What is EOS

EOS is a cryptocurrency that drives the EOSIO platform. EOSIO intends to be the most powerful blockchain platform, enabling smart contracts and decentralised applications to be established and developed on the network. EOS has the capacity perform millions of transactions per second and costs no transaction fees to transfer or receive the cryptocurrency. Instead, the protocol pays the companies who administer the network regularly with new EOS, thereby replacing inflation for transaction fees.

A Brief History of EOS

EOS came out in June 2018, when Block.one, the firm that developed the EOS.IO open-source software used on the network, raised over US$4 billion in crypto in an initial coin offering (ICO). Launching in June 2017, the EOS token sale lasted a year, making it the biggest ICO to date. EOS has backing from over 16 top-notch organisations, including TaaS Fund, SVK Crypto, Parallax Digital, and many others.

Through its best use of parallel execution and asynchronous communication protocols across the network, EOS.IO promises to serve thousands of commercial-scale DApps without facing performance difficulties.

EOS attempts to distinguish itself by offering transaction throughput capable of processing thousands of transactions per second without the need for direct fees, increased usability for all parties involved, and governance for business and chain maintenance.

Ecosystem funds play a crucial role in the development and acceptance of EOS. Their goal is to make strategic investments that improve the value of the projects and tokens to guarantee the construction of required infrastructure, and adequate incentivisation exists to entice developers to build on the platform. The most prominent is a $325 million fund headed by Mike Novogratz named Galaxy Digital EOS VC.

How EOS Works

The EOS configuration does not use the now-familiar Bitcoin mining paradigm. On the other hand, block producers generate the required number of blocks and receive rewards with the production of new EOS tokens for each block they produce. Block producers may publish the intended payout amount. The number of tokens they create is determined and constructed on the median value of the anticipated pay released by all block producers.

This mechanism works in tandem with EOS storage since all token holders pay for file storage on the EOS network using a share of annual inflation. The EOS tokens will be held up and lose value at the inflation rate as long as they store some files on the network.

The more storage needed the more block demand from block creators, who will be able to demand more value for their work via higher pay inflation, which token holders will approve. If storage demand falls, inflation will fall, minimising the value loss from held EOS tokens. EOS tokens are stored in various wallets such as Ethereum Wallet, MyEtherWallet, and MetaMask.

What is EOS Used for

The core usability features of EOS consists of a web toolkit for interface development, self-describing database schemas, and declarative permission. This simplifies the developer's task of generating and maintaining applications. Web toolkit of EOS makes it easier for the developer to generate and maintain applications. In other words, EOS facilitates decentralised applications on a commercial scale, often known as DApps. EOS provides the foundational capability for businesses to create blockchain applications comparable to building web apps.

EOS is a direct rival to Ethereum, which aims to be larger, better, and quicker. WhileEthereum typically can only handle 15 transactions per second, EOS processes thousands of transactions per second, with plans to scale to millions of EOS transactions in the future.