April 17, 2024

EOS Network Foundation Seeks $4.1B In Damages From Parent Firm

Two dissenting cliques on the EOS network are set for war in what could be the biggest legal disputes in crypto history. The EOS network foundation (ENF) and its parent company (Block.one) are set for a legal dispute over unfulfilled promises to the EOS ecosystem.

The Cause Of The Disagreement 

The foundation’s primary objective was to facilitate the growth and development of the network, either financially or non-financially. The foundation and Block.one (the parent company) have been at loggerheads for many months, with the Yves La Rose-led foundation alleging that Block.one hasn’t fulfilled any of the promises to the EOS community and has even abandoned the network.

Thus, La Rose feels the best solution is for both groups to settle the matter legally. While tweeting regarding the matter, La Rose said he believes that Block.one should be held responsible for their actions, and legal redress is the best option from now on.

 

The Public Spat Degenerates Further

While Block.one and the ENF have been locked in several public disagreements over the past few months, La Rose claimed that he had made all efforts to resolve the issue without legal actions. But his efforts have so far been futile.

Part of the blog post the ENF CEO shared about the matter states that the foundation “tried various means for both Block.one and the ENF to find common ground that will move the network forward successfully. We scheduled meetings on various dates in November and December 2021 with proper notices sent to Block.one. However, our parent company failed to cooperate with us.”

Hence, we have no choice but to resolve the matter legally. La Rose further said, “Block.one was not ready to shift ground at all concerning their demands. Thus, the network’s block miners opined that an excellent short-term solution was held on to the Block.one’s entitled EOS tokens.”

According to La Rose, “we have already hired the services of a top Canadian law firm to determine legal means through which the foundation can be compensated. The law firm will determine this by going through the terms of the agreement between Block.one and the ENF.”

ENF plans to litigate its parent company for $4.1B, the amount generated from its ICO – a record amount that still stands today. As of this writing, EOS trades at $2.57, a decline of 3.95% in the last 24 hours, and has an overall evaluation of $2.6B. The crisis has pushed EOS out of the top ten rankings but ranks 48th among other cryptos today.

EOS Launches Pomelo Grants Season 2

Despite seeking legal redress with its parent company, the EOS network is going ahead with the launch of its pomelo grants for the second season. The grant is a program (of the ENF and its partners) that provides financial aid to projects that can improve the ecosystem.

The program utilizes a quadratic funding method to fund such projects equitably. It will start early next and will last till the third week of next month.

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