Why EOS Accounts Need Resources?

In the EOS wallet account, users mortgage and lend resources to gain access to the EOS network.

1. RAM

RAM refers to the storage of state. The creation of accounts on the EOS chain, bidding for account names, voting for super nodes, etc. all consume the RAM. In theory, the buying and selling of RAM are to mortgage the EOS to the system account, rather than a direct transaction between the buyer and the seller. Buying the RAM or mortgaging the EOS to get the RAM while selling the RAM is to take back the mortgaged EOS to release the RAM.

Why purchase RAM?

A long time ago, the EOS network had a total of 64 GB of RAM, but recently, EOS's RAM expansion program has been passed. Based on the current 64 GB, with each block produced, 1 KB of RAM is increased. In the EOS system, each account needs the RAM to store data. Operations in EOS such as account creation, transfer, purchase, mortgage, resource redemption, voting, etc. can consume RAM. If the RAM runs out, many basic operations will not be possible.

Of course, buying RAM resources consumes the remaining resources while selling RAM resources also consumes a certain amount of resources, and these consumed resources can not be restored. 

2. Network Bandwidth and CPU Bandwidth

EOS sets two resource bandwidths for each account (CPU and NET) to limit the EOS system resources available to the account. All transactions on the EOS blockchain require CPU and NET resources. Without sufficient bandwidth resources, basic features such as EOS network transfers will not be available. Unlike RAM, however, consumed NET and CPU gradually recover within 72 hours.

Now that Huobi Wallet has launched RAM trading, mortgage, CPU redemption, and NET bandwidth features, you can mortgage EOS in exchange for RAM, CPU and NET resources in Huobi Wallet. Of course, you can also lift the mortgage, in exchange for EOS.