The battle pitting the EOS Network Foundation (ENF) versus Block.one is headed to court. EOS CEO Yves La Rose has announced today via a Tweet that they will be suing for $4.1 billion. Furthermore, ENF has already hired the services of a top Canadian law firm to prosecute the case. Also, the ENF community has frozen the vesting of the EOS tokens that Block One was to earn.
Negotiations between ENF and Block One have hit a dead end over compensation for EOS Block producers.
The legal battle promises to be epic and will hopefully unravel the mystery surrounding Block One’s handling of the over $4.1 billion raised by EOS through an ICO. The ICO amount is the largest on record, but the deterioration of EOS Network following a takeover by Block One led to gross underperformance. However, following efforts by the ENF community and pressure from the network’s founding members, ENF regained control in January 2022. Since that takeover, EOS has seen the return of its prominent founders, led by Dan Larimer, the network’s original creator.
We are taking further action to hold Block One accountable for its past actions and broken promises against EOS”
EOS CEO, Yves La Rose
The legal battle may yet present a significant distraction for ENF, as it seeks to revamp the EOS Network. However, on the other hand, it signifies the foundation’s commitment to protecting investors from losses. Furthermore, investors will be hoping that the case will unravel why Block One failed to fulfill the promises made regarding the development of the EOS Network.
EOS Network is a blockchain-based platform that supports the hosting of decentralized applications. It supports secure access to and exchange of information between dApps and the internet.
The network launched in 2018, following a successful ICO that raised a record $4.1 billion. The EOS Network Foundation (ENF) currently oversees the running of the network. Block One took control of the network by virtue of being the largest token holder after the ICO. The EOS token is the network’s native token, and it carries governance rights.
After plummeting below $2.00 in January, the EOS token has been on an uptrend since January 24th. It gained 3.4% in the last 24 hours to trade at $2.685. Nonetheless, the token is still significantly below its all-time high of $22.8 set in 2018. The unraveling legal battle between ENF and Block one may significantly impact the token’s price in the coming days.
This post was last modified on Feb 10, 2022, 15:58 GMT 15:58