The EOS Network Foundation Has Announced Intentions Of Suing Block.one For $4.1 Billion

Yves La Rose, the EOS Network Foundation&39s (ENF) founder and "community-elected CEO," disclosed that preparations are being made for a legal "war" against EOS founders Block.one in a new chapter of the EOS community against creators conflict.

As per La Rose, they are considering legal action "to claim $4.1 billion in damages." Presently, the EOS leader stated that a Canadian law firm is assisting them in determining what legal action they may take against the original EOS creators.

Immense dissatisfaction

According to the Foundation, many members of the EOS community are extremely unsatisfied with Block.one. Block.one has apparently not lived up to its word about previous pledges, and as a result, both the community as well as individual EOS users have suffered greatly.

In 2021, the Foundation revealed that it had entered into discussions with Block.one in order to remedy the situation. Both parties engaged in conversations in an attempt to reach a fair resolution to the difficulties, however, Block.one reportedly withdrew from the talks. Due to this, the EOS block producers decided to freeze the vesting for future EOS token revenues for Block.one.

From bad to worse

Block.one staged an ICO (Initial Coin Offering) of EOS tokens a few years ago in 2018, selling 900 million tokens for over $4 billion, making it the largest ICO held at the time. Additionally, Block.one was fined $24 million by the SEC in 2019 for selling $4 billion in unregistered tokens. Surprisingly, the inventors got to retain the remainder of the sum with no commitments to the community. Having said all that, many people have nonetheless been dissatisfied with the company&39s subsequent path as of late.

Moreover, La Rose described EOS as &39a failure&39 a few months ago. He stated that it is a bad financial and time investment, citing the market capitalization and the drop in value. He also claimed that the community had lost important developers and had switched its focus away from blockchain development and toward asset management instead.

Ultimately, time will tell what shall become of the whole situation and to what extent the damages will be paid for.