CCID, China ranks EOS as the number one blockchain, Bitcoin not in top ten
The China Electronic Information Industry Development (CCID) revised its blockchain rankings last week. After EOS went down soon after the go-live event because of critical bugs and suspending 27 user accounts without any reasoning, EOS was ranked ahead of Ethereum and was ranked as the best blockchain network in the world. Furthermore, EOS has faced a lot of criticism from Cornell University professor Emin Gun Sirer & smart contract developer Nick Szabo.
In spite of this, the Chinese government publically ranked EOS as the world’s best blockchain network and Bitcoin didn’t even make it to top ten. Look at the table provided by the Coinness.
Is it the perfect ranking?
If the rankings were to rank, no blockchain network would be legitimately ranked because there are so many factors that make a difference in ranking. Scaling all the blockchain network with the same categorization will not be right.
Hence depending on the various categories, the ranking groups would vary and since there’s no single factor to scale/rank all the blockchain networks, it’s a discrepancy in the rankings. Furthermore, there should be something in common to scale all the blockchains together.
The Chinese government’s body CCID rates all the blockchain network based on three criterions: technology, application & innovation.
The CCID placed EOS at the top of the table with 102 points for technology, 15.4 for applicability & 44.1 in innovation. On the other hand, Ethereum made it to the second position with 85.2 points in technology, 24.9 points in applicability, & 28.3 in innovation.
To break these criterions one by one, the technology criterion refers to the proof-of-stake (POS) algorithm of EOS. Its ability to process more transactions than proof-of-work (POW) makes it take the lead by a huge margin. While Ethereum is still working on the hybrid of POS & POW, which gives EOS the fair top position in the table.
This also gives an evident reason why bitcoin couldn’t make it to top 10, it would get good rating only for innovation. Since EOS runs on Ethereum at the foundation, Ethereum has more ratings for technology and applicability than EOS.
Furthermore, the only factor that gave EOS a lead is innovation. Thanks to the PoS, that is able to process a higher number of transactions that the PoW can.
“The reason I think layer 1 and layer 2 [networks] are complementary is that ultimately if you look at the math, the scalability gains from the layer 1 improvements and layer 2 improvements do ultimately multiply with each other. If you have a Sharding solution, the Sharding solution itself might increase the scalability of Ethereum by a factor of 100, or eventually even more. But then, if you do Plasma on top of the scalability solution, then what that means is, you’re not just doing 100 times of the amount of activity but you are doing 100 times the amount of entrances, the number of exits, and despite resolutions,” Buterin said.