$11 Billion: EOS Mainnet Goes Live After Launch Group Gives Green Light

Omar Faridi
  • 10 Jun 2018
  • /
  • In #EOS
  • The EOS mainnet has just launched, following the official “go ahead” from the EOS Mainnet Launch Group.
  • The EOS project is moving forward despite questionable governance and vulnerability issues.

A website counting down towards EOS’s mainnet launch currently states that the cryptocurrency’s mainnet has just launched. On June 9 (01:00 UTC), the EOS Mainnet Launch Group (EMLG) members unanimously decided to go ahead with the launch of the EOS blockchain.

Reportedly, the official “launch sequence” process began later that day and is scheduled to be completed within the next two days. For the EOS blockchain to go live, there were a number of steps and processes that must be satisfactorily completed.

One of these steps is meshing with the seed nodes. In order to facilitate the process, the EMLG was to recommend a number of trusted peers to mesh with, in addition to the related software and system requirements. The EMLG was also to determine how the validation process on the EOS network is to be performed. Based on the results of the validation process, the mainnet could go live.

Another important step that must be completed is voting to appoint the first 21 block producers. There will reportedly be official notifications posted by block producer candidates. The voting process will require 150 million tokens to be spent, and once this has been done, the chain will be officially designated as the EOS mainnet and will be accessible to the platform’s community.

Should token holders decide at this stage to unstake their tokens, they may do so while also being able to reclaim them after 72 hours. In order to vote, there are a number of tools that have been developed by community developers. These, however, have not passed any official security audit, and as such aren’t recommended. Entering private keys in a third-party tool could see holders lose all their funds.

The only voting tool that can reliably be used is one approved by Block.one, the company behind EOS, a command-line based tool called “cleos”, which is bundled with the EOSIO software.

Questionable Governance and Critical Vulnerabilities

The EOS project has received a lot of criticism and has experienced a number of setbacks in the past few weeks. Notably, the EOS mainnet launch had to be postponed, partly because critical security vulnerabilities pointed out by a Chinese cybersecurity company, but also because of what seemed to be protocol violation issues.

Block producers purportedly decided to print an extra 19,000 EOS tokens in order to resolve a Random Access Memory problem. This, however, appeared to be in violation of the EOS protocol’s constitution, which sets a cap on the number of tokens that are to be in circulation.

 At press time, EOS is trading at $12.37, down from a $14.7 high the cryptocurrency reached earlier this month at the time its mainnet was supposed to go live. EOS' market cap is of $11 billion.

Ethereum Was Behind 85% of Dapps' $12 Billion Volume in Q2 2020

The total transaction volumes of decentralized applications (dapps) in the cryptocurrency space hit $12 billion in the second quarter of this year, rising by $4.5 billion compared to the first quarter. Etheruem dapps accounted for 85% of the volume.

According to DappRadar’s Industry Review report, there are more than 70,000 active wallets across 13 different blockchains interacting with the cryptocurrency space. The top blockchains were EOS, TRON, and Ethereum, with the latter representing $10.2 billion of the $12 billion volume seen in Q2.

Ethereum’s large transaction volume was partly fuelled by Compound and the launch of the COMP token, which led to a “yield farming” trend, in which users were interacting with the protocol as much as possible to receive COMP tokens. Compound saw $1.2 billion move through it.

The yield farming trend saw Ethereum gas prices and transaction fees increase, which according to the report did not stop Ethereum dapps from thriving in general. It did, however, contribute to an 80% drop quarter-on-quarter for ETH gaming dapps, as high gas prices are “killing” their activities on the cryptocurrency’s network.

Despite Ethereum’s growth, EOS and TRON (TRX) dapps have also seen their activity increase in the second quarter of the year. According to the report in only three months, TRON’s transaction volumes on decentralized applications surged by over 17,200%.

The rise was largely attributed to Oikos.cash, a TRON-based version of the Compound lending protocol.  While TRON’s DeFi growth has been notably, DappRadar pointed out that most dapps on its blockchain are still in the “gambling” and “high risk” categories.

The EOS blockchain has still been enduring the effects of the EIDOS token airdrop, which put the network into “congestion mode.” The airdrop clogged the network and as a result, from 2019 to 2020 wallet activity on decentralized applications dropped 53%.

So far this year, $1.9 billion have been transacted on decentralized applications using the EOS blockchain, thanks to two dapps: Crypto Dynasty and Upland. DappRadar’s report also shows that two other blockchains are growing thanks to gambling dapps: WAX and ThunderCore.

Featured image via Pixabay.