The technology behind EOS
While most people take into consideration only the financial aspect of cryptocurrencies, it is important to understand that it is a core idea which lies in the success of some of the largest cryptos. The idea of EOS is to allow developers to create dApps (decentralized applications) using its blockchain. With the size of dApps ecosystem increasing every passing day it starts to suffer from slow response speed and limited resources provided by the network.
This is what we can see with Ethereum, for instance. Eso aims to solve these problems by introducing extended usability and faster operations. The main difference between Ethereum and EOS is in the number of transactions they can process per second. Ethereum is unable to process more than 15 transactions per second and that is the main reason why it can not receive global usage. On top of that, it also takes time for transactions to reach their destination. EOS hopes to develop a technology, that will allow for more than 1 million transactions to be processed every second.
This will be achieved through a special model which is called “Delegated-Proof-of-Stake”. To put it in simple words, there will be over 200 people which will be paid with EOS coins to keep the network secure. They will help to verify each transaction that occurs in the system. As the system itself is decentralized investors will vote for who they think should be among these 200 supervisors. The strengths of the investor’s vote will be based on how much EOS coins he has.
Why should you invest
It’s ICO was one of the most successful ever, raising over 1 billion USD. It has ended on June 1st, 2018 and 700 million tokens were issued during this time. EOS currently holds 6th pace by market capitalization rate and one token is currently valued at 5.93 USD as for the day of writing (September 5th, 2018). Experts predict that its value will increase dramatically with the increase of platform’s usability.
Price prediction is that it will rise to 37 USD per coin by the end of 2018, which allows you to expect good returns if you consider investing in EOS now. Given the fact, that numerous companies and developers all over the globe are looking for the platform which allows for faster transactions and the ability to run multiple applications it is safe to say that you can expect high returns in long-term perspective. The five-year forecast is around 143 USD per coin.
All in all, EOS is currently at the first stage of its development. It is too early too expect immediate return from this investment. However, if you are a long-term investor, you should definitely turn your eyes on this crypto!