Cryptocurrency and Decentralized applications are the 21st-century buzzwords that work on the power of cryptography. They can have a powerful impact on the global economy if they are successful in delivering real-world solutions to tech & financial industries. Developed by Daniel Larimer, EOS has joined this crypto revolution from July 2017 last year. Just after its launch, EOS cryptocurrency has become popular among smart contracts & decentralized autonomous organizations. Now, EOS has established itself as “top 5 crypto-currency” that is available for investing and trading. Ethereum has been the market leader in blockchain application development for the last couple of years, but now facing competition from EOS, Tron, Neo etc. Although new platforms like Tron, NEO has some advantages, none can compete with Ethereum on all fronts as EOS does.
EOS is a blockchain-based technology (like Ethereum) that has a powerful infrastructure to create the decentralized applications. The main aim of EOS.IO is to provide a user-friendly tool to the developers for building Dapps. One of the biggest problems that the community is facing is Scaling. Right now Ethereum can barely reach the triple digits transactions rate and it’s a pain to use as the users have to pay the Gas fees to use the Dapps, this is counterproductive as users are unlikely to use a system where they have to pay at every step, to counter this, EOS introduces vertical and horizontal scaling which is done by block producers so that it becomes free for the users. It also provides a safe and scalable platform to the thousands of transactions/second performed by users, entrepreneur and app developers. In other words, you can say that EOS is a complete blockchain platform for providing web services like smart contracts, cloud storage Dapps, IOT, user authentication etc.
Note: The EOSIO Dawn 1.0 release was released on September 14, 2017, the Dawn 2.0 release brought on December 4, 2017, the Dawn 3.0 release was March 2018 and the Dawn 4.0 release was on May 11, 2018. EOS mainnet was supposed to be live by June 2018 but it ran into issues and not yet live.
Like EOS.IO, Ethereum is also a blockchain software architecture that was undeniably much popular in the year 2017 for running smart contracts.
Note: Smart contracts are applications that are programmed to install/run automatically without the need of a third-party regulator. Obviously, these apps are developed on the blockchain platform, so they face no risk of duplicity, frauds and malicious third-party inferences.
In my opinion, EOS.IO blockchain has some significant advantages over Ethereum. Few reasons are given below:
Ethereum strictly follows the PoW (Proof-of-Work) consensus protocol that can only allow to process up to 100 transactions per second. Since its completely decentralized, that is why Ethereum cannot efficiently fix the broken decentralized applications and frequently faces the network issues. On the other hand, EOS uses a DPoS (delegate proof-of-stack) protocol that allows the developers to freeze the crypto-network when a broken app is identified. In this freezing state, developers fix the broken app without affecting the other entities in the network.
Unlike Ethereum, EOS.io offers excellent throughput capacity (up to 60,000 transactions per second). There are two major points here to show the potential of EOS.io. Firstly, it speeds up the application according to the developers’ need and makes it a ‘consumer-grade’ global app. Secondly, EOS.io provides assurance of one sec transaction finality. This feature of EOS.io leverages the cross-chain communications up to a huge limit. It also enhances the horizontal communications between the chains.
Comparing to Ethereum, EOS.io has several new features to give a better end-user experience. For example- account recovery, password recovery, readable username and many more. In the mainstream platform, such kind of features are must be expected by consumers.
Another point is that a long string of letters and numbers is used to represent the Ethereum account. For an average non-technical consumer, it is very hard to adopt such kind of unrealistic expectation. You can easily understand the situation by viewing the Ethereum account address such as:
EOS.io beautifully resolves this complexity by giving a human-readable end-user account address.
One of the main advantages EOS has over Ethereum is that EOS applications are designed to be free for the end users. It is achieved by consensus protocol where the 21 elected block producers process the user transactions, so it becomes free for the user. Although this sounds exciting it could have its downside as EOS blockchain could be the subject of Spam attacks. Also, since the 21 block produces does most of the transactions and are elected independently, they can form a monopoly and choke the system without any apparent reason. In an ideal world, proof of consensus may have all the benefits but in real life, it is subject to human greed and manipulation.
In summary, Ethereum and EOS both are relatively new technology and that’s why it is a see-saw battle. EOS is a newer technology that’s why trying to address Ethereum’s shortcoming, however, EOS has its own problems to solve. Eos is a conceptual initiative that has the potential to beat the issues related to the blockchain software architecture. With a lofty-vision, it encourages the consumer’s hodling and usage of DApps. Unlike Ethereum, EOS has poured a list of features into a single pane of glass. Eos has fundamental tradeoffs to innovate the blockchain model for small businesses and entrepreneurs. Ethereum can and will bounce back with Sharding implementation later this year but for now, we can say that EOS is a best consumer-grade global application that one can imagine!
Whoever comes on the top of this rivalry, one thing is certain that it will evolve the blockchain community for good. Right now, there are more promises than actual products in the crypto space and hopefully one of these platforms will enable entrepreneurs to develop great application over them and encourage mass adoption for the blockchain technology.
If you want to know more about EOS or want to share anything regarding blockchain software architecture and cryptocurrency, then feel free to use the comment section below. We can also assist you in developing your own EOS or Ethereum Dapps. We are one of the top blockchain development companies have a team of experienced blockchain developers who have good working exposure over both Ethereum and EOS platforms.