EOS RAM Allocation - Reading Assignment

Blockchain Business Course
#342
  1. What would happen if a dapp runs out of RAM?

Certain operations wouldn’t be able to execute and the SC could not be deployed.

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

The maximum receivable EOS when selling RAM is the amount users initially bought for i.e. the price is capped at the value of the initial trade. RAM can therefore not be traded with a profit motive.

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

Disincentivising hodling RAM for trading purposes i.e. with a profit rather than utility motive.

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

Speculator demand will make RAM more expensive for genuine developers. This effect is also amplified as more developers reduce the circulating supply of RAM by requiring RAM, especially for longer projects.

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#343
  1. What would happen if a dapp runs out of RAM?
    SMart contracts couldn’t be deployed.
  2. What was the change between Dawn 3.0 and Dawn 4.0 in terms of the RAM market?
    A fixed price to a variable/speculative price.
  3. What are the benefits or having a market based model for RAM staking?
    Because if the price goes down, the users will not want to sell, meaning that there will be people not using the RAM but blocking other to use it. Because of that the quality of EOS would be a bad network. To avoid that we settle a fixed price meaning you sell when you don’t need it anymore.
  4. What are the drawbacks of having a market based model for RAM staking?
    The RAM price could be speculative. Which makes the network very vulnerable.
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#344

  1. What would happen if a dapp runs out of RAM?
    It means the dapp would not be able to execute.

  2. What was the change between Dawn 3.0 and Dawn 4.0 in terms of the RAM market?
    Changed the market from fixed price to market driven pricing of RAM.

  3. What are the benefits or having a market based model for RAM staking?
    Makes the allocation of RAM more efficient by providing incentive for people to release RAM they are not using.

  4. What are the drawbacks of having a market based model for RAM staking?
    Speculators can drive up the price of RAM, making costly for developers to use.

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#345
  1. Some operations are unable to be carried out and smart contracts cannot be deployed
  2. Dawn 3.0 Token holders could sell their RAM for the price the paid while Dawn 4.0 Ram can be sold at the current market price meaning you could profit or lose
  3. There is an incentive for holders to sell when the price is high
  4. If the value is dropping it would be less likely that holders will sell RAM they have staked
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#346

1.They would be unable to keep up with fulfilling contracts within their ecosystem

2.token holders can only sell RAM for the price they paid, just as the other resources

3.disincentivize hoarding and speculation, thus not spamming and causing the rate of RAM to increase and become scarce

4.That there arent enough Dapps or developers utilizing what currently available. Its waste of unallocated RAM

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#347
  1. the dapp stops working.
  2. token holders can only sell RAM for the price they paid.
  3. disincentivize hoarding and speculation, wont be able gain by just buying and selling ram alone, you always get what you paid.
  4. speculation, manipulation, where funds go collected through trading fees may need to be looked at or continuously burn EOS tokens from the RAM contract to balance inflation.
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#348
  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?
    Dawn 3.0 was not market driven, while Dawn 4.0 is. The exchange rate between EOS and RAM was pegged (fixed) in Dawn 3.0, giving no exchange risk. While in Dawn 4.0, the exchange rate is not fixed, making the staking of EOS for RAM market-driven.
  3. What are the benefits or having a market based model for RAM staking?
    Inefficient allocation of RAM is avoided by incentivizing un-staking of RAM.
  4. What are the drawbacks of having a market based model for RAM staking?
    As EOS grows in dApp development, RAM becomes more expensive for new developers.
    Increase in RAM price causes further irrational speculation that hypes the RAM price and allocation waste
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#349

What would happen if a dapp runs out of RAM?
When RAM is insufficient for a dApp, some operations are unable to carry out and smart contracts cannot be deployed.

What was the change between Dawn 3.0 and Dawn 4.0 in terms of the RAM market?
Dawn 3.0 tied the sales price of RAM to the original purchase price & Dawn 4.0 has moved to a market price.

What are the benefits or having a market based model for RAM staking?
Better resource efficiency.

What are the drawbacks of having a market based model for RAM staking?
Can get expensive as more demand comes online.

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#350
  1. Then it will be unable to execute its program fully.
  2. In Dawn 3.0 users could only sell their tokens for the same price as they paid. In 4.0 it takes a market based allocation allowing the user to sell their stake for the current market value.
  3. It creates incentive for developers who aren’t using their staked RAM to sell it to others who need it.
  4. It brings in speculators who could drive the price of RAM up thorough buying and hoarding it.
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#351

  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. With the market-driven model, you can receive capital gain from un-staking your RAM, and therefore you are more willing to free the resources rather than hoarding them.

  4. The drawbacks are the participants in the mark that can be wildly speculative.

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#352

1. What would happen if a dapp runs out of RAM?
Operations can not be executed 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?
A switch to a market based allocation approach rather than the price paid approach

3. What are the benefits or having a market based model for RAM staking?
It should provide more balance over time in terms of supply and demand of RAM allocation

4. What are the drawbacks of having a market based model for RAM staking?
Speculation hinders development by increasing the costs of RAM for intended use cases

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#353

  1. What would hapen if a dapp runs out of RAM?
    Some operations would not be executed and smart contracts would not be fulfilled.

  2. What was the change between Dawn 3.0 and Dawn 4.0 in terms of the RAM market?
    They switche from a price paid Protocol to a market Based Protocol

  3. What are the benefits or having a market based model for RAM staking?
    It would force to sell their staked RAM to free the Memory to other projects,

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

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#354

An app will not be able to function.

Dawn 4.0 switched to using the Bancor algorithm which is a market-based allocation approach. This basically means a node can un-stake their token at it’s current market value as opposed to the price they bought it at.

There is the possibility of making profit by unstaking EOS.

RAM will be more expensive as Dapps and users increase.
People will get RAM and not use it which is wasteful for developers who need it more and have to pay a more expensive price to get some.

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#355

1. What would happen if a dapp runs out of RAM?
A: Some operations would be unable to execute which means the smart contract would be able to deploy.
2. What was the change between Dawn 3.0 and Dawn 4.0 in terms of the RAM market?
A: In Dawn 3, the token holder could only sell for the price they paid whereas in D4 the token sale became market based.
3. What are the benefits or having a market based model for RAM staking?
A: A token holder can make a capital gain from unstaking their RAM, which makes them willing to free the resources.
4. What are the drawbacks of having a market based model for RAM staking?
A: Speculators can enter and drive the prices above what developers can pay, resulting in a deterioration in the EOS ecosystem.

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#356
  1. What would happen if a dapp runs out of RAM?
  • Dapps/smart contracts cannot operate, and more RAM space is required
  1. What was the change between Dawn 3.0 and Dawn 4.0 in terms of the RAM market?
  • previously toke holders could sell the RAM, but in Dawn 4.0 the market based allocation will determine the price for RAM
  1. What are the benefits or having a market based model for RAM staking?
  • more balanced pricing
  • better incentive to free staked RAM
  1. What are the drawbacks of having a market based model for RAM staking?
  • basic law of market demand, in high demand the prices can be highly expensive
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#357

1- Dapp will stop running
2- Dawn 4 allows the value of EOS staked for RAM to float to the market rate
3- With the market-driven model, there is an incentive to un-stake the RAM, and therefore freeing resources
4- The drawbacks of a market-based model for RAM staking include speculation and the more dApp’s that are implemented more RAM is required, making the price higher

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#358

  1. What would happen if a dapp runs out of RAM?
    When RAM is insufficient for a dApp, 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?
    EOS switched to a market-based allocation approach from the previous version which was a pegged exchange rate

  3. What are the benefits or having a market based model for RAM staking?
    With the market-driven model, someone can receive capital gain from un-staking his RAM, and therefore be willing to free the resources.

  4. What are the drawbacks of having a market based model for RAM staking?
    As more dApp developers join, and more data needed to be stored for a long time, more RAM used is extracted out of the market, making RAM more and more expensive.
    also
    The speculators’ irrational behavior on RAM will push RAM high, making it expensive for dApp developers to buy the resources they need, and thus deteriorating the ecosystem. There is large amount of RAM, due to the speculation or other reasons, are unused, causing a waste of RAM resources.

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#359

  1. It’s not running proper and will not carry out some operations or deploy smart contracts.

  2. Dawn 3,0 has a fixed price and Dawn 4,0 has a market price.

  3. Through incentive to capitalise when you un stake EOS to free up RAM. prices

  4. More dapps (less free RAM) will push prices up.

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#360
  1. It will stop running i think.
  2. They changed to be more of a “market economy” using the Bancor algorithm from Dawn 4.0
  3. fair pricing and more effective resource utilization.
  4. It can be almost like the stock market in case of speculation and manipulation, and it is hard to predict when it is the human mind the controls the market, greed can come in to play.
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#361
  1. What would happen if a dapp runs out of RAM?
    When RAM is insufficient for a dApp, 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?
    Dawn 4.0. 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. What are the benefits or having a market based model for RAM staking?
    The benefits of a market based model for RAM staking is fair pricing and more
    More balanced pricing and reducing hoarding of RAM allocation.
  4. What are the drawbacks of having a market based model for RAM staking?
    Speculation hinders development by increasing the costs of RAM for intended use cases.
1 Like