EOS Blocks are Here — But Chain Still Not Operational Without 15% Voting Support

The EOS project took until June 9–10 to achieve a Go vote, after heated discussion and accusations that the voting was too centralized. In a real-life experiment of achieving initial consensus, in the end the vote was held by a secretive Appointed Block Producer, a single entity with a single server. This situation led to speculations of potential censorship and the shaping of a Block Producer ecosystem that will vote itself into place every time.

However, at least the blockchain took off the ground.

https://twitter.com/eosnewyork/status/1005800451927928832

However, the block production is not the key step — owners of EOS may have to wait a while more until their new digital assets are spendable. Currently, the blockchain is undergoing an activation process. At least 15% of EOS owners are needed for a vote. As the timeline of achievements states,

“Once 15% of tokens are staked and used to vote, the chain is considered valid and normal functions are activated. The length of this phase will be as long as it takes for the token-holder community to act.”

Voting for the real Block Producers, not the Appointed Block Producers, has been opened, according to the timeline. 150 million EOS need to be staked for voting. Voting is now observable live:

https://twitter.com/EOSauthority/status/1005801370782457856

One of the criticisms is that exchanges don’t support EOS voting now, and very few have EOS in wallets. Those that registered their EOS should, in theory, have private keys. But the voting site remains counter-intuitive. The complexity and confusion around the voting may create a lag for EOS, until 15% of votes are gathered to activate the chain.

Unfortunately, the EOS market price tanked by more than 15%, and is down a net 21% on the week, to $11.36, as trading has become more active. Volumes above $2.5 billion in 24 hours underlie the rapid selling. The time lag for voting, which may stretch for days, may continue to hurt the EOS market price, with some seeing it go as low as $5 as a result of panic and disappointment.

!EOS!

The drop in EOS coincides with a general downtrend on the markets, triggered by the news of a Coinrail exchange hack, and an investigation against Coinbase, Bistamp, and Kraken.

The alternative project, EOS Classic, has opened up an online wallet, similar to MyEtherWallet. The project, with only a handful of followers, has airdropped EOSC assets, produced by mining, for all who own more than 100 EOS.