Blockchain technology evolution has resulted in the emergence of exciting projects all gunning for people’s attention. EOS vs NEO is the latest tussle taking shape, as developers continue to explore platforms for hosting smart contracts and decentralized applications.
NEO and EOS have been gathering momentum in recent months, seen as worthy competitors to Ethereum (ETH), which has emerged as the desired platform for the development of smart contracts and decentralized applicants.
So what makes EOS vs. NEO stand out as worthy Ethereum killers?
NEO VS EOS: Purpose
NEO is a blockchain platform and cryptocurrency that seeks to build a scalable network of decentralized applications. The team behind the Chinese-based cryptocurrency intend to improve how assets are digitized, using digital identity technology.
That said NEO is essentially a smart contract platform just like Ethereum, which makes it possible for developers to code and come up with decentralized applications.
EOS just like NEO is also a blockchain project that seeks to provide high scalability for the deployment of DApps and blockchains. It dubs itself as the most powerful blockchain-based decentralized system that enables the development, hosting and execution of DApps.
EOS vs NEO: Native Currency
NEO is the native token that powers the NEO platform used for the development of decentralized applications. At inception, 100 million coins were created in the Genesis Block. Fifty million coins were sold to early investors and the remaining fifty million are locked into a smart contract. Every year, 15 million coins are released, to fund the development of long-term goals.
EOS is the token that powers EOS.IO, which acts as an operating system in a computer that manages and controls EOS blockchain. A developer needs to hold EOS coins instead of spending them, to use the network resources to build and run decentralized applications.
Between June 26, 2016, and July 1, 2017, a total of 200 million or 20% of the total EOS tokens were distributed. Currently, 700 million tokens are being distributed on an ongoing basis. 100 million coins are being held’ in an escrow for block.one.
EOS vs NEO: Transaction Speed and Fees
NEO relies on Byzantine Fault Tolerance consensus algorithm that allows it to support up to 10,000 transactions a second. For consensus bookkeeping, nodes are selected’ randomly to process transactions on a network based on overlapping networks of trust. Currently, NEO project does not charge people any fees for using the network.
EOS, on the other hand, has grown in popularity in part because of the huge amount of transactions it can process a second. High scalability means the project blockchain can handle over one million transactions a second, through horizontal scaling
EOS does not require people to make micropayments to perform tasks on the blockchain or send messages. Instead, individual developers are allowed’ to determine their transaction fees which are usually low. Companies can come with their monetization strategies.
NEO vs EOS: Blockchain Protocol
EOS.IO relies on delegated proof-of-stake and a role-based permission concept for operations. The blockchain protocol allows for flexibility when it comes to making instant decisions such as rollback, freezing, and fixing of apps infected by bugs.
NEO, on the other hand, uses Byzantine Fault Tolerance which it says is an improvement of proof-of-work and proof-of stake. With this algorithm, anyone who holds an NEO can vote on who will be their Consensus Nodes responsible for deciding a block.
Both EOS and NEO have the potential to grow with the evolution of cryptocurrency and blockchain technology. However, EOS seems to have had a better year and seems to have a higher chance in taking Ethereum as a preferred platform for smart contracts and decentralized applications.
*Disclaimer: The article should not be taken as, and is not intended to provide any investment advice. Claims made in this article do not constitute investment advice and should not be taken as such. Do your own research!