Bancor, An Ethereum DApp is Expanding to EOS for Fast and Free Transactions
Bancor, which is one of the popular decentralized applications on Ethereum is reportedly expanding to EOS through a new project called BancorX.
Bancor is the third largest decentralized token exchange (as per DAppradar) in the Ethereum network. Bancor is unique in a way as it lets users convert between tokens without a counterparty and incorporates built-in liquidity.
The company is now expanding to EOS Blockchain with a new project called BancorX, which will allow users to trade between EOS based tokens as well as between EOS based and Ethereum tokens.
As it is known the Ethereum Blockchain has a gas fee and is not quite scalable yet, but EOS claims to be scalable with no fees but Decentralization as a tradeoff due to its 21 Block producers structure. Bancor which claims to be a “cross chain liquidity protocol” says that the faster transactions, no fees, and an elimination of “front-running risk” (which is the prioritization of transactions which pay a higher fee) are some reasons for their decision to expand to EOS.
Although the benefits of the EOS Blockchain are stated, there are other controversial problems like the ability of the Block Producers to freeze transactions or forcibly move tokens from one address to other. There have been instances where these actions have been taken which will not be possible in the Ethereum Blockchain (although an argument can be made against this with the DAO hack example).
Back in July, Bancor had gone offline due to a security breach where the company was able to block the transfer of 2.5 Million BNT tokens worth around $100 Million at the time. But it was not able to do the same with 25000 Eth worth about $12.5 Million at the time, but with EOS this could change as the Block producers have the ability to force transfers from one address to another.
Image Source: Bancor
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