ENF Prevails Over From Block.One As It Aims To Revive The EOS Blockchain Network
Ending a four-year-long conflict, the EOS Network Foundation, better known as ENF, has prevailed over EOS Network developer Block.one, the company that developed the blockchain’s software.
After endless speculation and negotiation, the EOS community decided to stop all ongoing and future payments to Block.one. Although arguments between the EOS community-founded ENF and Block.one were already heated, an attempt by Block.one to sell around 45 million EOS tokens to venture capital fund Helios turned out to be the final nail in the coffin.
Directed by community-chosen CEO Yves La Rose, ENF and the entire EOS community were already upset about Block.one’s lack of commitment towards the project ever since its mainnet launch in 2018. Follower numerous meetings, the EOS community decided to cut all ties with Block.one in December 2021.
The Long And Complicated Road To Victory
EOS Network was once billed as the “Ethereum killer,” and its native EOS token ranked as the seventh-largest cryptocurrency by market capitalization. Things had started out so well for EOS that, at one point, crypto enthusiasts opined that EOS actually meant Ethereum On Steroids.
However, within less than a year of its launch, the EOS Network began to falter, ultimately ending up on the sidelines of the ever-evolving blockchain market.
Back in 2018, Block.one launched the EOSIO software (the one that EOS Network runs upon) as an open-source platform. During the period, Block.one raised $4.1 billion from its initial coin offering (ICO) – the largest ICO of all time – releasing 900 million EOS tokens in the process.
And this is when things started going sideways.
Almost a year passed and Block.one hadn’t delivered anything tangible from its extensive list of promises. Developer activity slowed, the network’s user base was shrinking, and early investors were pulling out. On top of it, Block.one’s lead developers, including Dan Larimer, headed for the exit.
The fissures in Block.one’s promises started to become more evident, sparking a tumble in EOS tokens. Meanwhile, several allegations related to vote and wash trading during the ICO started emerging, and regulatory authorities put Block.one in their crosshairs. As days passed, Block.one became noticeably indifferent towards the EOS Network.
Meanwhile, Block.one’s legal woes continued to grow. The United States Securities and Exchanges Commission (SEC) accused the company of raising funds for unregistered security. As a result, Block.one had to eventually settle for a $27.5 million fine.
Then, in 2020, Crypto Assets Opportunity Fund – a crypto investment company – filed a class-action suit against Block.one for what it deemed a failure to deliver on promises made during the 2018 ICO.
Between leaking talent and legal battles, Block.one seemingly abandoned the project, and the EOS Network slowly fell apart.
The EOS community kept hoping that Block.one would allocate some of the funds raised during the ICO towards network development and revival, but that never unfolded.
Finally, in 2021, the EOS community banded together to form the community-owned organization ENF and began working on measures to reestablish control.
While things haven’t been easy, ENF and the EOS community resolved to dismiss Block.one and cut payments worth over $250 million (67 million EOS tokens) that Block.one was scheduled to unlock over the following five years.
Since its launch, ENF, administered by La Rose, has made significant progress in restoring the EOS Network to its former glory.
The recent transfer of 6.5 million EOS tokens to ENF’s official account and the launch of the extensive Blue Paper are among the many initiatives that dictate that the EOS community is finally experiencing development progress.
According to La Rose, “Through multiple first hand statements in their investigation, Wired established that Block.one was intentional in their pursuit of greed. After failing to deliver on multiple promises, the EOS community rejected Theranos / Elizabeth Holmes’ like behavior and established its own path with a set of community driven values at its core. With the EOS Network Foundation now at the helm, we’ve proven ourselves to be capable of executing and are steadfast in our commitment to enhancing our ecosystem and putting the EOS token holders first.”