An External Owned Account (EOA) refers to a type of account in blockchain systems that is controlled by a user through a private key. Unlike smart contracts, which operate automatically based on coded logic, an EOA’s control center is the private key held by the individual.The transactions made from an EOA require the owner’s signature using their private key. This ensures that only the account holder can initiate transactions, providing security and ownership over the funds. EOAs can hold cryptocurrency and interact with smart contracts or other accounts.In terms of functionality, EOAs are crucial for everyday users who wish to send, receive, or store cryptocurrencies. When someone creates a wallet, they effectively create an EOA, granting them the ability to manage their digital assets directly. The simplicity and direct control offered by EOAs make them an essential part of the cryptocurrency ecosystem.