Dan Larimer proposes to resolve network congestion

Must Read

Bitcoin (BTC) Price Analysis: BTC Broke Support Level Of $9600 Indicating Further Downfall 

BTC broke the support level of $9600 and gone to the level of $9535.  The break of the...

New Zealand Government Takes Zero Interest OneCoin Scam

OneCoin is a Ponzi scheme. OneCoin is known to be one of the biggest scams in history. New...

DOGECOIN (DOGE) Price Analysis: A Small Altcoin With Strong Futuristic Fundamentals

Dogecoin has been one of the most developing crypto assets this year by crossing the market cap by...
0 (2)
Prerna Sengupta
Prerna Sengupta is a writer for Thecoinrepublic. She is a law student at NALSAR University of Law, Hyderabad. She is interested in Tech Law and is especially keen on cryptocurrency, blockchain, and Bitcoin. She hopes to pursue this field in the future as a lawyer.

Dan Larimer proposes to resolve network congestion

  • In order to combat network congestion, Dan Larimer has proposed a new resource allocation model on EOS.
  • dApp developers will have better access to bandwidth resources required to operate their apps provided the proposal is successful.
  • The aim is to stabilize the price of CPU and NET resources.

In order to combat network congestion, Dan Larimer has proposed a new resource allocation model on EOS.

EOS is a blockchain system and stage for decentralized applications based on Ethereum. It was created by Dan Larimer through a private Cayman Islands-based company called block.one as one of the first Ethereum dApps.

dApp developers will have better access to bandwidth resources required to operate their apps provided the proposal is successful. The aim is to stabilize the price of CPU and NET resources.

To quote Larimer, “The single biggest complaint is that CPU is too expensive and that it is too unpredictable in terms of how much CPU bandwidth you get at any given time.”

Furthermore, he accepts that the CPU rental market has gotten theoretical and that keeps individuals from submitting enough EOS to save CPU.

The new proposal discourages speculative activity and that 100% of CPU is leased from EOS’s system contract at all times, implements a steep (or exponential) price curve, and makes CPU into a non-transferable resource. The function of these characteristics is to stabilize the current dynamic market.

EOS has tackled similar issues earlier, especially with REX this May. REX is a resource exchange that allows users to stake their EOS and give their claim to their CPU to other users and receive rewards in exchange. However, REX ran out of EOS as users made large withdrawals. REX also has very long waiting times which sometimes can go up to 30 days for leases to expire. Larimer says,

“Lenders end up waiting 30 days for leases to expire or potential renters end up without any EOS for rent because lenders have asked for their EOS back”

Also, accepts that the answer to these issues isn’t straightforward. Nonetheless, these weaknesses don’t keep REX from being operational.

An airdrop called EIDOS led to extreme congestion issues un EOS this month. CPU prices went over 100,000%. This incident has led two apps to leave EOS.

They are KARMA, a social network, and EarnBet, a gambling app. This will not affect EOS since it already has 500 dApps but in the time it takes to implement Latimer’s proposal, more apps may leave EOS.

Hot News

Bitcoin (BTC) Price Analysis: BTC Broke Support Level Of $9600 Indicating Further Downfall 

BTC broke the support level of $9600 and gone to the level of $9535.  The break of the support level may indicate that...

New Zealand Government Takes Zero Interest OneCoin Scam

OneCoin is a Ponzi scheme. OneCoin is known to be one of the biggest scams in history. New Zealand government is not interested...

DOGECOIN (DOGE) Price Analysis: A Small Altcoin With Strong Futuristic Fundamentals

Dogecoin has been one of the most developing crypto assets this year by crossing the market cap by $100 million. The altcoin possesses...

Germany’s Second Largest Stock Exchange Lists The First Short Bitcoin ETP

21 Shares Short Bitcoin ETP is now enlisted in Germany's second-largest stock exchange Boerse Stuttgart. The CEO of 21 Shares addressed that this...

Tron Will Support WARRENCOIN, Justin Sun Insists

Warren Buffet has been a long-time critic of the cryptocurrency. Justin Sun bid $4.57 million in a charity auction to just have a meal...

Tron (TRX) Price Analysis: CEO Justin Sun Trying To Bring Back Bulls For Downtrending TRX 

Tron(TRX) is again on a downtrend in today’s market with an overall loss of -4.56%.  However, CEO Justin Sun is making continuous efforts...

New Zealand Government Takes Zero Interest OneCoin Scam

OneCoin is a Ponzi scheme. OneCoin is known to be one of the biggest scams in history. New Zealand government is not interested...

DOGECOIN (DOGE) Price Analysis: A Small Altcoin With Strong Futuristic Fundamentals

Dogecoin has been one of the most developing crypto assets this year by crossing the market cap by $100 million. The altcoin possesses...

Germany’s Second Largest Stock Exchange Lists The First Short Bitcoin ETP

21 Shares Short Bitcoin ETP is now enlisted in Germany's second-largest stock exchange Boerse Stuttgart. The CEO of 21 Shares addressed that this...

Tron Will Support WARRENCOIN, Justin Sun Insists

Warren Buffet has been a long-time critic of the cryptocurrency. Justin Sun bid $4.57 million in a charity auction to just have a meal...

RELATED NEWS

Bitcoin (BTC) Price Analysis: BTC Broke Support Level Of...

BTC broke the support level of $9600 and gone to the level of...

New Zealand Government Takes Zero Interest OneCoin Scam

OneCoin is a Ponzi scheme. OneCoin is known to be one of the...

DOGECOIN (DOGE) Price Analysis: A Small Altcoin With Strong...

Dogecoin has been one of the most developing crypto assets this year by...