Half of all EOS tokens held by top ten richest accounts

According to the research of snapshots, just under half of all the EOS tokens are in the hands of top ten richest accounts
04 June 2018   1525

Market manipulation by whales is a fear lots of cryptocurrency holders have to live with. Bitcoin has already shown that even the largest market in the crypto world can be manipulated that way, Mt Gox selloff being the prime example. And, according to the independent study of six different snapshots of EOS ownership, EOS market can be in danger of the same manipulation.

The unease stems from the fact that just under the half of all the EOS tokens are distributed between the top ten accounts in the rich list. Top 10 richest accounts hold 49.67% of all the EOS supply. Of course, there is no information about exchanges' accounts, and it is quite possible that the exchanges are really in the top ten with their accounts holding the token for all the clients, but as some users pointed out, no one knows, if the exchange holds small sums for a large number of users, or there are just several whales with a significant chunk of the token each.

And it grows from there. The top 100 can be credited with over 74% of the total supply, and the top 1000 hold nearly 86%. And, from this perspective, market manipulation is not the only worry for the holders of EOS token. Because even if all the users from 1001 and down vote about the direction of the project, they wouldn't scrape together even 14% of the total votes, and would need someone from the top tiers to support them in their decision.

And doesn't it seem strange, that all the 162,000 and change users would have to conform to the decisions made by the top 100, or even top 10 accounts, which practically hold the majority of the votes and can sway the direction of the project, if they agree on something just between them?

Block One to Issue EOS Resource Allocation Model

The team decided to make this proposal after the recent incident, when during the EIDOS airdrop there were issues accessing REX
24 December 2019   281

Block.one, the company behind the development of the EOSIO blockchain, has published an official proposal to change the current system for allocating CPU resources on the EOS network, according to which users will rent them for a 30-day period.

In November against the backdrop of the EIDOS airdrop, during which users used CPU resources to receive free coins, there were problems with access to the REX CPU resources exchange. At the same time, the cost of resources soared by more than 100,000%. This situation pushed the team to create this proposal.

The REX exchange allows you to stake EOS coins to provide resources owed to users to other users in exchange for a reward.

According to the project’s blog, the current resource allocation system is designed in such a way that most of them, despite high demand, remain unused. Because of this, the EOS network cannot fully realize its potential in terms of performance.

So, during the mentioned incident in November, REX processed about 30% of the resources, and when they were exhausted, a very small part of the remaining 70% was used. This, developers write, is also confirmed by the fact that the blockchain bandwidth was less than half used.

Under the new proposed system, a user will pay a resource rental fee via a smart contract to be granted 30 days worth of CPU/NET from the total supply. After 30 days the rental must be renewed and pricing is automatically adjusted using a market based mechanism, based on changes in supply and demand for CPU/NET resources.

 

Block.one Team

Block.one representatives say that users will still be able to steak EOS coins in the new system, but instead of resources, compensation will be in the form of commissions from auctions for the sale of EOS domain names, RAM and rental income CPU / NET.

The objective of proposing a transition from a resource entitlement model to a leasing or rental model is to remove the influence of speculative markets over resource pricing. Introducing a rental market with pricing based on overall resource utilization will make resource allocation more predictable and reliable for the community.

 

Block.one Team

The proposal provides that as the available resources decrease, the rental price should increase. The transition itself should be gradual with the progressive transfer of resources from the old REX implementation to the new one.