Whiteblock, a blockchain testing platform that assists development organizations to verify performance and expand distributed ledger technologies has said that EOS is not a blockchain, reported CCN. After performing an analysis, Whiteblock concluded that the EOS token is just a cloud service for computation.
According to Whiteblock researchers Brent Xu, Dhruv Luthra, Zak Cole, and Nate Blakely, the EOS token is formed on a comprehensive centralized axiom. This was the initial benchmark testing of the EOS software. The results show very lower transaction throughput than earlier displayed when benchmarked under pragmatic network circumstances.
According to a press release, this benchmark testing project was openly demanded by a group of companies adopting the Bounties Network. Bounties Network is a platform that permits people to self-organize and finance activities of shared interest.
Whiteblock Researchers’ Findings
Based on the primary analysis of network emulation testing and source code, the conclusions about the EOS software are as follows:
- EOS is not a blockchain. It is a distributed homogeneous database management system and its transactions are not cryptographically authenticated.
- EOS token and RAM market is actually a cloud service where the network gives assurances for computational sources in a blackbox for clients to obtain via credits. There is no proper protocol for liability due to the absence of clarity on what Block raisers are capable to design in terms of computational strength.
- EOS throughput is very low and it has consensus failures and poor Byzantine Fault Tolerance.
Neal Roche, Whiteblock CEO stated that
Our Whiteblock test framework is blockchain agnostic. We’re also running performance tests on other leading blockchains. Whiteblock’s established testing methodology and tooling has been proven to accurately test complex networks at scale. With Whiteblock, customers can easily validate performance, conduct due diligence, or run competitive benchmarks for a number of technologies and systems.
In this experiment, Whiteblock created a replica of the EOS network that could be utilized to examine the network’s strength to resist specific stress situations and many errors that would be ideal in a production context. Whiteblock built a network to assess the following metrics:
- Transactional throughput
- Resilience to adverse network conditions
- The effects of variable transactions rates and sizes
- Average time to finality for a transaction
- Fault tolerance
- Partition tolerance
EOS was described as an Ethereum killer but this research concluded that it is not even a blockchain. As reported by CCN, Whiteblock CTO Zak Cole stated that the purpose of their research wasn’t to show that ETH is better than EOS, but rather present an aspiration and accurate analysis of the EOS network to the community so that they can build a high-performing and functional systems.
He further stated that EOS is not absolutely free of transaction fees. Rather, these costs are negated to the dApp developers and the cost of administering these applications can be very costly. The EOS network is vulnerable and there is no efficient implementation of game theory or supplementary algorithmic rules to secure the block. There is no guarantee that the assets will be available or accessible tomorrow.
In other words, EOS is not able to give throughput to the level which has been mentioned. The system is completely incompetent to operate in accordance with the promises that have pushed their multi-billion dollar operations. This research was financed by 20 companies including ConsenSys. Funding was also given by Bo Shen, Dan Larimer’s previous partner and co-founder of Bitshares, which EOS adopted as the basis for much of their technology.
This is not the first time that researchers have found vulnerabilities in EOS. In the month of May 2018, Qihoo 360, a Chinese internet security company, had discovered multiple critical vulnerabilities in the platform. Yuki Chen of Qihoo 360 Vulcan Team and Zhiniang Peng of Qihoo 360 Core Security team found loopholes in EOS when they parsed a WASM FILE.
WebAssembly (Wasm, WA) is a web standard that defines a binary format and a corresponding assembly-like text format for an executable code in Web pages. It is meant to enable executing code nearly as fast as running native machine code. Researches were able to successfully exploit a buffer out-of-bounds write vulnerability. Hackers could use this vulnerability by uploading a malicious smart contract to the nodes server and after the contract get parsed by nodes server, the malicious payload could execute on the server and because of this hackers can take control of the server.