EOS boasted of making free transactions possible - but then it went on and created a cut-throat free market for RAM. The resource, provided by block producers, was hoarded, creating within days an outlandish price of nearly 0.08 EOS per Kb, a four-fold growth in a single day. This roughly makes the creation of a new EOS account cost about $30, and for new airdrops to require thousands of dollars to buy the required RAM.
https://twitter.com/IMEOSONE/status/1014068337620348928
While EOS still has no distributed apps, in theory, RAM hoarding could make the network impossible to use, and extort app creators for EOS payments.
In addition to growing RAM prices, the EOS market valuation is making network usage even more expensive. EOS spiked up more than 13% as the markets recovered, reaching $9.10, adding a net 12% this week. Once again, more than 36% of EOS trades are against the USDT, boosting the asset with extra liquidity as many coins are starting a recovery.
!EOS!
The RAM debacle has shown that block producers have another form of influence on the network, as providers of available RAM. Reddit users noted that until block producers supplied the hardware, the question about RAM on the distributed network led to an outlandish price tag for a trivial computer resource:
”A 16 GB RAM sick in EOS costs 54 million dollars right now.”
At one point, prices peaked at 0.88 EOS per kilobyte, and have slid since then. Speculation is somewhat hampered by the fear that block producers may easily increase available RAM - but hoarding is always possible. RAM was only at 0.15 EOS a few days ago, quickly growing to 0.47, and then doubling overnight. At the moment, more than 86% of available RAM has been hoarded, and buying continues. The RAM marketplace shows that distributed computing is not really free, and in fact can have high hidden costs.
This article appeared first on Cryptovest
