A Suspicious Project On EOS Raises Doubts On The Future Of The Blockchain
- Eos (EOS) platform is on the news headlines once more, this time it’s a suspicious project that lends the users RAM space in a bid to boost demand on the EOS platform, effectively rising the price.
EOS platform does have regular airdrops to distribute tokens across its community in order to incentivize the development of (and on) the platform. However, the latest airdrop has raised suspicion across the community as organizers of the airdrop asks participants to ‘mine’ their new coins by sending some EOS to their contract.
Here Is how the Transaction Happens…
According to discussions in the EOS community, to participate in this latest airdrop the send deposits some fractals of EOS on to the airdrops’s mining address then await a confirmation. The airdrop is then activated with the sender receiving some of the projects tokens which will occupy about 1Kb on the senders RAM.
Once the first payment is complete, the sender can repeat the process up to 100 times which will eat up about 0.1MB. A cautious message from the project’s team members, urges the senders to have enough memory on their computers before sending as the airdrop may not be completed.
The whole process is a simple demand and supply economic model employed to increase the RAM price. According to the discussions, the numerous fractals sent to the mining address will be used to mine new tokens. Some of the new tokens will be destroyed in the process in order to reduce supply and kickoff the airdrop.
By the end of the airdrop, prices are set to be on the rise as RAM price increases.
A Sad End to High RAM Prices
However, as is with any case, the explosive rise in RAM prices will see EOS miners select other profitable projects to mine or on the worse side fork out EOS to be able to afford RAM size. And with the project still at its infancy (only traded on EOS decentralized exchange) and the GitHub page showing only one repository by a recently created account, the future does not look bright for the project.
While the persistent complaints of a congested network continues to bite off EOS credibility, the increased use of the airdrop as a tokenonomic model needs to be resolved to prevent a possible exodus of dApps.