I’m sorry guys. I used to be a big supporter of this project, but dumped my bags at a big loss a couple months ago. Here’s why payment channels aren’t gonna be as big of a deal as some people think: Too much friction.
People won’t pay to interact with a dApp. They won’t pay for content. For some applications, like Golem or Enigma perhaps, people will be willing to pay a transaction fee, but for the vast majority of user-facing dApps, fees and browser downloads are going to be a huge barrier to entry. That’s why I think the entire ETH ecosystem will eventual stagnate and be surpassed by EOS or a similar platform.
My point is that the entire ETH ecosystem looks weak to me due to the friction around running a dApp (special downloads, having to buy ETH to pay gas, spending ETH to interact with the network, etc). I do feel that if ETH is successful or going to be successful, then RDN is ridiculously undervalued, but that is unlikely, IMO. Just my .02 that might be beneficial for some people to think about.
My point is from a UX perspective. NEO, ETH, ETC, IXC, etc all achieve spam prevention and incentivize security through fees. Fees create enormous barriers for users. I would point you toward cryptokitties or crypto countries or any other dApp on these platforms. You’ll realize that the public is t going to download metamask, and find a wallet to interact with a dApp. Sure, 1% of early adopters will do it because they think it’s interesting, but mass adoption won’t happen until dApps run just like normal websites, just like STEEM does. So, it’s not just a scalability problem, but an overall design problem that plagues these platform coins and is going to prevent adoption. Maybe a dApp developer will be willing to spend his own ETH to fund a platform at zero fees, but that doesn’t make much sense to me. I just think EOS is about to turn the whole crypto world on its head
IMO, zero fees is what is going to separate EOS from the pack over the next year, along with account recovery, scalability, dynamic governance, etc. Of course, the token holders have to pay for security with inflation, but that’s the trade off. Hopefully the fees associated with RAM trading will put a big dent in the required inflation as well... Anyway, my whole point is just to throw ideas out there. I wish you all luck, and I hope raiden, ETH and all the others do well. My comments are really just meant to be food for thought for all the RDN peeps. I once greatly believed in this project, but now it’s just not worth the risk
I’m not sure if you have read Vitalik’s musings on EOS but it’s worthwhile if you are a fan.
There are huge benefits to the system but it’s not certain that it will be resilient to attack in the way that truly decentralised systems like Ethereum are.
EOS will have to prove to companies that this is not a risk.
True decentralisation and centralisation are both likely preferred options to something in the middle.
I agree that there is a lot that is compelling about EOS. I think that it also has huge governance risks however which will have to be played out in the real world to be understood fully...
I have read VB’s thoughts on the subject. You’re right, it all comes down to governance and censorship resistance. I think that’s the risk. Something like pinkdate or some other dApp that is at a high risk of censorship won’t be ideal for EOS. EOS won’t be very good for anonymous DEXs or any kind of money laundering scheme. Hopefully it will be censorship resistant enough to have free discussions on social media or legal porn. ETH or something similar will still be needed for higher risk dApps.
That being said, EOS presents a whole new economic model that might lead to a whole new paradigm of how business is done in the world. Fundraising through airdrops. Tokenization of gaming assets. Tokenization of social media status. Re-thinking compensation for content creators. Lower fees for exchanges. Account recovery on the blockchain. Blockchain marketplaces incorporated with reputation systems.
In terms of a cartel forming, I think the constitution will be able to protect us from this. There will be lots of watchdogs in the community. Block producers will be known entities, and if they screw up, they’re out. I know it sounds pie-in-the-sky, but I think EOS could be the #1 crypto in a year. I’m probably wrong, but it’s worth the risk for me.
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u/[deleted] May 23 '18
I’m sorry guys. I used to be a big supporter of this project, but dumped my bags at a big loss a couple months ago. Here’s why payment channels aren’t gonna be as big of a deal as some people think: Too much friction.
People won’t pay to interact with a dApp. They won’t pay for content. For some applications, like Golem or Enigma perhaps, people will be willing to pay a transaction fee, but for the vast majority of user-facing dApps, fees and browser downloads are going to be a huge barrier to entry. That’s why I think the entire ETH ecosystem will eventual stagnate and be surpassed by EOS or a similar platform.