BancorX facilitates the conversion of tokens, within the range of 110 Ethereum assets and those based on the EOS blockchain. Startups commencing their operations on the newly introduced network count in eosBLACK, MEET.ONE, Everipedia, KARMA, Chaince, and Prochain.
BancorX came to pass due to a collaboration of Bancor with LiquidEOS, the producer of blocks for EOS. It utilizes its dedicated BNT token to perform transactions. The BNT currency is currently supported by both blockchains – EOS and Ethereum – bridging the two networks, which allows performing conversions across different chains.
Upon the conversion of Ethereum-based currency into the same based on EOS platform, the altcoins are to be converted into BNT tokens first. Further, this amount of BNT tokens is transferred to the blockchain of EOS, where the second part of the conversion takes place. All of these procedures take place in the background, allowing BancorX to manage the liquidity.
Furthermore, Bancor has made an announcement about the 10 million USD transfer in BNT tokens, made by the company’s Bprotocol Foundation, directly to the protected account on the EOS platform to ensure the original liquidity. According to Bancor, the contribution will also incentivize the development of EOS blockchain and represent the good faith put into the security and original promise of the EOS platform.