Bancor, which enables traders to trade Ethereum-based tokens without the help of an exchange, is set to bring its service to the EOS protocol very soon via its new BancorX platform.
BancorX to be launched on EOS
The cross chain project called BancorX will make it possible for users to trade different EOS-based tokens, though the specifics of which tokens will be offered have yet to be revealed. The project will also allow users to trade EOS and Ethereum.
Bancor stated that it is working on developing a cross-chain liquidity protocol and will publish the code for open-source smart contracts on EOS.
This will serve as a testing phase and will allow EOS users to experiment with the project before final release.
The network speed of EOS is one of the main reasons why Bancor is developing the BancorX platform.
Scalability still remains the biggest problem facing Ethereum, with developers seemingly looking to EOS for its capacity to handle millions of transactions.
The director of communications at Bancor Nate Hindman, while commenting on this latest development, stated that the company has always been looking towards fast transactions with no fees and no front-running, and EOS can offer that.
Even though some details of the project has been made public, there is no set timeline for the launch of BancorX.
EOS reverse transaction a problem
One of the negative aspects of the EOS network is the ability of the block producers to freeze and/or reverse transactions.
This feature has generated a lot of negativity in the cryptocurrency community, with many of the view that it isn’t a necessary feature for a blockchain.
Even though the block producers cant totally erase a transaction, they can still transfer tokens from one address to another, forcibly.
The EOS community has pushed for the feature to be removed but the block producers have pushed back which led to the freezing of some accounts.
Some proponents in the crypto world are not surprised by the deal between the two as Bancor is also known for including code that would allow it to freeze and reverse certain transactions into its ethereum smart contract.
Eyal Hertzog, Bancor’s co-founder, and product architect are of the view that the feature is necessary following the DAO attack on the Ethereum network which led to hackers escaping with funds and developers could do nothing to stop it.
Bancor believes that the ability to freeze funds in their smart contracts is very essential due to the potential of hacks, explaining the algorithm was helpful in allowing them to stop the transfer of 2.5 million BNT tokens in July.
Ethereum working on scaling the network
Ethereum on its part recognizes scaling as its biggest problem yet and the developers have been working on eliminating that.
The sharding and Casper upgrades are geared towards making the network more scalable as it now faces tough competition in the DApp and smart contract world from EOS, Cardano, Tron, and others.