it will be possible to fully realize its potential in only 1-2 years.
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