EOS: The largest cryptocurrency you (probably) haven’t heard of

After some big moves in December, the cryptocurrency market has cooled and the market cap has dropped from all cryptocurrencies has fallen 45% since January 1st.

You may know the names of the four largest cryptocurrencies: Bitcoin, Ethereum, Ripple, and Bitcoin Cash. Unless you read Josh Enomoto’s InvestorPlace post current articleYou probably haven’t heard of the fifth most important cryptocurrency: EOS.

According to CoinMarketCapEOS currently trades at $ 12.42 per token and has a market cap of $ 11 billion.

EOS was revealed at Consensus 2017, an annual cryptocurrency conference. Block.one, the company behind EOS, has been selling EOS tokens for almost a year and is almost increasing them $ 4 billion. Dan Larimer helped create two more cryptocurrencies, each worth over half a billion dollars. He is currently the Chief Technology Officer of Block.one.

This one-year coin offer (ICO) ends on June 1, 2018, just before EOS starts. There will be 1 billion tokens in circulation, 100 million of which are reserved for Block.one. Each EOS token is a share of the capacity of the EOS network. If you are not using the network, you can earn “rent” on your EOS token.

Some think EOS could become an alternative to Ethereum, the second most important cryptocurrency. Ethereum offers more features than Bitcoin and users have started to publish apps on the Ethereum blockchain. However, the capacity of Ethereum remains limited, and a simple app called “CryptoKitties” polluted the Ethereum network In December.

Can EOS overtake Ethereum as the top cryptocurrency?

In April, Larimer announced that EOS could handle the intervening 1,000 and 6,000 transactions per second. Ethereum, on the other hand, currently only processes 15 transactions per second.

And, unlike Ethereum, EOS comes with no transaction fees. If Ethereum succeeds in taking market share, the demand for EOS tokens will increase and with it the price.

EOS: The cop case

The cop case for EOS starts with the people involved. Its creator, the aforementioned Dan Larimer, has an impressive background. Larimer founded BitShares, a decentralized exchange, in 2014. BitShares Expectations that it “can handle the volume of trading on NASDAQ while orders are settled the second you submit them”.

Users pay transaction fees using the BitShares cryptocurrency that currently has one Market capitalization of over half a billion dollars.

Larimer then developed Steemit, a social media platform based on blockchain technology. Steemit claims over 1 million registered accounts. Steemit users can reward content creators with the Steem cryptocurrency. The Chinese government recently classified Steem as the world second best blockchain networkbefore everyone else except Ethereum.

Check out some of the other people associated with EOS.

Block.one’s chief operating officer, who joined Block.one just two weeks ago, was previously chief financial officer of Australia’s largest bank.

Celebrity venture capitalists will manage the $ 675 million Block.one allocated for growth.

One company, Galaxy Digital LP, will help manage the $ 325 million EOS.IO Ecosystem Fund. Galaxy founder Mike Novogratz is a former macro trader who invested in Bitcoin and Ethereum early on $ 250 million.

Tomorrow ventures, a venture capital linked to previous ones Alphabet Inc. (NASDAQ:TogetL, NASDAQ:Aco) Chairman Eric Schmidt is also involved. John McAfee, whom I mentioned in a Previous articleis bullish on EOS and predicts it will hit $ 32 by the end of July.

And as Josh Enomoto mentioned, there are rumors that Coinbase might add EOS. Coinbase is one of the largest crypto wallets in the world with over 20 million users.

EOS: The bear case

Let’s look at the case against EOS.

In April, Ryan Selkis found that EOS was trading with a nosebleed pre-launch value of $ 12 billion, 50 times what it was at ETH. In his view“The risk-reward profiles for ecosystem participants are pointing downwards.”

As mentioned earlier, EOS is offered with no transaction fees. But there is no free lunch. You must either have enough EOS tokens for the transaction to take place, or you can borrow tokens from people who are not using the network.

Matteo Leibowitz EOS inflation makes it a poor store of value in the long run. EOS inflation rates can be up to 5% per year.

Ethereum founder Vitalik Buterin has signaled his intention to cut Ethereum inflation rate up to 0.5%. Buterin has also considered limiting the total supply of Ethereum to 120 million coins.

Overtaking Ethereum won’t be easy. The Ethereum community is exploring various methods to increase its capacity. And EOS is not the only potential “Ethereum killer”. Many other altcoins, including the Lisk, Cardano, Tron, and Zilliqa, are also described in a similar manner.

Finally, that EOS Token Purchase Agreement actually prevents US and Chinese citizens from buying the token. If you currently have EOS tokens, this is what you need to do Register your address before the launch of EOS on June 2nd. If you don’t, your tokens can lose their value.

At the time of writing, Lucas Hahn has long been BTC, ETH, and BCH.

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