EOS will cost $1 million to run a dapp at 1 TPS
I come across a post the other day about EOS and the cost of running dapp's, im still a little confused from what it was taking about so ill put my own take on it and hope a more tech savvy person can confirm or correct me.
For simplicity i will be ignoring RAM and for argument sake we will give EOS a market cap off $5 billion and EOS to have a transaction per second (TPS) rate of 5000. From my understanding bandwidth and cpu will be distributed X amount per EOS coin. AKA the more EOS you have the more cpu and bandwidth you have.
So if EOS can do 5000 tps with a market cap of $5 billion we can find out how much it will cost to run a dapp that does 1 tps. So 5,000,000,000 divided by 5000 = $1,000,000 So at today's prices a Dapp would have to hold $1 million of EOS coins to run a Dapp that can handle 1 tps. This is extremely expensive no one will pay this.
There is only 2 options we are left with EOS is about 20 times over valued or the tps needs to increase 20 times fast or a bit of both. Even if the tps goes way way up this is also a problem as EOS is realestate if it goes to 1 billion tps then Dapps will only need to hold a tiny amount of EOS to run them making EOS demand fall and prices will follow, This is a catch 22 at its finest EOS will need to find a balance between tps and price to succeed and i have no idea how they will do this. There is also RAM to consider in the price. At the moment we dont know the full speed of EOS or how the side chains will affect this in the future. im hopping im way off on all of this or ill be very worried.
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Rental resources will bring costs down.
Thanks for the reply. Renting will help but 50k per year for 1 tps still seems high to me. I guess we still need to find out how fast it can go :p
Yeah, this needs to be solved, just as with ram, still the performance won't just spike, but steadily grow with demand, which currently doesn't exist. Are you aware, if eg i do a rating on trybe in the future, who will need the resources, me, the dapp, or both....?
I have no idea im hoping someone will answer it for me :p. Also ram is a problem i made like 10 transations and ran out of ram and had to buy more. 8kb of ram at the hight would of cost 40 dollars. How is that free transaction?
Yeah, I realised with airgrabs, they really take non neglectable amounts of ram
so it was the airgrabs hey hmmm. does sending from wallet to wallet use ram?
Re the airgrabs: You get your RAM back once the airdrop actually happens. You don't need to buy RAM.
really? i was reading you cant get it back because its your storage on the block chain
On the Genereos airgrab page is says
I'm assuming you get the RAM back when the token is airdropped.
Hmm ill have to wait and see. My problem came from that wizzards game. It only cost 0.8 eos for 5kb anyway but still if i have to keep buying ram then it would add up fast
Nah, shouldn't, ram is constant, but you need it for additional info in your account, an airdrop provides you with the necessary ram, that why it costs the issuer
yeah wallet to wallet is free i just tried then. but that crypto wizards games cost ram to sell the wizards thats what burnt my ram i got a few from the airdrops and i put them straight on the market. so really its not free to do everything on eos
it costs ram to sell? But i can well imagine, that if you buy items, they will use your ram.
yep i checked before and after in my wallet. maybe wizzards have coded it like an airgrab so they didnt need to buy ram.
Great article, @cryptoslicex!
That's amazing,, good article sir