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Block.one's Dan Larimer Reveals Actual Throughput of EOS.IO. And It Isn't 34 TPS

News
Thu, 06/11/2020 - 13:51
Vladislav Sopov
Recently, a group of scientists published some jaw-dropping research revealing the actual bandwidth of popular blockchains is heavily overestimated. Here's a response
Block.one's Dan Larimer Reveals Actual Throughput of EOS.IO. And It Isn't 34 TPS
Cover image via www.youtube.com
Contents

On June 3rd, 2020, a London-based team of blockchain scientists published the thesis 'Revisiting Transactional Statistics of High-scalability Blockchain'. They claim that the current throughput is only 34TPS (transactions per second) for EOS.IO, 0.43 TPS for Tezos and 15 TPS for XRPL. Daniel Larimer, CTO of Block.one, the development studio behind EOS.IO open-source software has something to say about it.

Dismissing the erroneous claims

Today, on June 11th, 2020, Mr. Larimer came out with a blog-post to respond to the assumptions that EOS.IO-based software can handle only 34 transactions per second. According to him, the authors heavily abused the very definition of throughput.

Daneiel Larimer dismisses the calculations of EOS.IO throughput
Image via Twitter

He criticizes the approach to blockchain throughput as the number of transactions 'that have value' per second. This manner of interpretation can mislead readers in the same way that three different methods of estimating water consumption can:

how much water can flow through a pipe, actual water flowing through the pipe, and only counting water flowing to the houses you value.

Also, this approach favors blockchains with poor scalability and high transactional fees. It's natural for these types of blockchains to filter out low-value transactions. But this leads to misinterpretation of 'scalability' itself.

According to Mr. Larimer, scalability shouldn't be evaluated in terms of 'valuable' and 'not valuable' transactions. He emphasizes that scalability refers only to the ability to scale with no regard to the way this ability is utilized.

Larimer: EOS.IO throughput is 100x higher

Mr. Larimer supposed that the report in question wasn't unbiased. According to him, its authors received funding from Ethereum Foundation while studying the Ethereum (ETH) gas model.

So, they might have been less critical of 'valuable' or 'valueless' Ethereum (ETH) transactions. As a result, Ethereum (ETH) wasn't investigated in their report.

All in all, even if we assume that Ethereum (ETH) transactions are 100% free of spam, gambling, airdrops, etc., Mr. Larimer believes that EOS.IO is twice as capable as Ethereum (ETH) is.

He outlined that if estimated fairly,

EOSIO has a sustained throughput capability of 3000+ Transfers per Second in a global network.

About the author

Blockchain Analyst & Writer with scientific background. 5+ years in IT-analytics, 2+ years in blockchain.

Worked in independent analysis (Crypto Briefing) as well as in start-ups (Swap.online, Monoreto, Attic Lab etc.)

Ethereum (ETH) Market Cap May Become Equal to Bitcoin's (BTC): ConsenSys Director

News
Mon, 07/13/2020 - 14:38
Vladislav Sopov
John Lilic, managing director at ConsenSys decentralized development studio, has shared an over-bullish prediction for Ethereum (ETH) progress
Ethereum (ETH) Market Cap May Become Equal to Bitcoin's (BTC): ConsenSys Director
Cover image via stock.adobe.com
Contents

John Lilic leads international business development in the ConsenSys leading blockchain development studio. He is also an expert in energy markets and cryptocurrency segments. He tracked the progress of Bitcoin's (BTC) and Ethereum's (ETH) market capitalization statistics, coming up with an extravagant prediction.

Bitcoin (BTC) should get ready for parity

Mr. Lilic outlined that Ethereum (ETH) is showcasing much healthier dynamics than its competitor is. For instance, the flagship cryptocurrency still surpasses Ethereum (ETH) by 6.3x in terms of market capitalization, while simultaneously collecting 20% fewer fees than Ethereum (ETH).

John Lilic of ConSensys foresees parity of Bitcoin (BTC) and Ethereum (ETH) market capitalizations
Image via Twitter

Also, Ethereum (ETH) is demonstrating much more impressive price dynamics this year. It gained almost 37% against Bitcoin (BTC) in 2020. That said, Ethereum (ETH) looks severely undervalued to the top manager of ConsenSys.

However, Ether is on the path to eliminating this discrepancy. Eventually, the top two cryptocurrencies may reach market capitalization parity, concludes Mr. Lilic.

Related Bitcoin (BTC) and Ethereum Have (ETH) Recovered From Black Thursday, Who Else? Coinmetrics Explains
Related
Bitcoin (BTC) and Ethereum Have (ETH) Recovered From Black Thursday, Who Else? Coinmetrics Explains

As covered by U.Today Crypto News recently, Coinmetrics on-chain research team called Bitcoin (BTC) and Ethereum (ETH) the unique crypto behemoths that have managed to recover from Black Thursday.

Bitcoin (BTC) is losing supremacy in "fee race"

Should Ethereum (ETH) overcome its undervaluation, its price may be over $1,550 based on liquid supply and current Bitcoin (BTC) market capitalization.

Recently, it was unveiled that Ethereum (ETH) blockchain continues to surpass Bitcoin (BTC) in terms of network fees for more than 30 days in a row. Ethereum (ETH) is seeing this advantage for the first time in its history.

As U.Today Crypto News reported previously, ex-Messari analyst and angel investor Qiao Wang identifies two main catalysts of Ethereum's (ETH) price run in the mid-term perspective.

Related Ethereum (ETH) Price Two Bullish Signals, According to Investor Qiao Wang
Related
Ethereum (ETH) Price Two Bullish Signals, According to Investor Qiao Wang

According to Wang, the upcoming rally may be fueled by a long-awaited transition to Proof of Stake and fixing the monetary policy of Ether token.

About the author

Blockchain Analyst & Writer with scientific background. 5+ years in IT-analytics, 2+ years in blockchain.

Worked in independent analysis (Crypto Briefing) as well as in start-ups (Swap.online, Monoreto, Attic Lab etc.)