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Is EOS an actual crypto? Lack of real decentralization casts doubts

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Is EOS a spam
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Lots of talks have been going on in cryptocurrency forums about EOS. That’s how it should be. For us, as cryptocurrency aficionados or investors it matters a great deal to know for sure what are we getting into. It’s an investment, we should know where our money is. And, within this context, there’s talk that EOS is not a real altcoin but a scam. We should care about that, it just makes sense.

EOS faces two main points of contention right now. Dan Larimer (a visionary EOS code writer, he’s also worked for Steem and Bitshares) is representative of EOS challengers and he’s not popular, but he has a point to make. At some point in time none other than Satoshi (of Bitcoin fame) talked to Larimer in very clear terms “If you don’t believe me or don’t get it, I don’t have time to try to convince you, sorry.”

They disagree on two main contention points. It’s about ICO vs distribution that starts from pow mine from zero. The second point is that Mr. Larimer started a new coin and he’s not quite done with it. Other observers have said Mr. Larimer’s has a huge vision for the future for his coin and for the world, and that blockchain technology is the means he could use to achieve that.

Crypto enthusiasts have followed Mr. Larimer’s career very closely. He’s been behind two very successful products so far (Bitshares and Steemit) before he moved on to create EOS. So, he’s brought credibility to EOS just because his previous track record is so good. Investors think he could revolutionize the world, three times over. Think again.

The Earth Operating System (aka EOS)

That’s how it’s called. Even Linus Torvalds, Steve Jobs and Bill Gates are humbler. In a recent article, Mr. Larimer talks about a Grand Unified Political Theory, and the fair distribution of the earth’s as if the Earth was his to distribute. As far as cryptocurrencies profits will go for sure, they will never render the whole earth as loot.

Decentralization

This is the cryptocurrency’s hallmark from the beginning. The whole point. Nobody holds all the information about every user, nobody can hold the system hostage. Is this true about EOS? It’s controversial, to say the least.

While EOS has been probably undervalued and has the potential to surpass Ethereum this very year the fact remains it relies on partial centralization through dPOS, aka proof-of-stake. True, decentralized coins have infinite nodes competing to do the needed calculations to render each coin valid and useful. EOS does not, it brings the number down from infinite to twenty-one nodes. Statistically, that means centralization and it’s bad news.

EOS’ rivals (such as Ethereum) say that EOS is totally centralized. Not hard to see their point when you compare infinity nodes to just twenty-one. So, it’s clear that EOS decentralization is much better with Bitcoin, Ethereum, and many other cryptocurrencies.

All this controversy could make EOS a lot more attractive. More intriguing. Opinions abound, controversy thrives, and you will have to make your own choice. It’s all very technical but also very relevant. Take your choice.

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Disclaimer: This article should not be taken as, and is not intended to provide, investment advice. Global Coin Report and/or its affiliates, employees, writers, and subcontractors are cryptocurrency investors and from time to time may or may not have holdings in some of the coins or tokens they cover. Please conduct your own thorough research before investing in any cryptocurrency and read our full disclaimer.

Image courtesy of Alejandra Solett via Flickr

Altcoins

Cryptocurrency Collateralized Debt Positions Are Growing in Popularity

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collateralized debt position
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While Bitcoin (BTC) continues to hover around the magical 10,000 price level, altcoins continue to fight an uphill battle.  Simply put, hopes of a future bull run continue to diminish as Bitcoin maintains its dominance.  One school of thought is that a few altcoins will survive and flourish, but which ones are anyone’s guess.  That being said, it’s hard to go wrong picking against the top coins like Ethereum (ETH), Ripple (XRP), Litecoin (LTC), and EOS.  These projects have managed to find a foothold in the market and have a better chance than most of staying there.  While traders wait for their positions to increase in value, one opportunity that may be worth looking at is initiating a collateralized debt position.

What is a Cryptocurrency CDP?

In traditional terms, a CDP is essentially putting up collateral in order to receive a loan against the deposited amount.  There are several examples of this in our day to day lives.  Auto title loans from large companies like TitleMax are extremely popular with consumers.  Consumers are essentially able to use their car as collateral in exchange for a cash payment which can then be used for whatever needs the consumer has.  The consumer can continue using their car as long as debt payments are made.

The same concept applies to cryptocurrency CDPs.  Consumers are able to put up crypto tokens, such as…

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Altcoins

Hodium Presents a Compelling Opportunity for Outsized Investment Returns

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Hodium
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I’m sure all of us remember the cryptocurrency glory days of 2017 and early 2018.  It was one of the biggest bull runs in history and created incredibly wealth for quite a few early entrants.  Unfortunately, for most of us, those gains have most likely been wiped out during the altcoin apocalypse.  The truth is that traders probably thought a bit too highly of their trading abilities when the reality was that anyone could have thrown a dart at a board and ended up making money.

As markets mature (and the crypto market is definitely maturing) it becomes more and more difficult to generate alpha.  In that regard, it’s similar to traditional financial markets.  I can remember trading during my high school days.  It was the late 90s and right in the middle of the dot.com boom.  Eventually, however, the euphoria fades away and reality hits hard.  Now, it’s become rather difficult to actually trade profitably which has given way to the rise of hedge funds.

Hedge funds are investment funds that pool capital from accredited and/or institutional investors and invest in a variety of assets, often with extremely complex portfolio-construction and risk management techniques.  The professionals employed by hedge funds are the best of the best and have spent years honing their craft.  That is why they’re able to make the millions of dollars that they normally…

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Altcoins

KaratGold Proves Its Business Model By Providing Official Documents

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There has been a lot of renewed enthusiasm in the cryptocurrency market thanks mainly to Bitcoin’s strong move about 10,000.  Although Bitcoin continues to show its dominance, the altcoin market has yet to benefit from that rally.  A few of the largest altcoins remain popular but the rest of the market continues to lag behind.  In 2018, there was a lot of talk regarding a possible altcoin apocalypse where only the strong would survive.  That prediction appears to be playing out as expected.  Going forward, only the best projects that have a real world need will survive.  Crypto traders will have to spend a lot of their time doing proper research in order to find the best opportunities, just like in all financial markets.  One promising project that appears to have the makings of a future winner is KaratGold Coin.

KaratGold Background

KaratGold Coin is a cryptocurrency developed by the reputable German company Karatbars International, which maintains a leading position in the market of small gold items and investments. The project is part of a larger ecosystem, which involves several blockchain solutions that can be used for transactions, communication, investing and other tasks. During the past few weeks, however, the KaratGold ecosystem has been a target of unsavory scam allegations.  

Karatbars International and GSB Gold Standard Banking Corporation…

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