It seems like the G20 Meeting good news was a perfect spring board for cryptocurrencies. After the “shock” endorsement coming in the midst of heavy regulation and calls for caution, altcoins like EOS are apparently finding support. A technical white paper later, the 3rd generation, scalability-addressing coin wants to dominate the crypto-sphere.
Block One, the company behind EOS are serious about replacing Ethereum in the coming years if we base our view on their recent Join Venture with FinLab AG. Sealing the pact is a $100M war chest where the German Incubator, FinLab AG promises patronage of EOS platform. Besides, FinLab AG, in conjunction with other investors, is pledging $1B in funding to fasttrack platform development.
Like most fundamental events, such announcements often spur prices. Adding to recent gains, EOS is up more than 10% according to hard data from CoinMarketCap. Cumulatively, the race from $5 to current prices represents a 30% gain effectively pushing this alt coin to the top 7 high liquid and popular coins in the world. That’s not to mention the $5.03B market valuation of EOS coming at the time when it’s still crowd funding and without a tangible working product to show.
Why is EOS Unique?
Although everything being said about EOS is theoretically, Block One has feasible plans on how to tackle network scalability. From recent events, addressing network congestion and sky rocketing fees is a priority. Otherwise, the idea of blockchain applications would need to prove itself and outperform mainstream apps before adoption spreads.
Regardless, the fact that EOS wants to make blockchain transactions free is a big plus to the industry. By incorporating Web Assembly Language and allowing launching of Dapps without necessarily rewriting code, EOS leverages on Ethereum weakness. Furthermore, there are no transaction fees and this is basically what gives the platform strength.
Is this a Genuine Rally or a Pump?
However, there are serious questions popping up on whether this EOS rally is a pump and a reaction to recent high auction prices. To point out, EOS is still in ICO mode and there are 100 daily auctions remaining before it comes to a close. With this in mind and fluctuating daily volumes which mostly rely on Asian trading, many are skeptical that this rally would last.
EOS Technical White Paper
Being neutral, it might all well be a market coincidence that’s supportive of price. In essence, this boost of prices comes at a time when there is an influx of promising developments. Through a tweet, the company made news when it released its technical white paper.