Guides to Blockchain Related Apps
18. EOSREX.IO Resource Rental Platform
EOS REX is an EOS blockchain based CPU and Network resource rental platform in which EOS cryptocurrency token owners can lend out unused resources of their tokens to earn fees. EOS REX team stated on the website that they are not affiliated with EOS core developer block.one or eos.io.
Unlike Bitcoin blockchain that is using Proof-of-Work (PoW) protocol with network bandwidth determined by mining speed, EOS blockchain is designed to divide available bandwidth evenly among all staked EOS tokens using Delegated Proof of Stake (DPoS) consensus protocol. Staked tokens will be locked down before the owner can use the CPU/network resources allocated to the staked tokens and it will take 3 days for the owner to unstake his/her tokens if required.
There will be users or developers that require CPU and network resources of the EOS blockchain but cannot afford to buy sufficient amount of EOS tokens to stake for resources. EOS REX provides the above users the ability and option to borrow CPU and Network resources for 30 days by paying rent, it gives EOS token owners the ability to earn rental fees by lending out the unused resources allocated to their tokens.
Lending EOS Resources
EOS token owners can begin lending their CPU and Network resources by purchasing segments of the REX pool in the form of REX tokens by transferring EOS tokens into a REX Fund account or by using staked tokens to buy REX without needing to unstake them. The current ratio of EOS to REX is used to determine the amount of REX tokens the buyer will receive in exchange for EOS tokens. REX token can only be bought and sold directly to and from the REX pool, it cannot be traded with third parties and the return rate may change depending on demands and level of rental activity.
Before a user can buy REX, he/she is required to vote for a proxy or vote for at least 21 producers first. Hence, after the purchase, the EOS payment quantity will automatically be added to the user’s vote stake and votes will be updated. With this design, EOS REX users will not lose their ability to vote in the EOS blockchain if they lend out their EOS resources.
EOS REX users can choose to sell their REX tokens back to the pool to receive an amount of EOS tokens determined by the same method of calculations as when they bought REX tokens using the same ratio before and after. No one can sell their REX tokens after purchase until after 4 days, this is to protect consumers and prevent price manipulation.