In a series of tweets published this week by the official Weiss Crypto Ratings account, the financial ratings firm claimed that while EOS was first to market, rival Cardano has “vastly superior” technology.
The ratings firm later stated that Cardano’s imminent release of its Shelley phase was a turning point for the protocol, which would allow investors to earn passive ADA through staking for the first time in the blockchain’s history.
#Cardano is clearly superior to #EOS. EOS was first to market, but it’s becoming increasingly clear that of the two, Cardano is vastly superior. More details on this in subsequent tweets. #ADA #crypto #cryptocurrency
— Weiss Crypto (@WeissCrypto) November 13, 2019
However, conflicting ratings on the Weiss website contradict the company’s tweets, scoring EOS higher across almost all indicators – leading many to question the motives behind Weiss’ consistent praise for Cardano.
Cardano vs EOS
Weiss has typically held Cardano in high esteem, giving the cryptocurrency a rating of ‘B-’ back in early 2018 at the height of the cryptocurrency bull market, when the financial ratings firm first started to publish ratings for digital assets.
Many were critical of Weiss’ rating at the time, as Cardano was yet to launch more than its value-exchange foundation layer, named ‘Byron’.
However, Weiss has since revised its ratings, giving ADA an overall rating of ‘C’, a risk/reward grade of just ‘E+’, and scoring its reward potential as ‘Very Weak’.
Nevertheless, Cardano is still rated as having ‘Excellent’ technology with a rating of ‘Good’ for its adoption of new innovation in the cryptocurrency space.
In contrast, EOS only scores ‘Good’ for its blockchain technology, with an ‘Excellent’ rating for innovation adoption.
Despite Weiss’ recent tweets, EOS scores higher or equal to ADA in all metrics except for technology, taking home a ‘C+’ grade overall and a risk/reward grade of ‘D-’.
Weiss previously downgraded EOS’ rating in June this year, citing centralisation concerns and commenting that it was up to Cardano to provide a “truly decentralised PoS blockchain”.
What do crypto ratings mean?
Some crypto enthusiasts have criticised Weiss for displaying bias and making ill-founded claims on the fast-moving blockchain industry.
Replying to Weiss’ latest Cardano tweet, one user accused the ratings firm of engaging in “blatant manipulation”, with others speculating that the tweet was a paid advertisement.
As EOS is live with multiple dApps running on its platform, the latest tweets from Weiss do warrant questions over how the ratings agency assesses blockchain protocols.
Disclaimer: The views and opinions expressed by the author should not be considered as financial advice. We do not give advice on financial products.