Block.one ICO damages ‘far beyond’ $22M, ENF founder says
The latest legal action against Block.one (B1), the creator and original seller of EOS (EOS), could potentially help plaintiffs get higher compensation, according to EOS Network Foundation (ENF) founder and CEO Yves La Rose.
On July 25, La Rose officially announced that ENF is preparing a lawsuit against Block.one for its failure to follow through on its $1-billion following its $4.1-billion raise in 2018.
The CEO argued that Block.one’s broken promises to invest $1 billion caused major issues for the EOS community and promised to hold the firm accountable.
As many investors have already been part of another class action against Block.one, a number of those might need to opt out of their current lawsuits, La Rose said.
“They would do that if they aren’t satisfied with the current settlement offer and believe their interests are better suited by opting out, which is a common practice,” the ENF founder told Cointelegraph.
La Rose added that opting out of an old class lawsuit could result in “obtaining a higher payout,” but it could also result in receiving nothing.
“There are no guarantees, which is why this is a personal choice they need to make,” the ENF founder noted, reiterating that the firm recommends any person consult their own legal counsel to determine which path is best for them.
La Rose also emphasized that the amount of settlement in the current class action might not be enough for those who were affected. He stated:
“Not everyone is covered in the current class, and so this new contemplated action also widens the pool of potential participants. Also, the measly $22 million that Block.one offered is pathetic. The damages caused on a $4-billion raise are far beyond what is being offered in reparations.”
Block.one’s EOS initial coin offering (ICO) became one of the largest crowdfunding raises in history, raising as much as $4.1 billion by June 2018 and outstripping Telegram’s $1.7 billion ICO.
By the end of its year-long crowdsale, EOS was trading at around $12, or around 44% down from its peak price recorded in April 2018. The cryptocurrency then experienced a couple of ups and downs, eventually plummeting all the way down below $1. At the time of writing, EOS is trading at $0.74, down roughly 30% over the past year.
Related: Sam Bankman-Fried to have campaign donation charge dropped: Prosecutors
Despite a massive decline, EOS is still one of the biggest cryptocurrencies by market capitalization, which amounts to $827 million at the time of writing. That makes the EOS cryptocurrency the 54th largest coin by market value, according to CoinGecko.
In 2019, Block.one agreed to pay a $24-million civil fine to settle with the United States Securities and Exchange Commission over charges that it held an unregistered ICO. A few months later, disgruntled investors started a class-action lawsuit against Block.one, arguing that the firm deceived tokenholders about its financial history, operations and budget, as well as executive compensation, material trends, risk factors and others.
Collect this article as an NFT to preserve this moment in history and show your support for independent journalism in the crypto space.
Magazine: Magazine: Tokenizing music royalties as NFTs could help the next Taylor Swift
Vitalik Buterin has opposed the EU’s proposed Chat Control law, warning it undermines digital privacy and creates surveillance backdoors.
Mike Novogratz said “of course” Bitcoin could reach $200,000 if the Federal Reserve adopts a highly dovish stance following a leadership change.
Sir Keir Starmer has said the next election will be an “open fight” between Labour and Reform UK.
The prime minister, speaking at a conference alongside the leaders of Canada, Australia and Iceland, said the UK is “at a crossroads”.
“There’s a battle for the soul of this country, now, as to what sort of country do we want to be?” he said.
“Because that toxic divide, that decline with Reform, it’s built on a sense of grievance.”
It is the first time Sir Keir has explicitly said the next election would be a straight fight between his party and Reform – and comes the day before the Labour conference begins.
Just hours before, after Sky News revealed Nigel Farage is on course to replace him, as a seat-by-seat YouGov poll found an election held tomorrow would result in a hung parliament, with Reform winning 311 seats – just 15 short of the 326 needed to win overall.
Once the Speaker, whose seat is unopposed, and Sinn Fein MPs, who do not sit in parliament, are accounted for, no other party would be able to secure more MPs, so Reform would lead the government.
Please use Chrome browser for a more accessible video player
YouGov: Farage set to be next PM
Sir Keir said there is a “right-wing proposition” the UK has not had before, as it has been decades of either a Labour or Tory government, “pitched usually pretty much on the centrepiece of politics, the centre ground of politics”.
The PM said Reform and its leader, Mr Farage, provide a “very different proposition” of “patriotic national renewal” under Labour and a “toxic divide”.
He described his Labour government of being “capable of expressing who and what we are as a country accurately and in a way where people feel they’re valued and they belong, and that we can actually move forward together”.
Sir Keir referenced a march down Whitehall two weeks ago, organised by Tommy Robinson, as having “sent shivers through the spines of many communities well away from London”.
Elon Musk appeared via videolink at the rally and said “violence is coming to you”, prompting accusations of inciting violence.
Read more:
Starmer reveals digital ID plan
Davey warns Farage wants to turn Britain into ‘Trump’s America’
The PM said Reform presents a ‘toxic divide
The prime minister said the choice for voters at the next election, set to be in 2029, “is not going to be the traditional Labour versus Conservative”.
“It’s why I’ve said the Conservative Party is dead,” he added.
“Centre-right parties in many European countries have withered on the vine and the same is happening in this country.”
Reacting to Sir Keir’s comments, a Reform UK spokesman said: “For decades, the British people have been betrayed by both Labour and the Conservatives.
“People have voted election after election for lower taxes and controlled immigration, instead, both parties have done the opposite.
“The public are now waking up to the fact Starmer is just continuing the Tory legacy of high taxes and mass immigration.”
-
Sports3 years ago‘Storybook stuff’: Inside the night Bryce Harper sent the Phillies to the World Series
-
Sports1 year agoStory injured on diving stop, exits Red Sox game
-
Sports2 years agoGame 1 of WS least-watched in recorded history
-
Sports3 years agoButton battles heat exhaustion in NASCAR debut
-
Sports3 years agoMLB Rank 2023: Ranking baseball’s top 100 players
-
Sports4 years ago
Team Europe easily wins 4th straight Laver Cup
-
Environment2 years agoJapan and South Korea have a lot at stake in a free and open South China Sea
-
Environment12 months agoHere are the best electric bikes you can buy at every price level in October 2024