There is a new token on the block called EOS. And they are dreaming extremely large. If you check out their website, their header simply says: DECENTRALIZE EVERYTHING.
What does that even mean? It is extremely vague. Nonetheless, they raised over $150 million in a mere 5 days, in which they distributed 200 million EOS proportionally to the funds raised. This resulting in an initial price point for the EOS token.
According to block.one:
“The EOS Token Sale will be distributed daily over about 341 days. 1,000,000,000 (one billion) EOS tokens will be minted at the start of the sale. These tokens will be split into different rolling windows of availability. The tokens available in a window will be split proportionally to all the contributions made during the window period.”
This way, the EOS token supply will gradually and linearly increase over time following the start. The economics behind this ICO operation seek to prevent any particular spikes or drop in price due to rapid movements in supply and demand. The primary goal of the EOS team in respect to this method was to ensure a wide distributions of the tokens.
They EOS team sought to provide equal opportunity to participate for their investors be they large or small, to spread broad awareness of the EOS network and ICO through the elongated ICO period, and to finally manifest a fair distribution process.
EOS’s token, ERC20, claims to be a direct competitor to Ethereum, which is utilized to transfer value from investor to company in ICOs.
However, founder Dan Larimer claims that EOS is more scalable than Ethereum and therefore is able to construct decentralized applications more efficiently.
Many major tokens on the Ethereum blockchain have been designed specifically to be ERC20 compliant.
According to their technical white paper, EOS’s clever design enables vertical and horizontal scaling of decentralized applications:
“The software provides accounts, authentication, databases, asynchronous communication and the scheduling of applications across hundreds of CPU cores or clusters. The resulting technology is a blockchain architecture that scales to millions of transactions per second, eliminates user fees, and allows for quick and easy deployment of decentralized applications.”
During the d103 conference in San Francisco this last weekend of August 11th, the Crypto Times team was able to meet the founding team of EOS. They were closely tied to Blockchain Capital’s Brock Pierce, as he is their most notable backer.
Overall, the EOS team has extremely large aspirations and a lot of money from their ICO. Let’s see if they can truly decentralize everything.