EOS Not Even a Blockchain, Whiteblock Study Claims
Blockchain testing platform Whiteblock studied whether the EOS network’s metrics coincided with the advertised figures and discovered significant discrepancies.
Whiteblock, a company that reviews blockchains, announced on Thursday that it had carried out an independent benchmark testing of EOS. The results reveal that the EOS software can support a much lower transaction throughput than advertised and the system is not even a blockchain in the full sense of the term but rather a “distributed homogeneous database management system.” The authors concluded that EOS was not a blockchain given that its transactions are not validated based on the use of cryptography.
The study was led by Brent Xu, project lead at New York-based blockchain developer ConsenSys. The EOS testing was publicly requested by a group of enterprise entities through the Bounties Network, a platform enabling users to incentivize and self-organize.
Testing blockchain became relevant after the community found that many companies exaggerate their figures related to scalability potential and transactions per second. Such blockchain firms don’t independently check these parameters, thus misleading enterprise users, dApp developers, and even government agencies that are searching for the optimum blockchain solution.
Whiteblock said that the initial interpretations show that EOS throughput was much lower than EOS initially advertised. Also, EOS was not a blockchain but a “distributed homogeneous database management system.”
“EOS token and RAM market is essentially a cloud service where the network provides promises for computational resources in a black box for users to access via credits. There is no mechanism for accountability due to the lack of transparency on what Block producers are able to create in terms of computational power.”
Whiteblock CEO Neal Roche commented:
“Our Whiteblock test framework is blockchain agnostic. We're also running performance tests on other leading blockchains. Whiteblock's established testing methodology and tooling has been proven to accurately test complex networks at scale. With Whiteblock, customers can easily validate performance, conduct due diligence, or run competitive benchmarks for a number of technologies and systems.”
Huobi Wallet Adds EOS
Despite the flaws discovered in the EOS network, Huobi announced on Friday that it had added EOS cryptocurrency on its Huobi Wallet.
“EOS is among the most important Delegated Proof-of-Stake (DPoS) currencies so it was a natural choice for us to include on Huobi Wallet.”
He added that the listing of EOS was only the first step of several upgrades planned for the wallet.
“Going forward, the community can expect to see more currencies added at an accelerated rate. We also plan on establishing additional partnerships with a range of decentralized apps (Dapps) developers, giving our users greater access to an expanded range of products and services,” Weng noted.
Last month, we reported that Huobi expanded its support for the new stablecoins, including Paxos Standard Token (PAX), USD Coin (USDC), Gemini Dollar (GUSD), and TrueUSD (TUSD).
The price of EOS seems to be unaffected by the Whiteblock study, as it has gained about 5.18% since November 1, and was trading at $5.48 as at 12:38 UTC.