EOS RAM Allocation - Reading Assignment

Blockchain Business Course
#262

  1. What would happen if a dapp runs out of RAM?
    Answer: Some operations are unable to carry out and smart contracts cannot be deployed.

  2. What was the change between Dawn 3.0 and Dawn 4.0 in terms of the RAM market?
    Answer: EOS switched to a market-based approach, so people can sell their RAM for a different price other than the price they paid (which was not the case in 3.0)

  3. What are the benefits or having a market based model for RAM staking?
    Answer: Disincentivize hoarding and speculation of merely buying and holding RAM, which wastes resources.

  4. What are the drawbacks of having a market based model for RAM staking?
    Answer: Price volatility, potentially more expensive RAM which will hurt developers of DApps on EOS.

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#263
  1. What would happen if a dapp runs out of RAM?
    Some operations will be unable to carry out and smart contracts can not be deployed .
  2. What was the change between Dawn 3.0 and Dawn 4.0 in terms of the RAM market?
    It switched to a market based allocation approach using the Bancor algorithm.
  3. What are the benefits or having a market based model for RAM staking?
    Fair pricing and more effective resource utilization, reducing hoarding and optimizing price.
  4. What are the drawbacks of having a market based model for RAM staking?
    As more developpers for dApps join, the RAM will be more expensive. Speculators might push the prices for RAM higher and more expensive for developpers and it might cause a waste of RAM resources.
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#264

1.What would happen if a dapp runs out of RAM?
-> some operations are unable to carry out and smart contracts cannot be deployed.

2.What was the change between Dawn 3.0 and Dawn 4.0 in terms of the RAM market?
->It was a set price but it shifted to market price from Dawn4.0.

3.What are the benefits or having a market based model for RAM staking?
-> It avoids people to keep unnecessary space of RAM.

4.What are the drawbacks of having a market based model for RAM staking?
-> If there are many people developing Dapps, the cost will increase too much.
But because of the cost if people don’t use it, the environment will be too empty.

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#265

1 The dApp will not execute 100% and the dApp is not uploaded to the network.
2 Dawn 3.0 = fixed price RAM, Dawn 4.0 = market price RAM
3 Any non-working dApp can be cancelled and the staking refunded at perhaps a higher value, thus the RAM will be free for another dApp. If not the RAM will be unusable.
4 There is trading in RAM, and RAM being locked from dApp developers to use.

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#266

1 What would happen if a dapp runs out of RAM?
the operation does not advance

2 What was the change between Dawn 3.0 and Dawn 4.0 in terms of the RAM market?

  • switched to a market-based allocation approach using Dawn 4.0’s Bancor algorithm.

3 What are the benefits or having a market based model for RAM staking?
more balanced pricing

4 What are the drawbacks of having a market based model for RAM staking?
As demand increases, it makes RAM more expensive

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#267

  1. Dapp will stop run.

  2. Dawn 4.0 uses the new Bancor algorithm which is a market based allocation instead of token holders selling RAM for the same price they paid.

  3. It encourages users to sell their staked RAM to free memory for other purposes

  4. It may bring the price up.

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#268

  1. What would happen if a dapp runs out of RAM?
    Well, some operations are unable to carry out and smart contracts will not deploy.

  2. What was the change between Dawn 3.0 and Dawn 4.0 in terms of the RAM market?
    In 3.0 token holders can only sell RAM for the price they paid.
    In 4.0 is marked based – in 4.0 they changed the definition of current time from “time of head block” to current block, which solves cases with time based operations in the presence of missed blocks and enables much more accurate measuring of elapsed-time within smart contracts.

  3. What are the benefits or having a market based model for RAM staking?
    When working on a project that in the end doesn’t work, there was no need to unstake the RAM. But with the market-driven model, the person in the project that failed can receive a capital gain from unstaking his RAM and therefor are willing to free the resources. It will provide more balance over time.

  4. What are the drawbacks of having a market based model for RAM staking?
    Older version where the exchange rate is pegged the upside is to distincentivize hoarding and speculations. You always get what you paid. As more dApp developers join, and more data is needed to be stored for a long time, more RAM used is extracted out of the market, making RAM more and more expensive.

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#269
  1. What would happen if a dapp runs out of RAM?
    If the dapp is short on RAM it will not be able to function fully.
  2. What was the change between Dawn 3.0 and Dawn 4.0 in terms of the RAM market?
    Dawn 3.0 token holders are locked into the price they paid and can only sell at that price. With Dawn 4.0 there is a market adjustment to the token price and it will fluctuate.
  3. What are the benefits or having a market based model for RAM staking?
    The market based Dawn 4.0 model will incentivize token holders to sell their unused tokens and free up RAM for use by dapps and dapp developers.
  4. What are the drawbacks of having a market based model for RAM staking?
    If a project does not work out the ability to get funds back can be important. The fluctuating token price means that the value could also go down and this could disincentivize token investors and developers from using the platform because they could lose their funds.
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#270
  1. If dapp runs out of RAM the operation are unable to carry out and smart contracts cannot be deployed.
  2. Dawn 3.0 system contract, token holders can only sell RAM for the price they paid, just as the other resources. Dawn 4.0 the system contract now buys and sell RAM allocations at prevailing market price.
  3. Benefits of having a market based model for RAM staking is efficient RAM allocation where developer can receive capital gain from un-staking RAM and therefore willing to free the resources. Beneficial for the network is the allocation of resources.
  4. Drawbacks the more dapps being build the more expensive. Speculation and manipulation put the price of RAM expensive for the developer.
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#271
  1. The Dapp won’t run without RAM.
  2. By changing from selling RAM for cost when purchased, now to EOS token staked value allowing a user to exchange for RAM.
  3. The market based model gives users the incentive to sell their staked RAM to unlock memory for whatever it is you need.
  4. Adding users will drive the prices (supply and demand)
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#272

  1. What would happen if a dapp runs out of RAM?
    Some operations will not be carried out.

  2. What was the change between Dawn 3.0 and Dawn 4.0 in terms of the RAM market?
    A market maker style system, using Bancor algorithm was the change to Dawn 4.0.

  3. What are the benefits or having a market based model for RAM staking?
    Prevents hoarding, to allow RAM to be freed up and used.

  4. What are the drawbacks of having a market based model for RAM staking?
    RAM will be more expensive.

1 Like
#273
  1. some operations would be unable to be executed and smart contracts won’t be able to be deployed
  2. under Dawn 3.0 token holders can only sell RAM for the price they paid, but under Dawn 4.0 the algorithm is now a market-based model (where devs can buy RAM today, in anticipation of RAM shortage tomorrow).
  3. Dawn 4.0 eliminates the possibility of token hoarding that was a potential possibility under Dawn 3.0. So a market based model would eliminate that hoarding and “illiquidity” in the network
  4. RAM will get more and more expensive as more dApp developers join the network
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#274
  1. If a dapp runs out of RAM, the dapp will stop running.
  2. Dawn 4 prices the value of RAM based on the open market. Under Dawn 3, you could only sell RAM for what you payed for it.
  3. Market based prices for RAM create an incentive for users to sell RAM once prices go higher. This frees up RAM for dapps that need the RAM more.
  4. Market based prices can also bring manipulation. This can cause massive fluctuations in RAM prices and create a chaotic environment.
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#275

1.What would happen if a dapp runs out of RAM?
Some operations would be unable to be carried out and smart contracts wouldn’t be deployed.

2.What was the change between Dawn 3.0 and Dawn 4.0 in terms of the RAM market?
Under the Dawn 3.0 system contract, token holders could only sell RAM for the price they initially paid.

3.What are the benefits or having a market based model for RAM staking?
With the market-driven Dawn 4.0 model, there are incentives to un-stake EOS tokens when the RAM resources are no longer needed: staking fees are avoided and capital gains can be made in the event of a rising EOS token price as selling price is no longer fixed.

Consequently, RAM resources become available for future allocation to more needed developers.

4.What are the drawbacks of having a market based model for RAM staking?
EOS token price could be down at the time of un-staking.

As more dApp developers join, requiring more data to be stored for a long time, more RAM is extracted out of the market, thus making it more expensive.

Speculators pushing unused RAM high (making it expensive for dApp developers to buy the needed resources they need), which can deteriorate the ecosystem.

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#276

  1. Some operations are unable to carry out and smart contracts cannot be deployed.

  2. EOS switched to a market-based allocation approach using the Bancor algorithm from Dawn 4.0.

  3. Avoid the potential price volatility, and in exchange get access to RAM resources of the system proportional to their staking tokens.

  4. As more dApp developers join, more RAM used is extracted out of the market, making RAM more and more expensive. Inflation

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#277

  1. If a dApp runs out of RAM it will not be able to complete operations.

  2. Dawn 4.0 changed the model from a fixed prices for RAM to a market driven price.

  3. As a benefit people are incentivized to unstake unused RAM to make capital gains, without the market model they could just sit on the RAM.

  4. A drawback is that people can purposefully speculate on the cost of RAM and hold it order to get more EOS back than was originally used to purchase the RAM.

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#278
  1. What would happen if a dapp runs out of RAM?

Answer: some operations are unable to carry out and smart contracts cannot be deployed.

  1. What was the change between Dawn 3.0 and Dawn 4.0 in terms of the RAM market?

Answer: can only sell RAM for the price paid; switched to a market-based allocation approach using the Bancor algorithm from Dawn 4.0.

  1. What are the benefits of having a market based model for RAM staking?

Answer: With the market-driven model, Peter can receive capital gain from un-staking his RAM, and therefore willing to free the resources.

  1. What are the drawbacks of having a market based model for RAM staking?

Answer: RAM more and more expensive; There is large amount of RAM, due to the speculation or other reasons, are unused, causing a waste of RAM

1 Like
#279

What would happen if a dapp runs out of RAM?
EOS operations will be unable to carry out and smart contracts will fail.
2. What was the change between Dawn 3.0 and Dawn 4.0 in terms of the RAM market?
Under Dawn 3.0 token holders can only sell RAM for the price they paid. With Dawn 4.0 RAM uses a market-based approach using the Bancor algorithm to allocate the RAM.
3. What are the benefits of having a market based model for RAM staking?
Developers get paid for un-staking their RAM.
4. What are the drawbacks of having a market based model for RAM staking?
RAM could be expensive as more Dapp developers join. Supply/Demand balance.

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#280
  1. When RAM is insufficient for a dApp, some operations are unable to carry out and smart contracts cannot be deployed.
  2. Under the Dawn 3.0 system contract, token holders can only sell RAM for the price they paid, just as the other resources. EOS switched to a market-based allocation approach using the Bancor algorithm from Dawn 4.0.
  3. Fair pricing and and efficient ressources
  4. Speculation,
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#281
  1. What would happen if a dapp runs out of RAM?
    => Some operations are unable to execute, so smart contracts cannot be deployed
  2. What was the change between Dawn 3.0 and Dawn 4.0 in terms of the RAM market?
    => In 3.0 the token holders can only sell RAM for the price they paid, like the other resources.
    In 4.0 is based on a market-based allocation approach.
  3. What are the benefits or having a market based model for RAM staking?
    => The incentive to un-stake / free RAM when no longer used: it can give capital gain.
  4. What are the drawbacks of having a market based model for RAM staking?
    => When more developers join, thus more RAM is needed, this is extracted out of the market and its price increases.
1 Like