EOS Mainnet Inflation Reduced to 1%
This week the EOS community rejoiced when block producers approved an MSIG to change the total inflation from 5% to 1%. Not only that, block producers also burned all of the EOS tokens that had accumulated in the eosio.saving account since the token burn in early 2019.
When the EOS Mainnet was launched in June 2018, the total inflation was set to 5%, which included 1% for block producers and 4% for a Worker Proposal System. However, the community was never able to reach consensus on how to spend those Worker Proposal funds and the 4% of inflation simply accumulated in the eosio.saving account. In early 2019, block producers decided to burn the accumulated funds in the eosio.saving but left the inflation rate untouched. Since that rate was hard-coded into the EOSIO software at the time, it would have been problematic for block producers to adjust that setting, essentially forking away from Block.one’s EOSIO repo. Thankfully, in EOSIO 1.8, Block.one implemented a setting for network inflation, which enables block producers to change the inflation rate by submitting a multi-signature transaction (MSIG) that requires approval by 15 of the top 21 block producers.
Since all of the accumulated 4% of inflation has been burned, we can now confirm that the EOS Mainnet has effectively only had 1% inflation since the start of the network. According to some quick research, this makes EOS the network with the lowest inflation rate among all of the major cryptoassets. The EOS Mainnet is processing an ungodly amount of transactions at a very low cost.
Let’s dig in a bit more into these inflation numbers and compare some interesting statistics:
EOS Mainnet costs (2020-02-26)
- 7-day average of operations: 63.9M/day
- Network inflation: 1%
- Token supply: 1.017B EOS
- Token price: $3.56 USD/EOS
- Daily EOS inflation: 1.017B x 0.01 / 365 = 27,863 EOS/day
- Daily EOS inflation cost: 27,863 EOS/day x $3.56 USD/EOS = 99,192 USD/day.
- Cost per operation: $99,192 USD / 63.9M op = $0.00152/operation
- Daily block production cost on the EOS network: $99,192 USD/day
Ethereum costs (2020-02-26)
- Ethereum transactions on 2020-02-25: 670,257
- Total fees paid on 2020-02-25: 475.9841 ETH
- Network inflation: ~4.75%
- Token supply: 109,849,361 ETH
- Token price: $228.15 USD/ETH
- Daily inflation: 109,849,361 x 0.0475 / 365 = 14,295 ETH/day
- Daily inflation cost: 14,295 ETH * $228.15 USD= $3,261,404 USD
- Daily fee cost: 475.9841 ETH * $228.15 USD = $108,595 USD
- Cost per transaction: $3,261,404 USD + $108,595 USD = $3,369,999 USD / 670,257 tx = $5.02 USD/transaction
- Cost per operation: $3,369,999 USD / 701,403 op = $4.80 USD/operation
- Daily block production cost on the Ethereum network: $3,369,999 USD
According to these numbers, the Ethereum network costs ~34x more to operate than the EOS Mainnet! Even when considering that Ethereum’s marketcap is ~7.6x larger than EOS, we can still observe the superior efficiency of the EOS Mainnet block production.
Furthermore, this week’s inflation reduction and token burn is a clear indicator that the incentives between block producers and token holders are extremely well aligned. The network is performing extremely well right now and the will of token holders was carried out by the block producers they’ve elected. This is DPoS at it’s finest! 👌
DAPP Network Value Chains
The DAPP Network continues to evolve quickly and has consistently added new services for dApps on the network. Their latest offering, LiquidChains, unlocks new value chains for enterprise.
By combining the auditability of public blockchains with the reliability and privacy of permissioned networks, LiquidChains offers unprecedented flexibility for dApps looking to build on blockchain infrastructure. This blockchain-as-a-service solution allows anyone to spin up a customizable chain in minutes, connect it to a public blockchain ledger for transparent record-keeping (if they so choose) and harness the suite of DAPP Network services to scale their applications even further.
These customizable chains can be public or private, permissioned or permissionless and can exist for as long, or as short, as necessary. This allows dApp developers to chose whichever trustless features best suits their use case.
EOS VC Investments
While Block.one is working hard to develop the most scalable and flexible blockchain protocol possible, EOS VC, a group of selected international Venture Capital Firms, is vetting promising companies to adopt EOSIO technology. In the last week we’ve heard about 2 new investments.
IVE.ONE core features are:
- Global compliant investments
- Token Attached Regulation (TAR)
- Security Token Transaction Monitoring
- Banking Grade Identification
Agora Innovation will use the funds to expand its marketing activities, especially in the Asian and European markets. They will also focus on the integration of the EOSIO blockchain protocol, which will allow them to achieve greater flexibility.
“EOS is becoming a serious competitor to the Ethereum blockchain and is enabling us to cover even more use cases with our product IVE.ONE while ensuring the scalability of our solution.” – Evgeny Matershev, Agora Co-Founder and Chief Product Officer.
The 2nd investment was made by the EOS VC, Galaxy Digital, who led a financing round that secured Tempo Storm, an esports and gaming entertainment organization, a total of $3.3M USD. The company aims to accelerate the development of its interactive media and games with the new investment, and “grow far beyond the confines of the traditional esports organization.”
The vibrant Crypto Friendly Community hosted WAX for an AMA on Telegram this week. The WAX representatives Malcom, Marty and Kaefer shared tons of great information, including some exciting upcoming plans! Along with their upcoming partnership announcements, the ETH bridge is very exciting and, when completed, is likely to bring in a lot of new gamers to the platform!
In more good news for WAX gaming adoption, BlockArcade, a gaming development studio that has been working on the IOST platform, has announced that they will be deploying their first game on WAX! This will be the first time StackWave is available on a second blockchain and the team confirmed that the built in RNG oracle and the ease of account creation through the WAX Cloud Wallet were some of the most desirable features that attracted BlockArcade to deploy on WAX.
The BOS network has never shied away from innovation, in fact, they have always embraced it. When it came to redesigning a better DPoS system, the BOSCore team took inspiration from outside the crypto community and looked at academic papers on the Borda Count Voting mechanism. In their recent and detailed article, BOSCore takes a look at different voting mechanisms, such as quadratic voting and some of the mechanisms used in Ethereum to illustrate the advantages of the Borda Count Voting mechanism when used to distribute WPS funds. These include:
- More information on what the voter really wants
- Balance in the decentralization of the system
- Encourage operators, stabilize backbone teams, generate checks and balances
- Increase Security, and improve community participation
In other news, BOSCore continues to sponsor events and build communities around the world. Last week was the EOSIO Invasions event and BOS was well-represented as Tojukaka, BOS Community Manager, delivered a keynote speech on the many advantages of building on BOS. Make sure to check out the article for pictures and video of the event!
The BlockBase team has recently released an online sandbox where anyone can test BlockBase’s main database querying functionalities without the need to run a full node. This release takes BlockBase one step closer to their mainnet beta version and showcases BlockBase’s functionalities to anyone who’s interested in using the platform.
Try it out for free and see how easy it is to use a BlockBase database service without any setup!
Decentralized Blockchain Applications
It seems there are exciting times ahead for Emanate, as their tireless efforts of building out the vision for their platform and forging connections in the music industry is producing results. As the team has put it in a tweet, “the stars have aligned” for Emanate and the team has 5 announcements planned throughout the week.
The first piece of news already broke on Sunday, as they announced that Gavin Parry, ex Vice-President of Digital and Business Development for Sony Music Entertainment APAC, joined the team. In his 20 years of experience, he’s seen the music industry changing a lot, and based on this knowledge he recognizes the huge potential of Emanate.
He was quoted speaking at Spikes Asia: “In the last 6 months, I have been traveling the world, looking at what is about to happen in the music industry. The work the Emanate team have done over the last 2 years is extremely forward-thinking. The fact that artists on Emanate are already securing their rights on-chain to get paid transparently and instantly, is actually mind-blowing. Not many people realize yet, just how powerful this will be in the near future.”
A big reason for him to join Emanate was related to a concept that the Emanate team has been working on in stealth mode over the last months. It was finally introduced as “Emanate Distro” in the 2nd announcement on Monday.
Utilizing “Emanate Distro” musicians that chose to publish their works via Emanate will be able to collect revenue from all the major global digital streaming platforms, such as Spotify, Pandora, Youtube, Amazon, Apple Music, Tik Tok and more. This bridge would expand the reach of Emanate to 1 billion streaming users globally who generate a projected revenue of over $5 Billion USD in 2020.
While there are many distribution services for musicians to pick from, Emanate has several unique features that give them a competitive edge and are made possible through the integration of EOSIO technology.
These features are:
- Registration of an artist’s Intellectual property on-chain before release
- Ability to share revenue, sell a % of the ownership rights, or transfer them
- Trustless, global Emanate smart-collaborations
- Permissionless derivative works
- Instant cash-out
- Instant release
- Artist profile and fan engagement
Emanate Distro will already be open for business this month, with limited space for selected users. The full roll out for all Emanate users is planned for Q2 2020.
As we currently see in many other industries, blockchain based applications are not just idealistic theories any more, but are built out products that provide real alternatives to existing structures. Emanate is a great example for this development in the music business, as they are making big steps to bring the benefits of decentralization to a pop culture industry.If you haven’t experienced the technical innovation or musical talent happening on Emanate, visit Ambrose Zaldua’s profile, an artist who already scored in 2 of the Emanate Remix competitions and was featured by Emanate in a special interview just a couple of days ago.
With continued popularity, the MMO economic strategy game Prospectors became a role model for EOSIO Blockchain Games. Reaching across 2 game maps, the Wild West and the Yukon, and being hosted on 2 EOSIO Blockchains, EOS and WAX, Prospectors showcases the interconnectivity of EOSIO Blockchains. Plenty of reasons for Block.one to invite the Prospectors team for an interview feature in the #BuiltonEOSIO series.
In the interview, you’ll get a great introduction to the various aspects of the gameplay, insights into the game production process, and also what motivated and inspired the team to build a real-time game that seemingly has endless opportunities, just like in real life.
Following their roadmap for 2020, Prospectors has a big update coming up, and last week yet another detail has been revealed. While at the beginning of the game most jobs and activities were quite basic and didn’t require much education, now the in-game society progresses and users can choose several new and more sophisticated career options for their in-game characters.
After the introduction of a banking system, which we covered in EOS Hot Sauce #43, we learned that the next building about to appear will be the Prospectors State University, where characters can obtain a diploma and become trained professionals with higher qualifications.
Learn more about the different diplomas and further details in the Prospectors University announcement.
There are many upsides for applications through decentralization and the integration of blockchain technology. But blockchain accounts, and especially the key management aspect, is perceived by most people as more complicated than the user login and registration process of centralized applications.
We’ve discussed this topic here frequently, as there is much innovation happening to improve the user experience.
This week we’re happy to share DappAccounts, a service made for users, but also for developers to easily integrate into their products and extend their reach to non-crypto savvy users. Chuck MacDonald shared a great infographic about DappAccounts on Twitter.
Features of DappAccounts are:
- No keys, passphrase or passwords management
- Non-custodial accounts with encrypted and locally stored keys on your device
- Own & transfer tokens
- Issue and claim airdrops and rewards
- Resource & token lending and voting for proxies and staking pools
- Multi-device access via 2FA
- Account recovery via email
Collaborations, Partnerships and Interoperability
PUML, MPT, and BOID launch activities on EOS Discussions
Since the release of Novusphere’s EOS Discussions 2.0, there’s much more activity happening on the platform and we love to see all the cooperation between projects.
Here are some examples:
A few weeks back, the Metal Packaging Token (MPT) announced a partnership with Singapore Estes Engineering and proudly presented its prototype of the MPT Deposit Point. To create a smooth user experience, MPT will integrate Novusphere’s UID into their deposit machines and therefore invites their community to join the MPT Channel of EOS Discussions.
In the most recent ATMOS Podcast, another Media channel by Novusphere, we learned about what’s new with PUML. We first discovered the PUML project here in EOS Hot Sauce #12, and since then the team has been working hard, resulting in the immanent launch of their iOS application in March. The PUML fitness application motivates users to lead a fit and healthy life via challenges and a point reward system, while also giving them the opportunity to collect data with smart devices like the Apple Watch, which optionally can be sold to interested parties like insurance companies. We’re definitely looking forward to trying PUML, while working on our beach body for the summer of 2020.
Another cooperative activity on EOS Discussions is the BOID Riddle Run, happening from the 25th of February till the 2nd of March. Following the daily posted riddles, this contest allows users to convert their brainpower to BOID tokens.
Every day the first correct answer wins 10K BOID tokens, while most creative answer can win 5K.
To join the BOID Riddle Run fun you have to:
- Signup for Discussions and subscribe to the Boid tag
- Enter your answer to the Riddle of the Day (Posted at random times each day) on the pinned post
- You may submit up to two entries, only the first two will be valid
- Winners will be rewarded at the beginning of the next riddle
The Vibrant EOSIO Community
EOS Nation is a top 21 Block Producer on the EOS public network. We earn inflation rewards based on the percentage of tokens staked towards us. Those rewards are reinvested into EOSIO community, tools, and infrastructure. Help grow the ecosystem by staking your vote to eosnationftw for BP or proxying to proxy4nation.
Remember, we never accept compensation in exchange for featuring projects in the EOS Hot Sauce. That means if a project is included in the EOS Hot Sauce, it’s because we believe that project brings value to the EOSIO ecosystem and we want our community to know about it!
Are you building an interesting project on EOSIO? We want to hear from you! Reach out to us on social media or email email@example.com.
Thanks for supporting EOS Nation and for reading this week’s edition of EOS Hot Sauce! Want more spicy updates? Check out some of our recent EOS Hot Sauce episodes!
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EOS Hot Sauce #65 – EOS Nation CEO & CTO Join Vigor Protocol as Custodians, State of EOS DeFi EOS, WAX Keeps Growing, the “Race for Rares” is ON and Tons More!
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EOS Hot Sauce #64 – NFT FOMO for GPK Exotic, Spicy Rare Giveaways, Collectables.io Trading Platform, Join our Sense Chat Community and More!
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