By comparing the historical trading volumes of the six major platform projects over the past three months, we find that trading volumes of general platforms, despite significant differences, are trending in the same direction. Overall trading activity has declined slightly since the start of the year. Ethereum’s trading volume has fallen from a peak of more than 9,214M USD three months ago to 948M USD now, and EOS has edged down from a peak of 3,379M USD to 166 M USD today.

Fig. 3 Historical Volume of ETH, EOS, ETC, NEO, QTUM, LSK in the Past Three Months

Source: TokenInsight

Aiming at the main pain points of underlying public blockchains and building a commercial DAPP development platform

In the Blockchain 2.0 phase, there are not many public blockchains available to application developers, and each has its own irreconcilable disadvantages. A suitable blockchain development platform needs to meet the following conditions simultaneously: high-speed processing capacity, low transaction costs, excellent cross-chain capability, security, compatibility, etc. For developers, the important thing is a friendly development environment and convenient promotion conditions.

Currently, Ethereum is the development platform with the most DAPPs: Ethereum, as the first development platform combining blockchain and smart contracts, has created an open source, blockchain based smart contract underlying system, thus greatly facilitating the development of blockchain applications and expanding the application scenarios of blockchain technology. Although Ethereum provides a Turing complete language that gives developers complete freedom, it is designed to be a neutral platform, which makes application development difficult and greatly limits the development freedom of DAPP on Ethereum. Moreover, the Ethereum transaction processing speed is slow, only 20 times per second. Transactions through the platform need to pay fees, and according to current market price, the cost of a single transaction is about 5 dollars. These shortcomings have greatly limited the development of the platform.

Table 1 Comparison of Main Parameters of Some Development Platforms

Source: Official Data, TokenInsight

The goal of EOS is to be a super platform suitable for development with extremely fast processing speed. From a market perspective, the market of general platform is similar to the desktop operating system and contains an extremely broad market. Based on partial estimates of the current 1.5 billion mobile terminals, the potential market capacity could reach at least $100 billion. There is no shortage of teams currently building general platforms, including Lisk, which provides a Javascript development environment; NEO, which is compatible with all programming languages; and ONT, the world’s first foundational platform to propose Ontology Network, which will be competitors to EOS. EOS is in a position to follow when many public blockchains have gone ahead. But since the public blockchain market does not yet have a precedent for large-scale DAPP development and scenario implementation, it is still a blue ocean. Every public blockchain has an equal opportunity to compete, and this is a good opportunity for EOS development.

In order to solve the three problems commonly faced by blockchain development platforms, such as high application development difficulty, high transaction cost, and slow transaction processing speed, EOS is designed as follows:

1. EOS introduces common role-based permissions, Web toolkits for interface development, self-describing interfaces, self-describing database schemes, and declarative permission schemes to provide DAPP developers with databases, schedules, account permissions, authentication, and internet-based operating systems;

2. EOS uses concurrency to gain blockchain scalability in order to achieve the potential of millions of transactions per second;

3. EOS Token is designed to represent access to resources on the EOS blockchain, including bandwidth, log storage (disk), account permissions, compute and compute reserve (CPU), etc., thus providing two features: no consumption, allowing agents.

Most of the existing general platform use the consensus mechanism of POS (Proof of Stake) and DPOS (Delegated Proof of Stake). The BFT-DPOS consensus mechanism to be adopted by EOS is the addition of BTF (Byzantine Fault Tolerance) to DPOS, which enables consensus to be reached within 1 second and is irreversible. Prior to the development of EOS, Daniel Larimer had developed Bitshares and Steem based on the DPOS consensus mechanism and graphene technology, which were used daily by tens of thousands of active users and had achieved a transaction confirmation rate in seconds.

The DAWN 3.0 of EOS gives test results for a single blockchain under different conditions: the worst is 1,000TPS, the theoretical best is 8,000TPS, and the average is 3,000TPS. The official version of EOS will use cross-chain communication to distribute workloads among different blockchains. At that time, supernodes can run 1,000 chains concurrently, bringing the theoretical transaction speed to millions per second. EOS has adopted only 21 supernodes in order to increase TPS, but this may present some security issues.

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