A detailed guide on EOS Blockchain

EOS Blockchain has been doing its round in the world of Cryptocurrency for quite some time now. Its Initial Coin Offering (ICO) was in July 2017, and it lasted for about a year. They made sure that most of the persons who are interested in buying one should get a fair chance. Within the launch of EOS, it found its place in the list of Top Cryptocurrencies of the World.

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They are providing fierce competition for peers like Ethereum, Tron, and Neo. So what about the Bitcoin? There are still far ahead! Well, but still what are the factors that make EOS Blockchain a favorite? We will discuss it in here. Read on!

EOS: An Outline

What is EOS?

EOS or EOSIO is a Blockchain-based platform that helps in building decentralized apps (dApps) on a large scale. Their principal motive is to provide an interface that acts as an operating system, i.e., to develop an utterly user-friendly platform. EOS is far better when compared to traditional platforms like Ethereum.

One of the most significant disadvantages that the present systems do possess is the scalability issues. Scalability is one of the significant factors that is holding back the conventional forms of Blockchain Technology from the mainstream.

For instance, consider the case with Ethereum. The number of transactions done with Ethereum is meager. Also, you will be charged a fee for developing dApps built on this platform. The users may not be so interested in using platforms where they have to spend money at every stage of development.

EOS allows developing dApps at free of cost. They follow a pattern of vertical and horizontal scaling so that it enables EOS to provide them free of charge. Moreover, EOS based dApps are more secure and fast. So it allows executing thousands of transactions per second. EOS Blockchain platforms also do support smart contract development, cloud storage based dApps, user verification, etc.

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Characteristics of EOS Blockchain

Multiple characteristic features make the EOS Blockchain platform stand apart from their peers. Some of them are as follows:

1. Free of Cost

EOS Blockchain provides the services completely free of cost to the end-users.

Also, they can update to the latest version without any charges. So most of the users will retort to the platform, whenever they need to develop decentralized applications.

2. Supports a Large Number of Users at a Time

EOS is a high performing Blockchain platform and supports millions of users at a single go. The users can make use of the platform seamlessly without any blockage issues.

3. Low Latency

Latency rate is a major deciding factor when dealing with user experiences. If the Latency period is small, then it improves the user experience to a greater extent.

4. Parallel and Sequential Performance

EOS platform works in both parallel and sequential ways. Working in a parallel sequence allows the EOS platform to distribute the workload whenever necessary, whereas when working sequentially, it will enable to avoid errors like double spends, etc.

5. Scalability

Scalability is the number of transactions executed per second. Its a significant factor that a Blockchain platform should possess. EOS do support millions of transactions per second, and the major credit goes to the consensus mechanism followed by them — Distributed Proof of Stake.

6. Lesser power consumption

EOS Blockchain platform consumes a lower amount of energy when compared to other Blockchain platforms. The primary reason is the consensus algorithm they make use of — distributed Proof of Stake.

7. Flexibility

EOS Blockchain platform is highly flexible and safe when compared to the other types of Blockchain platforms. If your system is compromised or affected by any threats, then the elected Block producers can freeze the dApp till it recovers from the fix.

8. Upgradability

Upgradability is another highlight of the EOS based dApps. Users of the dApps can deploy code fix, add new features, modify the existing features, and even the logic of the application. Other types of upgradations are done implementing irreversible smart contracts.

9. Decentralized Operating System

EOS Blockchain platform works more like a decentralized operating system. Hence, it’s more user-friendly and business-friendly compared to the other types of Blockchain platforms.

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Certain Practical Implementations of dApps built on EOS Platforms

There are various types of applications developed out there using the EOS Blockchain platform. We will discuss some of them below:

Ubuntu Energy Leader

Ubuntu Energy Leader was established entirely using the EOS Blockchain platform. It’s a marketplace for renewable sources of energy like Solar energy, Wind energy, etc. Ubuntu Energy leader was started with the mission to provide cost-effective electricity to the household in the African continent.

DACTROIT

DACTROIT is the codename for the EOS Detroit’s flagship product. DACTROIT deals with the selling of tools for communities to own and operate a complementary currency and high-speed internet access.

Cost Deciding Factors of building dApps on EOS Platforms

The actual cost of developing a decentralized application on EOS platform is dependent on the three factors, namely, resource types, resource usage, and resource allocation.

1. Resource Type

In the case of dApps, there are three types of resources:

RAM — Random Access Memory

Network Bandwidth and Log Storage

CPU — Computation and Computational Backlog

2. Resource Usage

RAM

The amount of RAM that you use while building the application. It refers to the data that one access from the application logic. They maybe order sheets, or account balances, etc.

Network Bandwidth

Network Bandwidth is the average consumption of data in bytes. When a user executes a transaction, it consumes an amount of particular network bandwidth.

CPU Bandwidth

CPU Bandwidth is the average usage of information in microseconds.

3. Resource Allocation

Network Bandwidth and CPU Bandwidth — Staking Contract

Both the network and CPU bandwidths are allocated on the basis of the number of tokens held in a staking contract. Those staked tokens will be freed up after a specific interval of time.

RAM

One needs to buy RAM from the marketplace, which is based on the Bancor Algorithm. Bancor Algorithm is based on a set of rules which detects the price automatically and also manages the liquidity mechanism for tokens on Smart Contract Blockchain. In the case of RAM, the data does not get freed up automatically. RAM is freed only once the information is deleted. Afterward, you can even sell the RAM in the marketplace!

"Read the blog: Public Blockchain vs Private Blockchain"

Summing Up

EOS is one of the most sought after Blockchain platforms around the world for various reasons. It has already overtaken the Ethereum platform and many other competitors within less time.

The scope and possibilities of dApps build on EOS Blockchain platform will only increase in the future. They are highly useful for developing applications related to ride-hailing, music sharing, fitness tracking, digital payment, and much more.

Moreover, they are safe, secure, and faster!

Blockchain & AI — A Powerful Pair

Blockchain and AI are groundbreaking technologies with two different applications. Still, with innovative and creative ideas, researchers are trying to integrate both the technologies to make Blockchain & AI-A power pair.

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Here in this article, we will look into the powerful pair of Blockchain and AI.

Combination Of Blockchain & AI

Blockchain is a technology that is based on a decentralized and distributed database that is used to store the encrypted data. On the other side, AI is Artificial Intelligence that is based on machine learning. Here it analyzes the data and provides the resolution based on the machine learning technology.

Both technologies have their own complexity and applications, but both Blockchain and AI can be benefited from each other.

Since both technologies are based on data and the technologies are applied in different aspects of the data. The power pair of Blockchain and AI will make insightful technology altogether. This will lead to the exploitation of data to the next higher level. With the benefits from each other, it will help to boost the architecture of blockchain and the potential of Artificial Intelligence.

When both the technologies are combined Blockchain makes AI more logical and understandable. You will be able to find why resolutions are made with machine learning. The decisions made under AI are stored in the ledger of the blockchain where it deals with machine learning data.

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In this way, AI helps to enhance the efficiency of blockchain technology. The computing of blockchain with AI is far better than standard computing. So we will look into the application of combined Blockchain and AI.

Future Applications of Blockchain and AI Pair

Optimized Computing Power

The encrypted data is used in the blockchain and it is operated with a large amount of processing power. For example, to mine, the Bitcoin block hash algorithm uses more power. Say a “brute force” approach which will mention all the candidates to verify the transaction before it resolves.

The machine learning-based AI technology can use the data more effectively in real-time. This helps to resolve the tasks more efficiently by optimizing the processing power to compute the data.

Developing a wide range of data set

As we all know that blockchain technology is decentralized, there will be no central authority to manage the blockchain. In the case of a public blockchain, anyone will have the power to access the blockchain. Since the latest blockchain technology powers the cryptocurrencies, various industries started implementing blockchain to manage their infrastructure.

"Read Public blockchain vs Private blockchain"

Various industries are focusing on blockchain technology to distribute a wide range of data using the algorithms of blockchain. It ensures the Artificial intelligence development, and it leads to decentralized AI technology in the future.

High Data Protection

AI is the imitation of human activities on the data by following certain rules and conditions. So it is fully dependent on data. AI receives the data as the input and analyzes the data as per the rules and resolves the specified task.

Whereas in blockchain the data stored in a secured database. This provides permission for certain authorities to verify or to alter any transaction and it is fully decentralized with its security features.

When we make the powerful pair of Blockchain and AI, we can maintain the confidential data in a secure database. When the big data is applied to AI, it analyzes the data with the given protocols to save the data securely in the blockchain. In this way, the combined technology can help to manage the large database.

There are certain industry sectors where the data is treated more sensitive and confidential and we all know that it always happens in the healthcare and financial industry. Storing the confidential or sensitive data in the blockchain, which is accessible to AI with the specified rules and protocols or certain specified permissions, provides high data protection. Data will not be hacked easily with combined AI and Blockchain technology.

"Read the blog on Blockchain revolution in healthcare"

Monetization of Data

The groundbreaking application of the combined blockchain and AI technology is the monetization of data. Data monetization provides a large revenue for the big giants like Google, Facebook.

Data monetization involves weaponizing our own data against us. Blockchain helps to securely store the data in the encrypted format using the cryptography technique. This blockchain will also allow us to monetize the data without compromising our personal data. It helps to prevent the biased algorithm in the blockchain and creates a wide range of data sets.

The same is applicable for AI that fully depends upon the data input. To learn the algorithm of AI, the network of AI needs to buy data from the data marketplace. This will open up space for startup companies without the exploitation of well-established companies.

Feeding data for AI in a startup will require a huge investment as they do not create their own data and they can buy the data from the decentralized marketplace to monetize the data more effectively.

Easy understanding of AI Decision Making with Blockchain

As we all know that AI technology imitates the real-time human activities, the researchers are satisfied only if they know the decision making of AI to know whether it’s reflecting the correct real-time activities.

To understand the AI algorithm is very difficult as it involves large data feed for its simulation and it involves large variables and text. However, to know the root cause of AI decision making, we will still analyze the large data.

With the help of blockchain, the process used to analyze the decision making of AI is stored. This stored data is immutable and difficult to alter in the blockchain. So it helps to audit those processes in the blockchain to analyze the decision making of AI.

The companies will opt AI only if it understands the decision making AI. With the help of blockchain technology, it becomes easy to understand the working of AI.

Cryptocurrency trading with the combination of Blockchain and AI

Right now cryptocurrencies are backed by powerful technology. In the future, the combination of AI and Blockchain will enhance cryptocurrency trading with high data protection. Similar to the top analyst the machine learning technology will analyze the crypto market for profitable crypto trading. AI will be able to process the data at a very fast pace, modifies the algorithm for better results. It can become a perfect tool for cryptocurrency trading.

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Conclusion

Finally, in this article, you will be able to view the innovation blockchain and AI as a powerful pair in building advanced technology. As AI depends on the data feed and the same is stored securely in the blockchain, the combination of this innovative technology will get benefited from each other.

The future will be able to cover all the data related issues with the advanced combination of blockchain and AI technology.

Difference between Tokens and Coins

Both the terms “Tokens” and “Coins” are used as synonyms in the context of Cryptocurrencies. But they do have different concepts and usage! But still, why do many Crypto users still confuse between tokens and coins. They consider both the tokens and coins as just Cryptocurrencies.

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This misleading trend began after the introduction of Bitcoin. All the cryptocurrencies introduced afterward were referred to as both tokens and coins, even though most of them do not fulfill the necessary characteristics.

Tokens Vs Coins: An Overview

Features of Coins

Function : Alternative currency to Bitcoin as a medium of exchange

Use Case : Commerce; sending and receiving digital payments

Blockchain : Possess their own independent Blockchain

Features of Tokens

Function : Representation of any tradable and fungible asset or utility

Use Case : Broad and varied; part of the elements in developing a decentralized app through smart contracts

Blockchain : Reside on top of another Blockchain

Features content credit: https://blog.xsolus.com/cryptocurrency-coins-vs-cryptocurrency-tokens

What is a Coin?

Coins are the real Cryptocurrencies. They are normally referred to as altcoins or alternative Cryptocurrency coins. Bitcoin is a major example that falls under this category. Normally, altcoins are digital currencies that make use of Cryptography based encryption techniques. The bitcoins are not included in the altcoins category. These altcoins work in a decentralized format, and hence no third parties like banks or other financial institutions are involved in between. The transactions operate in a peer to peer format.

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All the financial records are stored in a distributed ledger called Blockchain. The data is stored collectively, and it’s shared between all the participants in the network. This procedure makes it more transparent and free from frauds.

Bitcoin was developed by an unknown person (or group of persons) named Satoshi Nakamoto and made it open-source. Hence, multiple altcoins work in the same protocol as that of the Bitcoin, namely, Litecoin, Peercoin, and Namecoin. Some examples of ones that operate based on Blockchain include Ripple and Monero.

Some significant characteristics of Coins are as follows:

Fungibility

Divisibility

Acceptability

Portability, and

Durability

Moreover, they are tied to a public-open blockchain. So it enables anyone to join and act in the network. Also, the altcoins can be sent, received or mined.

Examples of Coins: Bitcoin, Eteheruem, Ripple, Bitcoin Cash, Litecoin, EOS, Cardano, Stellar, NEO, Monero, etc.

What are Tokens?

Tokens are a little different concept when compared to the coins. A token is mainly tied to any Crypto Based projects. These tokens can be used only in and around the ecosystem of the project. But at the same time, it works as in the format of altcoins! Only the ones who have ownership of tokens will be given the right to participate in the network.

To explain it more simply, tokens can be compared to a pass for a particular event like an entertainment show. One can use the pass only for entering the entertainment show and cannot be used for buying vegetables from the market.

Token also operate similarly. They have a specific working space! To be more precise, tokens represents a utility or an asset. There are some kinds of unique tokens called security tokens. Security tokens act as a company’s share, whereas utility tokens act inside a certain project.

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Another advantage of tokens is in their creation. We don’t have to develop new codes or modify an already existing one. Instead, the platforms like Ethereum help us to make use of their standard templates. Creating tokens are just a few clicks away. Platforms like Ethereum have made the tokens more interoperable. This has resulted in the users storing multiple tokens in a single wallet.

Examples of Tokens: Tron, Bytom, Vechain, Ox, Omisego, Augur, etc.

“Also read the comparative guide on ethereum vs bitcoin”

Final Thoughts

Hope the article gave you an insight into the major differences between a token and a coin. They are used as synonyms in multiple contexts, even though they have different functions. The difference between an altcoin and a token should be made clear by the Cryptocurrency enthusiasts. To summarize the whole blog in a single line, one can buy tokens using altcoins and not vice versa! That is, coins can be used with more freedom, and tokens can be used only in a certain ecosystem.

Happy Crypto investing folks!