All those who invested in EOS during its initial coin offering became very wealthy overnight. As a result, EOS trading has been up and down since its initial run, from $1 to its all-time high of $21.54 (an increase of more than 2,000%).
It has since hovered within this price range, and many who trade EOS believe it still has enormous potential to reach and surpass its 2018 record. Could they be right? Prices go up and down for myriad reasons, but the main deciding factor for the value of EOS is down to the quality and adoption levels of its underlying EOS.IO platform.
EOS.IO or EOS?
EOS stands for “Entrepreneurial Operating System.” The native currency of the EOS network’s smart contract platform, “EOS.IO,” its name is often used interchangeably, just as the XRP coin is with Ripple. EOS is the currency of a blockchain that is used to power dApps and transactions. It is technically a “utility token,” which gives users some utility (bandwidth and storage) on the network, proportionate to their holdings. EOS and EOS.IO are intrinsically linked, therefore. Ownership of EOS tokens equals ownership and responsibility of the EOS.IO smart contract platform. Also, like any other coin, it has a value that can be traded at a cryptocurrency exchange or stored in a “wallet.” This is the reason most people purchase or hold the coin.
EOS was introduced in a whitepaper by Block.one in 2017 and release a year later. EOS aims to decentralize application hosting and integrate smart contract capabilities (using its “EOS.IO” technology) for developers to run their software or dApps. Its primary target markets are big businesses and corporations. The simplest way of thinking about EOS is like the Google Play app store. Its smart contract platform enables developers to create apps and software they would never have been able to use. EOS also has free transactions and developer tools for users and developers.
Dan Larimer is the founder of EOS. He is a big name in cryptocurrency and previously co-founded Steamit and Bitshares. Dan also invented delegated proof of stake (DPOS). Users stake their tokens (they allocate them to the network), and then, with their stake, they can vote for block producers. For example, in Bitcoin, every “node” (user) manages the blockchain, but in EOS, there are only 21 producers. In addition, blocks can be created once every half-second on EOS. Thus, users can control the overall network, and they are rewarded with newly created EOS tokens, known as “mining.”
The Challenges For EOS
Every blockchain technology has its issues. Generally, a blockchain will sacrifice either speed or security. For EOS, the main problem is usage. While many users stake their EOS, they don’t take action, which means a large part of the network’s resources remain unused, creating congestions and making it difficult to use for average users. Another problem is the voting system doesn’t work as well as hoped. Many of the biggest EOS account holders have been accused of colluding to vote in their own interest, using it to serve their own business needs, and voting for themselves. This is a common problem for blockchain technologies, however, including Bitcoin.
Nevertheless, EOS has been branded the “Ethereum Killer,” as it allows developers to create software that Ethereum never could. The name may be short-lived, however, as an Ethereum 2.0 is on its way. Phase 0 of its release was in December 2020, and it should be completed by 2022. This will mean significant changes, including doing away with mining (which will be great for the environment). In addition, many other cryptocurrencies compete over the smart contract space, such as Tron, Cardano, Zilliqa, and Lisk. No one can say who the winner will be for sure, but the competition will lead to better tech and garner more attention to the cryptocurrency space.
So now you have your head around EOS, you may be considering investing in the cryptocurrency. There are essentially two ways to trade EOS: you can buy the coin directly on an exchange or trade on the price of EOS using a derivative.
In the first example, you would purchase a set amount of EOS from a cryptocurrency exchange. If you want to simply own some of the EOS coins hoping that the value will increase down the line for resale (or because you believe in the EOS ethos), this is the option for you. Bear in mind that getting coins through a cryptocurrency exchange can be a lengthy and sometimes expensive process. Also, if you choose to buy EOS on an exchange, you may want to consider downloading it onto an offline wallet. This way, your coins will be safe from cyberattacks to the cryptocurrency exchange. (They may not be safe from your human error; however, whatever you do, remember your wallet password!)
You also have the opportunity of trading EOS through selective online brokers. This way, you can speculate on the cryptocurrency’s price movements – without ever having to go through the process of buying the altcoins themselves. For investors looking to cash in on the volatile cryptocurrency market, EOS trading is the way forward. You can trade EOS in many ways; using CFDs offers you leveraged trading, or you could buy and sell cryptocurrency pairs. Before you take the plunge for this digital asset, it is recommended you take stock of your finances and time (how much are you willing to invest?) and research which trading strategy and plan works best for you. Remember to consider risk mitigation techniques like stop and limit loss orders to protect your investment.
Buying TradeOr: Where
Before you can open your first EOS trade, however, you will need to find a cryptocurrency broker. TradeOr offers leveraged trading across diverse markets, including cryptocurrency, forex, indices, and stocks. The TradeOr platform simplifies the process of trading EOS alongside other commodities. Open an account with us, choose how much you want to deposit, then you can start trading! It is that simple, and our TradeOr customer support team is by your side 24/7. Entering the online trading world can be daunting, and TradeOr clients have access to a range of educational and market analysis tools, including the charting software programs TradingView and ChartIQ.
EOS hit the ground running with the biggest initial coin offering (ICO) of any cryptocurrency – $4 billion – when released in 2018. The coin flagged from this point until the founder Block.one nailed down a $10 billion deal to launch Bullish Global. Many investors see EOS as an alternative to Ethereum, given that both cryptocurrencies are blockchain-based and able to empower dApps (decentralised applications.) EOS aims to provide a robust and powerful blockchain ecosystem to run dApps. The founding company Block.one has made tons of educational resources freely available and the company encourages developers and enterprises to collaborate on dApps.
The EOS community plans to release a community-driven platform to develop open-source software. The EOS roadmap includes Eden, a project for democratic governance, ClarionOS, which is a fully decentralized social media app, and a planned partnership with Google Cloud. In Venezuela, over 750 businesses are already using the EOS coin as a currency. EOS aims to continually update and improve itself, take the recent unveiling of Anchor Wallet 1.2.2, an enhanced version for the user.
Every cryptocurrency has its “edge.” Dash has “masternodes,” Ripple is the coin that bridges with banks, and Bitcoin – well, Bitcoin is the grandfather of all coins. EOS is probably most similar to Ethereum. It is sometimes referred to as the “Ethererum Killer.” Where Ethereum stumbles over scalability issues, the EOS blockchain ecosystem preserves transaction speed even while scaling up.
Of course, EOS has had its fair share of stumbling blocks and scandals – which cryptocurrency hasn’t? However, this could be one promising altcoin, and if you feel it makes the cut for your investment portfolio, then TradeOr can help you every step of the way.