EOS Ranked Top Cryptocurrency by Chinese Government
An organization affiliated with the Chinese government has deemed EOS to be the world’s top cryptocurrency after it was excluded from the first batch of rankings released back in May. The announcement came as a surprise to market onlookers following EOS’ botched mainnet launch earlier this month.
Crypto Market Rankings
China’s Center for Information Industry Development (CCID) has published the second edition of its Global Public Chain Technology Evaluation Index. The publication, which evaluated 30 cryptocurrencies, concluded that EOS is the top cryptocurrency based on technology, application and innovation.
EOS received the top ranking due to its “outstanding technical advantages in transaction confirmation efficiency, network throughput, and transaction costs,” the report said.
The report gave the nos. 2 and 3 spots to Ethereum and NEO, respectively. Ethereum was the top-ranked cryptocurrency when the first version of the report circulated back in May.
The top-15 projects are ranked in order below:
- Ethereum Classic
Bitocoin, the first and largest cryptocurrency by market cap, was ranked all the way down at no. 17. Komodo, which was ranked no. 5 in the first version of the scorecard, dropped to 16.
CCID says the crypto-market rankings are based on a rigorous analysis by “first-rate domestic experts and scholars.”
According to an original press release released in May, CCID said the goal of the Index is to “evaluate the technological capability, the usefulness of the application and the innovativeness” of the cryptocurrency project.
EOS Under Scrutiny
CCID, which reports directly to China’s Ministry of Industry and Information Technology, defended the ranking despite the litany of issues surrounding the launch of the EOS blockchain.
After stalling for two weeks, the EOS mainnet officially went live June 15 after the software exceeded the 15% token threshold. However, the network was quickly ground to a halt after the EOS Authority identified a network bug. Controversy grew over the weekend after the EOS Core Arbitration Forum (ECAF) directed block producers to stop processing transactions from 27 wallet addresses.
Cornell professor Emin Gun Sirer and smart contracts pioneer Nick Szabo have criticized the project’s developers for not facilitating a smoother mainnet launch. Szabo was especially critical of network features that appear to give EOS centralized control structure.
“In EOS a few complete strangers can freeze what users thought was their money,” Szabo said. “Under the EOS protocol you must trust a ‘constitutional’ organization comprised of people you will likely never get to know. The EOS ‘constitution’ is socially unscalable and a security hole.”
Since peaking in April, EOS has lost nearly two thirds of its value and prices have more than halved compared with 30 days ago.
Disclaimer: The author owns bitcoin, Ethereum and other cryptocurrencies. He holds investment positions in the coins, but does not engage in short-term or day-trading.
Featured image courtesy of Shutterstock.