EOS + DAPP Network: How This Is The Key To Scalable Applications
Will this unique synergy usher in the blockchain’s ‘killer app’ at long last?
Blockchains enable users to append information onto a tamper-proof digital ledger with their unique digital signature. The first-generation Bitcoin blockchain limited such information to the unspent transaction amounts available for each account. With the introduction of smart contracts came the ability for second-generation blockchains to document more comprehensive information sets on borderless, distributed ledgers. While Bitcoin and other cryptocurrencies allow a peer-to-peer network to reach consensus about the balance of everyone in the network, smart contract platforms such as EOS enable a distributed set of validators to reach consensus about computations on those balances. Smart contract platforms come in a variety of flavors, each with its unique consensus algorithm, specialized use-cases and community culture. Each has its merits and strengths. However, for the creators of decentralized applications (dApps), EOSIO, having prioritized transaction scalability, offers a robust architecture on which they can house their applications. LiquidApps’ DAPP Network, a secondary, trustless new layer for dApp developers on the EOS mainnet, could make the development of dApps substantially easier and more affordable.
Decentralizing the Web
When the creators of the internet introduced the World Wide Web to the world, they envisioned their invention facilitating the free-flow of information thereby exponentially increasing collaboration and sharing in this new digital frontier. However, the web has since come to be dominated by a group of centralized supernodes who maintain sole control over their users’ data and get to dictate the terms and conditions for users interacting on their platforms. Smart contract technology allows us to build decentralized applications which promise to recreate a more equitable internet by reverting control back to the users. For example, a decentralized ride-sharing application has the potential to considerably reduce the commission charged by Uber and Lyft by storing the relevant user and driver account data on the blockchain. Using smart contracts, the application can then retrieve the necessary location information from the blockchain and execute the command to pair a rider with the nearest available driver.
Developers wishing to build on the blockchain have an assortment of base-layer protocols to choose from as their ‘operating system.’ EOS was designed specifically to serve user-facing applications such as ride-sharing apps, social media platforms and blockchain gaming, leading it to grow significantly since launching its mainnet. The number of active wallets on EOS has almost quadrupled since August 2018, accelerating from ~20,000 to around 80,000 active address daily.
The EOS Community: Committed to Blockchain Scalability
Having a secure, scalable architecture is a necessary component for blockchain protocols looking to attract developers — but that’s not enough. In order to distinguish itself and attract a critical mass of users and developers, a blockchain network must successfully create a vibrant, value-based community of committed individuals and incentivize them to cooperate in growing the network. EOS has fostered a culture of cooperative competition through its delegated Proof of Stake system. Block Producers (BPs), a key player in the EOS model, are answerable to the average user whose votes they count on to push them into the top 21. While they strive to differentiate themselves in the competition for precious votes, there are instances where BPs are incentivized to cooperate out of an obligation to keep the ecosystem functional and productive. One such example is the full history node issue. As the EOS blockchain continues to grow, the cost of maintaining a comprehensive history of transactions that can be accessed by dApp developers is becoming unsustainable. Currently, only a few BPs maintain the necessary hardware to store and index the entire ~2TB worth of full-history node. Block producers and developers have prioritized long-term solutions to the chain history issue and have committed to collaborating in order to prevent an impending crisis of potentially losing critical data.
EOS Functions Better with the DAPP Network; And Vice Versa
While EOS has been able to distinguish itself by its efficiency and processing capacity, EOS is still held back from reaching its immense potential by the costs and limitations of its network resources. In order to implement a free transaction model, EOS introduced CPU, NET and RAM as network resources replacing transaction fees. However, as of now, the market for accessing these resources is costly, creating a stubborn hurdle for dApps looking to achieve significant adoption.
The DAPP Network attempts to solve these resource constraints by creating a free-market ecosystem for a variety of blockchain services. DAPP Service Providers can create service packages offering secure communication, distributed file storage and critical utilities to developers building the decentralized web. In order to harness DSP services, developers stake DAPP tokens to a given DSP’s service package.
EOS remains the necessary foundation on which these applications are built and the EOS token still maintains its value as a means of accessing pivotal network resources such as CPU, NET and RAM. The DAPP Network is complementary to EOS and serves as a trustless service layer which can reduce the cost of network resources required to deploy end-to-end decentralized applications, especially with vRAM (a RAM complement that allows for near-unlimited memory capacity). dApps that were infeasible to date finally have the potential to be built on the mainnet, attracting a new pool of developers to EOS and potentially increasing the demand for both EOS and its network resources such as CPU, NET and RAM.
Developers and companies looking to design dApps with true end-user utility have a variety of base-layer protocols to consider, each with a unique set of strengths and tradeoffs. The EOS blockchain has differentiated itself with its superior processing capacity and free transaction model. However, the limitations of EOS’ network resources such as CPU and RAM is holding it back from becoming the hub of dApp development. The DAPP Network and its’ products, such as vRAM, have the potential to remove these barriers and accelerate EOS’ ascent.
