Weiss Ratings: EOS is like a feudal kingdom with serfs

Weiss Ratings: EOS is like a feudal kingdom with serfs

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While the cryptocurrency world expects the launch of the main EOS network, the Weiss rating agency predicts a bright future for the project, which, however, can not become a reality until the developers solve one of their main problems related to centralization.

The success of the EOS, according to Weiss, depends on one single “vital factor”. As Villaverde explains, decentralized cryptocurrency projects have good prospects when they share power and influence among a wide group of players. Centralized projects do not do this, which often contradicts their stated goals. The latter include EOS, Weiss believes.

According to Weiss, EOS is “one of the most centralized distributed registries in the modern world.” “The Gini index, used by economists to measure the distribution of wealth across countries, in the context of EOS gives 97 points out of 100. Even assuming that the cryptocurrency communities and countries are inherently two different things, the fact remains: the Gini index above 60 is problem. The coefficient of EOS is overdetermined. It is like a feudal kingdom with serfs,” the analyst writes.

Weiss draws attention to the fact that most EOS tokens focus on a very limited number of addresses. In fact, about 10 token holders control the network and will select 21 block manufacturers, which in turn will allow the whales to dominate the platform.

At the same time, Weiss does not question the potential of the platform, which can be revealed if the organizers solve the described problem. “If you invest in EOS, watch them like hawks. This is what we are doing. If the project remains centralized, most likely, a downgrade will follow.”

Recall that earlier block manufacturers have not allowed to launch the main EOS network. However, during the last voting a positive decision was made, and the launch of the network should take place on Saturday, June 9. Meanwhile, developers continue to eliminate bugs in their code, which, they said, should not affect the approved plans.

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