Crypto Academy Season 3 Week 6 Homework Post for (@pelon53) Blockchain EOS

The professor explained the Eos Blockchain in detail this week. I calmly read the course text in a way that I could understand. I did research to write homework. Now I will write down the homework.

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1.- Explain the Delegated Proof of Stake, DPoS algorithm.

The Delegated Proof of Stake consensus algorithm is one of the versions of PoS. According to many, this consensus algorithm is more effective and more democratic than PoS. It is thought to be much better in these aspects.

Daniel Larimer, one of the inventors of Steem blockchains, has been very useful to the industry. He developed the DPoS algorithm in 2014. Bitshares used this algorithm for the first time. Afterwards, blockchains such as Steem, TRON, EOS, Cardano, Ark, Lisk used this consensus algorithm. Tron previously used the PoS algorithm. Then it switched to the DPoS algorithm.

Those who know the Steem blockchain know very well how this algorithm works. For those who don't know, I'll explain.

In order to be selected as a block validator in the PoS consensus algorithm, it is necessary to own a large number of shares. Shareholders earn rewards for blocks they approve.

In the DPoS consensus algorithm, the people we call witnesses approve the transactions on the network. As a result of this confirmation, they win a prize. Shareholders elect the witnesses. Shareholders transfer a kind of power they have to the witnesses through the voting system. Shareholders want witnesses to protect and develop the network, verifying transfers and other transactions on their behalf.

The number of votes to be given by each shareholder is not the same. The amount of coins users own or lock on the network is proportional to their voting power. For example, the voting power of 10 users with 100 Steems is roughly the same as the voting power of a user with 1000 Steems.

Witnesses are not only responsible for confirming transactions on the network. For network upgrades like Harfork to happen, witnesses need to get a quorum. For example, there are 20 (+1) witnesses on the Steem blockchain. In order for a majority to be achieved, the consent of 17 witnesses is required.

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The screenshot above is from the validator on the EOS blockchain. Shareholders have the right to vote for 30 validator. According to many, the fact that most of the EOS validator are Chinese is a negative situation for the network.

Advantages of the DPoS consensus algorithm

• Operation is more democratic than other consensus algorithms. Choosing which witness to endorse the next block is pretty democratic.

• You don't need to have a fortune to be a witness on the network. Generally, successful, talented people who will add value to the network are selected as witnesses.

• Performing the 51% attack on DPoS consensus algorithms is quite costly. The attack has a high probability of failing. Nobody wants to attack by taking that risk.

• The number of transactions per second in DPoS consensus algorithms is higher than other algorithms.

• DPoS algorithms do not consume much energy, so it is an environmentally friendly algorithm.

Disadvantages of the DPoS consensus algorithm

• The DPoS consensus algorithm is not very popular yet. Although powerful projects such as EOS, TRON, CARDANO use this algorithm, it needs a little more popularity.

• Witnesses are determined by wealth owners. Therefore, wealthy people choose the witnesses they want (skilled or incompetent, good or ill-intentioned).

• Most blockchain projects using the DPoS consensus algorithm are considered centralized.

2.- Explain What are Ricardian contracts on the EOS Blockchain?

Since the existing smart contracts are quite inadequate in practice, studies have been started to support a new contract type. Even those who have blockchain technology have an idea of ​​what a smart contract is. But Ricardian contracts don't sound very familiar.

Block.one, the company that first supported the EOS blockchain, announced that they support Ricardian contracts. Hence Ricardian contracts became popular.

For the first time, studies on Ricardian contracts were conducted by Ian Grigg, an expert in blockchain technology, in 1995. Ian Grigg was still a student back then. Now he is one of the partners of Block.one company.

Ricardian contracts are digital documents that are agreed between the parties in the digital environment and whose terms are certain. It has two important features. The first is the legal contract, which can be easily read by anyone. The latter is also easily readable by machines. So blockchain projects can be easily registered and signed.

Ricardian contracts are legal contracts created between two parties in a digitally readable environment that can be viewed by human or machine. You can use it in many areas due to its practical and easy aspect. In court, you or your lawyers can present it to the court as evidence.

The purpose of Ricardian contracts is to transfer the created legal contract to the digital environment in a transparent manner. Thus, the risk of fraud is reduced.

Ricardian contracts also have a secret signature. The parties use their private keys to make the contract more secure.

Now I want to talk about the differences between Ricardian contracts and Smart contracts. Smart contracts are more popular today, might Ricardian contracts be more popular in the future?

• The main difference of smart contracts from Ricardian contracts is that they do not have any legal obligations. A court tribunal may not accept the smart contract as evidence. However, Ricardian contracts are accepted by the court as they are created between the parties.

• Another important difference is this. We know that both humans and machines read the Ricardian conventions. Only machines can read smart contracts. People cannot read this contract.

• In Ricardian contracts, the parties are clear. In smart contracts, the parties are not clear.

• Smart contracts cannot be converted to Ricardian contracts. But Ricardian contracts are also a smart contract.

• Smart contracts are very popular nowadays. Ricardian contracts are not yet known to many.

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Ricardian contracts are currently used in OpenBazaar, an online trading platform. Users feel very reliable on the online goods trading platform. Because in case of any fraud, since it is a legal document signed between the parties, the court will use its preference for the right side. Ricardian contracts are widely used in the e-commerce industry today. It looks like it will have more users in the future.

3.- Explore the official EOSREX interface (eosauthority.com). Show screenshots.

EOS Authority is an online wallet. When we visit the site, there are sections such as Menu, Wallets, Event, Tools, EOS Credit, on the upper left side.

On the far right is the language option. Language support is available such as English, Korean, Chinese, French, Spanish, Vietnamese, Arabic, German, Russian.

In the middle section we can immediately see the EOS blockchain explorer. It also supports networks such as BOS, TELOS, WAX. Apart from this, there are many Testnets it supports.

On the upper right side, there are numerical data related to the current price of EOS and the market value of EOS.

• Going a little further down, we can see the witness that created the last block (eg Newdex), the last block number, TPS data, total number of EOS wallets, Stake / Unstake data, Voters statistics, Ram memory used and CPU usage percentage.

• When we go a little further down, we reach sections such as Block Producers, Chain Alerts, Trading Alerts, Proxies, Transaction, Recent Blocks, TOP accounts, Market Cap, Name Bids, Multisigs.

Block Producers: In this section, the block producers are in order. There is a lot of data on these. There is information about how many votes they received, how many votes they received, the percentage of votes, their daily EOS earnings and the regions they are in. You can also vote by typing the name of the block producer in the search field.

Chain Alerts: In this section, there are warnings about errors etc. that occur in the blockchain. There are records of past mistakes. For example: block generator -bitfinexeos- missed 1 block.

Trading Alerts: EOS trading alert will be issued if large amount of EOS is unstake, large amount of EOS is transferred to exchanges. In addition, the EOS price on major exchanges is given up-to-date here.

Proxies: In this section, you can access statistical information about proxies. Like how many EOS they have. In addition, it is possible to vote by typing the name of the representative in the search box.

Transaction: In this section, you can see the latest transfers and transactions.

Recent Blocks: This section contains information about recent blocks. It contains information such as which block producer created the last blocks, block number, number of transactions.

TOP accounts: In this section, you can see Top EOS holders and Top RAM holders. There is information such as the names of the users, how many EOS they have, the percentages and the USD value.

Market Cap: This section contains market cap information about EOS and other tokens on the EOS network.

Name Bids: This section contains statistical data about name bids. Number of names sold, average amount, etc.

Multisigs: Includes past information about EOS system change and upgrade bidders.

When we go a little lower, there is partner information.

Now let's start exploring by clicking on Menu.

In the menu section, there are sections such as Dashbord, Wallet, REX - Power Up, Manage CPU/RAM, Manage Keys, Vote, Create Account, Bid Name, Alerts, Trade Your Tokens.

To explore this part thoroughly, it is necessary to create a membership. I'm signing up right now.

Create Account: I click on Create Account on the left. Then, on the page that opens, I specify a username consisting of 12 characters. Then I keep the Owner and active key and private keys in an offline environment. Finally, I click on "Create Account".

Sorry, because my membership didn't happen. I need to deposit some EOS into the given account. I can't deposit EOS because I don't have enough funds in my exchange account right now. I will continue to review without creating an account.

DashBoard: Here it shows the amount of tokens in your account. These; EOS, BOS, TELOS, WAX. You can also add an account here. I will talk about adding an account in the wallet section. On the middle side are the token price, and on the right are the details about token security. A little further down there are sections such as Airdrop, Rex and Rex activity.

Wallet: In this section, you can link your account with various wallets. You can add your account with your own username and private key, with different preferences such as Scatter, Anchor, Hardware and mobile.

REX: In this section, there are parts such as Lend to Rex, Barrow CPU, Rex Calcuter. You need to add an account to explore better. In addition, there is a section at the bottom where we can PowerUp.

Manage CPU/RAM: In this section, there are sections such as token unstake, stake, undelegate, delegate, Ram market (Sell/buy).

Manage Keys: There are 3 parts: Basic, Advanced, Link Auth. Here you can manage your keys.

Vote: In this section you can vote for block producers, proxies, refrandums/pools, multisigs.

Bid name: Names are given here with the bid increase method. When you bid on names, RAM is consumed from your account.

Alerts: In this section, you will be informed about various warnings. For example, unstacking large amounts of EOS.

Trade Your Tokens: You can access the details of your trade on exchanges such as NewDex, Yolo, Defis.

Now we move to the upper left.

Event: You can use this section to get acquainted with the tokens (EOS, WAX, Telos) available on the platform. You can benefit from the platform more effectively by using the add event, my event sections.

Tools: There are 29 tools in total in this section. To use the platform more effectively, you should take a look here.

Eos Credit: By clicking here you will be connected to the netxo.io borrowing and lending platform.

4.- Download the Sqrl wallet, explore and explain how to obtain CPU, RAM and Network. Show screenshot.

Sqrl Wallet is an easy-to-use wallet for the EOSIO-based blockchain. You can also use this wallet for Telos blockchain.

• I visited the website called https://sqrlwallet.io/.

• Let's choose one of the operating wallets such as Mac OS, Windows and Linux to download the wallet.

I chose the installation settings. Then I clicked forward.

Then decide where to set up. I clicked 'Install'.

I took my next step. I clicked on Connect to server.

I created a username. I saved the passwords given to me.

I clicked on the places I marked in the picture. I took my next step.

As the last step, I clicked on "Create my account".

I couldn't create a new account because of the warning on the screen.

We can use telos wallet as an alternative to sqrlwallet wallet. To open a new account on the Steem blockchain, it is necessary to pay 3 Steem. When you open an account on Steemit, Steemit covers it. It is not possible to open a new account because there is not enough funds in the Sqrlwallet account.

• I visit https://www.telos.net/.

• Then I click "Start now" in the upper right corner.

• Two options appear before me. I click on 'Create new account'.

• Then I set the account name. I store public key and private key offline. I mark it saves the keys. I'm marking I'm not a robot. Then I click on contunie.

A new account is opened. We got this account without any fees. We could open an account on eosauthority .com but we had to pay about 0.52 EOS. Considering the commission and minimum withdrawal amount we will pay to the stock market, the cost would increase for us.

• Now back to Sqrlwallet.

• Click on Import Existing Account.

• I need to write the account name or public key in the next space. I typed the account name and then clicked lookup account.

• I enter the active key where necessary. Then I click on the place I marked at the bottom.

• In the last step, I set a password for the wallet. Then I click on "Save Account".

• I re-enter the password I set for the wallet. I click on "Save local wallet". In the next step, I mark that I accept the rules.

• I was finally able to log into the wallet.

• On the lower left, there are sections such as Buy /Sell Swap, Send.Recive.Stake and Advanced.
  You can exchange tokens in the Buy/Sell Swap section. In the Send.Recive.Stake section, you can trade tokens and stake. You can also buy and sell RAM.
  In the Advanced section, you can make a "broadcast signed transaction".

• As you can see in the screenshot on the top left, there are networks such as Telos Mainnet, Eos Mainnet, Eos Testnet, Telos Testnet, Wax Mainnet. When we choose which one, we start trading on that network.

• When you click on "Wallet" in the upper middle part, you can see the current price of the token, the Eos price of the token.

• Wallet has a "Governance" section on the side. In this section you can vote for block producers and for proxies. If you wish, it is possible to vote as a proxy. It's a convenience. With this method, someone else will vote for you. In addition, there are sections such as Works, Amend, Docs in that section.

• In the T-REX section, there are account-related details such as Deposit TLOS lending, Withdraw TLOS lending, etc.

*In the Tools section, there are many tools that we will use to manage accounts. This part is pretty detailed.

Explore and explain how to get CPU, RAM and Network.

• As I said before, it is possible to reach different networks here. Like EOS, TELOS and WAX. I chose TELOS Mainnet.

I continue with the TELOS network. I would like to continue with the EOS network, but Sqrl Wallet is having a hard time migrating to the EOS network. There was no such problem a few hours ago.

• Then I clicked where it says Send.Receive and Stake. Then I clicked on "Manage Staked".

• First you need to click on Stake. In order to get CPU and NET, you must enter the amount in the green mark. I cannot complete this transaction because I do not have enough balance in my account. If I had enough balance in my account, I would be able to confirm my transaction after clicking on "Update Stake Balances".

To finalize the staking process, you need to click on Unstake and type the amount. Then click on 'Update Balances Stake'. It should be noted that you will not be able to use TLOS for 3 days.

Next up is to get RAM.

• You have to follow the same man again. Click where it says Send.Receive.State. Then click 'Buy RAM'.

• A minimum of 3 bytes of RAM is required per process. So we can get at least 3 bytes of RAM. We can obtain RAM in two ways. The first is by typing in the amount of RAM we want to get. Another is by entering the TLOS amount. After choosing any option, click on "Buy RAM". Then our process takes place.

We can sell the RAM we have. Send.Receive for this. Click where it says Token. Then click where it says "Sell RAM".

• As with purchasing RAM, we have two options. We can perform the RAM sales transaction by entering the amount of RAM we have in the first one and the amount of TLOS in the second.

5.- Show the price of the REX token. And explain what it is used for.

When we visit the website called https://eosauthority.com/rex/statistics, we can learn the REX price.

REX/EOS price as of now: 0.00010108

Eos price: $4.13

REX price: EOS price * 0.00010108
REX price: 4.13 * 0.00010108
REX price: 0.0004174604$

What Does It Do?

REX = Resource Exchange.
It was started in 2018 as a proposal by Block.one CTO (who stepped down this year) Daniel Larimer.

As it is known, there are resources such as CPU, Network and RAM in the EOS blockchain. These are needed for the EOS blockchain to work.

People who own network resources rent these network resources (CPU, Network) risk-free in the so-called REX market.

At the time REX was proposed, the EOS blockchain was experiencing a high degree of congestion. Previously, the average EOS blockchain user could not successfully transact on the network. To overcome this, the idea of REX was introduced. Thus, users who wanted to have network resources to make successful transactions had the opportunity to rent network resources through REX. Even on the Steem blockchain today, when you don't have enough Steempower (think you have 5 SPs), the transactions you can make are limited. Or you will have to wait for a while.

In order to be able to successfully operate on the network in the Tron blockchain, it is necessary to have Energy and Bandwidth. If you do not have enough bandwidth and energy, you can reach these resources by renting.

Conclusion

The EOS blockchain was one of the most popular projects for a while. It emerged to overcome the scalability problem in blockchains such as Bitcoin and Ethereum. It was possible to circumvent the scalability issue with the DPoS consensus algorithm. However, EOS, known as "Ethereum Killer", fell far behind expectations. This year the CTO resigned. EOS slides back in the market cap rankings.

Today, CARDANO has replaced the EOS blockchain. While EOS was seen as an Ethereum competitor for a while, CARDANO is seen as an Ethereum competitor today.

EOS's Bullish Global stock market project is important, but will it be enough on its own? In order for it to return to its previous popular days, decentralized applications on the network must be developed and they must be used extensively by users.

Cc:
@steemitblog
@pelon53