Hello everyone, welcome to week 6 of Crypto academy's season 3. In today's lecture, professor @pelon53 while teaching on the topic "BLOCKCHAIN EOS" explained to us all we need to know about EOS Blockchain. Below is my response to the assignment he gave after the class.
Question 1: EXPLAIN THE DELEGATED PROOF OF STAKE, DPoS ALGORITHM
Delegated proof-of-stake (DPoS) is a type of consensus algorithm which gives control to the users of a Blockchain (delegates), so as to enable them chose some members (witnesses) among them who will be charged with the responsibility of maintaining the blockchain and validating transaction blocks.
Daniel Larimer, (the founder of steemit, EOS and Bitshare) developed DPoS as an alternative to previous consensus algorithms like proof-of-stake (PoS) and Proof-of-work (PoW), both of which takes a lot of time, energy and cost just to validate a transaction. For instance, blockchains that uses DPoS processes transactions 10 times faster than blockchains using the PoW.
Some of the Blockchains that uses the DPoS concensus algorithm within their Network includes Steem, Solana, EOS, Hive, and Cardano. These blockchain select their witnesses through a voting process, then the users of the blockchain delegate some of their tokens to those selected members (witnesses) so as to increase their voting power. The more tokens that are allocated to the witness the more voting power they have.
Although the witness exercises a level of authority in the blockchain, there are limits to what he can do in the blockchain. These limitations differs for different blockchains. Example, there are some blockchains that doesn't allow the witness to change the details of a transaction that is in a block he didn't validate etc.
Below are some of the advantages and disadvantages of DPos.
1. DPoS gives the users (or delegates) an avenue to contribute to the development and changes that occur in the blockchain through voting and electing of witnesses.
2. The cost of validating a block in a blockchain that runs on DPoS is less when compared to that of blocks that run on other consensus algorithm like Proof-of-stake (PoS) and Proof of work (PoW). E.g PoW requires a large computation power, resulting to high energy cost.
3. The system is very transparent, every user can see how the voting and election was carried out. Also, each user is allowed to vote for any witness of his choice without worrying that his vote may be manipulated.
1. Although the users are allowed to vote the witnesses, the major growth of the blockchain rest on how the witness nodes manages the network. If they fail in their duty, the network won't grow.
2. Although all users are allowed to vote, their votes don't weigh the same. Users with high stakes has high voting power while user with low stakes have low voting power.
3. There is always a possibility that a witness that wishes to be elected can cajole a users that has a large stake (or voting power) to vote for them, thus tipping the election scale in their favor.
Question 2: EXPLAIN WHAT ARE RICARDIAN CONTRACTS ON THE EOS BLOCKCHAIN?
Ricardian Contract is defined as a legal agreement in a form of an encrypted digital document which contains the terms of agreement between two parties. This encrypted legal contact was first created by Ian Griggs in 1995. In that same year he created the Ricardian contract, the popular programmer also introduced a Payment System. His idea was to create a digital contract (using technology) which will serve as a legal contract between two parties, for payment of service.
Although the Ricardian Contract can be likened to other legal contracts, it has a special characteristic that makes it different from every other legal contract. Unlike other contracts the terms and agreements of the Ricardian contract are secured using cryptography. This implies that the document is hashed, and only the parties involved can decipher the document can be able to read the document using the decipher key available to them.
As of the time the Ricardian contract was introduced, the technology that was required to integrate it properly has not been developed. Thanks to the advancement in technology, today some blockchains have been able to integrate this contract into their Network. An example of a Blockchain that has been able to integrate the Ricardian contract is the EOSIO.
Ricardian Contracts in the EOS Blockchain
EOSIO is the Blockchain software of EOS. This software combines smart contract and the Ricardian contract to make transactions very easy and understandable in the blockchain. These two contracts are different, the smart contracts is what makes it possible for a user to issue out instruction and the instruction will be carried out automatically. On the other hand, the Ricardian contract makes it possible for the user to read the outcome of the automated actions.
What this implies is that transactions are performed in the blockchain due to the presence of Smart contracts, while it takes the Ricardian contract for the user or node to understand the full details of the transaction, so as to know if he/she should sign on it (using their digital signature) or not.
A developer can create his own Ricardian contract in the EOS blockchain by following the Ricardian template toolkit and specification provided in the blockchain.
Question 3: EXPLORE THE OFFICIAL EOSREX INTERFACE (EOSAUTHORITY.COM).
EOSREX is a resource marketplace in the EOS blockchain where users who wishes to enhance their experience in the blockchain can upgrade their resources. This resource market place also contains the EOS blockchain explorer. To explore the EOSREX interface you need to visit EOSREX website
When the site opens, the first page you will see is the explorer page. It is on this page that you will find the features of the explorer such as the search menu, the total number of EOS wallet in the world, the various available networks on the block chain, the value of the EOS token as of the time you visited the site as well as many other informations.
To get to the dashboard click on the Explorer's menu represented by three lines, then go down to "Dashboard" and click on it.
On a users dashboard, you will see the total amount of tokens he has in the different wallets that are linked to his account, price chart of the selected cryptocurrency, account security, number of airdrops he has, REX and a tab showing all the recent activities he has performed on the blockchain.
To get to the wallet click on the Explorer's menu represented by three lines, then go down to "Wallet" and click on it.
It is from the wallet menu that the user can add a wallet address, search for an account and also send his asset to another address.
To get to the Rex click on the Explorer's menu represented by three lines, then go down to "Rex" and click on it.
It is from the Rex menu that the user can add a Rex account, lend or borrow. Using the Rex calculator the user can calculate how much he can lend or borrow Rex on the platform.
N/B: Rex is the native token of EOSREX.
To get to the Power-up click on the Explorer's menu represented by three lines, then go down to "Power-up" and click on it.
It is from the Power menu that the user purchases power, calculate how much power he can get and also see the statistics of power-up in the blockchain.
To get to the Manage CPU/RAM click on the Explorer's menu represented by three lines, then go down to "Manage CPU/RAM" and click on it.
It is in the Manage CPU/RAM menu that the user can see his unstable tokens. Also, he can stake tokens, delegate and undelegate tokens to (CPU) witness here.
By clicking on the RAM, the user gets to buy, sell and also see the RAM market chart.
To get to the Manage key click on the Explorer's menu represented by three lines, then go down to "Manage key" and click on it.
The manage Key menu is where the user can change permission on his account using his EOS public Key.
To get to the Vote click on the Explorer's menu represented by three lines, then go down to "Vote" and click on it.
It is here that a user can vote for a witness. On this page, you can see the witnesses, their ranking and the number of votes they have.
To get to the "Create Account" click on the Explorer's menu represented by three lines, then go down to "Create Account" and click on it.
It is on this menu that the user can create account, recover unregistered accounts and lost keys. You will also find the users owner and private key here.
To get to the "Bid Name" click on the Explorer's menu represented by three lines, then go down to "Bid Name" and click on it.
On this menu, a user can buy account names that have been formally by other users. It's more like buying an already famous username.
To get to the "Alerts" click on the Explorer's menu represented by three lines, then go down to "Alerts" and click on it.
This is where the user sets alerts for both incoming and outgoing transactions such as Rex notifications, EOS name bid alerts, unstaking alerts, changes to account keys etc.
To get to the "Trade Token" click on the Explorer's menu represented by three lines, then go down to "Trade Token" and click on it.
This section is more like an exchange. It is where the user can trade or swap their tokens. Some of the token pairs available in this section includes EOS/USN, EOS/USDT, DEX/EOS, etc.
Other features that are available in the EOS explorer includes: Event and Tools
To get to the "Events" click on the Explorer's menu represented by three lines, then go down to "Events" and click on it.
The even menu contains a list of upcoming events that are being hosted on the blockchain by some of the users. You also find a statistics detailing how many events top event creators have hosted on the platform. As of the time of the post there was no upcoming event.
To get to the "Tools" click on the Explorer's menu represented by three lines, then go down to "Tools" and click on it.
This menu shows the user all the tools that are available on the website. In all, there are total of 29 tools.
Question 4: DOWNLOAD THE SQRL WALLET, EXPLORE AND EXPLAIN HOW TO OBTAIN CPU, RAM AND NETWORK.
To download the sqrl wallet, I visited the sqrl wallet website and selected the windows operating system.
After selecting the Windows, I downloaded file. When it has completed downloaded, I installed it then clicked on "finish" to launch the wallet after the installation was complete.
When the wallet opened, I clicked on "Connect to Server"
Next thing I did was to choose "Create New wallet"
When I did, I was asked to create an account Request. But it wasn't successful.
I had to follow the instruction given by professor @pelon53. To continue, I had to first create an account on the Telos wallet.
To do this, I visited the Telos official website and click on start now
Next thing I did was to click on "create new wallet"
Here, I chose a name for my Telos wallet account. I was also asked to make copies of my public key and private key. After verifying that am not a robot and I have copied my key, I clicked on continue.
When I noticed that I have successfully created a Telos wallet, I went back to my sqrl wallet and clicked on "Import Existing Account".
I was asked to input my public key. After inserting my public key, I clicked on "Lookup account".
The wallet searched for a wallet with that public key. When it found it, it asked me to select it. After selecting it, I clicked on "Select Account".
Next, I was asked to enter the wallets private key so as to confirm that am the owner of the wallet. Then I clicked on compare wallet.
After that, a page popped up and I clicked on "use account + key without saving**
I was asked to accept Telos terms and conditions.
When I did that, my wallet opened showing me the details of my wallet. Also, I noticed that alongside the wallet tab, there are other tabs such as Governance, T-REX, and Tools.
I will be explaining these Tabs below.
The governance tab contains a list of witnesses in the Telos Mainnet and the amount of votes they have accumulated. I also saw the total number of TLOS stated globally.
This tab contains the summary of REX account. It shows the total number of TLOS lent, deposited, earned etc.
This tab shows the tools that can be used to manage the wallet's account.
How to obtain RAM, CPU, and NETWORK
To obtain CPU, I first clicked on "Wallet" then I clicked on "Send.Recieve.Stake". A small menu popped up, I clicked on "Manage Staked".
As soon as I did, a page pops. Here I can select how much processing power I wish to stake in the network.
To obtain CPU, I first clicked on "Wallet" then I clicked on "Send.Recieve.Stake". A small menu popped up, I clicked on "Buy or Sell RAM".
As soon as I did, a page pops. Here I can select how much RAM I wish to buy or sell.
Question 5: SHOW THE PRICE OF THE REX TOKEN. AND EXPLAIN WHAT IT IS USED FOR.
To check the price of REX, I had to visit the EOSREX website. When the site opened, I clicked on menu and scrolled down to REX and selected it.
After that, I clicked on REX statistics. When the page opened, I scrolled down to the chart labelled REX Value, then I gently tapped on the graph.
The price of REX is valued against EOS. As of the time of the post, the value of REX/EOS is 0.00010108046300800638, as shown in the screenshot above.
The REX token is the native token of the EOS Explorer. This token is used by users on the blockchain for staking and for lending. They can be traded for EOS. Also the users get REX as a reward for performing an activity in the blockchain.
When compared to other consensus algorithm, it is very clear that DPoS has more advantages than others. Apart from the fact that it doesn't have the scalability problem associated with the PoW consensus algorithm, the cost and duration for transacting in DPoS is relatively smaller when compared to other consensus. The fact that it gives every user the access to vote for a change in the platform makes the system as decentralized as it can be.
Smart contracts makes executing transactions in a blockchain easier, but without Ricardian contract, the blockchain's user experience will be very poor. This is why most blockchains integrate both contracts in their Network.
Lastly, the EOS ecosystem is one of the largest cryptocurrency ecosystems we have. Within the blockchain there are several opportunities to earn a reward as a user. One of the rewards is the REX Token which is the native token of the EOS explorer.
Thank you professor @pelon53 for this amazing lesson.