Block.one May be Facing a $4.1B Lawsuit From the EOS Community

EOS was created by Block.one in 2018, with a lot of controversy floating around it after its release. Initially, the platform offered users to purchase of EOS tokens which were sold for over $4 billion.

After the release of the EOS Network and the initial coin offerings, it never managed to take off. Just years later, the project stagnated, and the price of the EOS coins slumped hard, with some people that participated in the project saying that multiple developers left the network as it wasn’t going any further.

Did you know?

Want to get smarter & wealthier with crypto?

Subscribe - We publish new crypto explainer videos every week!

What is Staking Crypto? (Rewards & Risks Explained SIMPLY)

SUBSCRIBE

ON YOUTUBE

In 2019, Block.one had to pay a $24M penalty to the SEC due to the number of unregistered tokens that were sold for $4B. Funnily enough, the creators got to keep the rest of the funds without any obligations to the community.

Meanwhile, the EOS Network Foundation, or the EOS Community, feels betrayed, and now seeks to make their initial investments back.

The founder of the EOS Network Foundation Yves La Rose announced that his team will be taking the creators of EOS to court, hoping to retrieve $4.1B in damages.

Likewise, the foundation announced a blog post, stating that a law firm from Canada will "investigate Block.one’s past actions and promises vis-à-vis the EOS community and EOS investors to determine what legal avenues are available to seek redress."

Aaron S., Editor-In-Chief

Having completed a Master’s degree in Economics, Politics, and Cultures of the East Asia region, Aaron has written scientific papers analyzing the differences between Western and Collective forms of capitalism in the post-World War II era.
With close to a decade of experience in the FinTech industry, Aaron understands all of the biggest issues and struggles that crypto enthusiasts face. He’s a passionate analyst who is concerned with data-driven and fact-based content, as well as that which speaks to both Web3 natives and industry newcomers.
Aaron is the go-to person for everything and anything related to digital currencies. With a huge passion for blockchain & Web3 education, Aaron strives to transform the space as we know it, and make it more approachable to complete beginners.
Aaron has been quoted by multiple established outlets, and is a published author himself. Even during his free time, he enjoys researching the market trends, and looking for the next supernova.

Full Bio

All Expert Contributors & Analysts