What is EOS? In layman's terms
This is the first article of my series of articles about EOS. I am creating a series of articles in which I answer commonly asked questions about EOS. In this post, I will try to explain the fundamental principles of EOS blockchain and how it works. This specific post is not directed towards the users of the EOS community but those who want to invest in EOS. New investors who are either investors of other cryptocurrencies or are totally new to crypto and EOS.
EOS is a blockchain operating system. It was built to run semi decentralized blockchain applications. It is similar to how Windows 10 runs applications like Office and Skype but in EOS, the applications are run online in the internet. It is a operating system that runs on the internet and thousands of people can use it at the same time.
It is expected to stay online 24 hours a day, 7 days a week. It is designed to perform tasks (produce blocks) continuously without fail. Due to the EOS Network’s high security design, it is able to handle financial transactions securely and that is its main purpose. When the internet was built, money wasn’t built into it. EOS is one of the many blockchain projects trying to be the money of the internet.
General internet servers are mostly run on linux systems and they are not designed to run all the time. They are also centralized and have a single point of failure. That is enough for running the internet but that is not secure enough to run financial applications. EOS solves the reliability and “single point of failure” problems of traditional web based ledgers to some extent.
EOS is expected to have at least 21 nodes producing blocks and blocks are verified by 15 out of the top 21 block producers. This spreads the point of failure to 15 since at least 15 nodes need to be hacked to get total control of the network. This distributed system also provides higher stability since there are more than a single node that stays online.
EOS currently is an unfinished product and much of what was stated in the whitepaper haven’t been implemented yet. As time goes by, new features will be added to EOS or is expected to be added to EOS to solve the current issues.
This post summarizes the fundamental principle of EOS and is not meant for investment advice. All investments in cryptocurrency have risks.