The EOS Network Foundation (ENF) has taken legal action against Block.one (B1) for failing to fulfill its $1 billion investment commitments. On July 25, ENF founder and CEO Yves La Rose announced via Twitter that they are preparing to sue B1 for not following through on its financial commitment. This news comes as Block.one is currently working towards settling another class action lawsuit for $22 million after a proposed $27.5 million settlement with lead plaintiff Crypto Assets Opportunity was rejected.
La Rose mentioned that individuals who wish to participate in the ENF’s lawsuit may need to opt out of the ongoing U.S. class action lawsuit against Block.one. He stated that the U.S. lawsuit, which was initiated in 2017, is still in the process of settling. La Rose emphasized that those opting out of the U.S. lawsuit have no guarantee of being able to make any other claim against Block.one or the success of such a claim.
The failure of Block.one to fulfill its commitment to invest in the EOS Network and community has caused significant issues within the EOS community. As the creator and original seller of the EOS token, Block.one’s lack of support has led to dissatisfaction among stakeholders. ENF has been actively working with these stakeholders in order to hold Block.one accountable for its promises.
This recent announcement by ENF CEO comes two months after he initially called for a class action against Block.one. In May 2023, La Rose accused Block.one of breaking its promises to invest $1 billion from EOS’ initial coin offering (ICO) process into EOSIO developers. He stated that although it was widely understood at the time that these investments would be made in the EOS Network, Block.one has provided minimal support to the network’s development.
It is worth noting that Block.one raised $4.1 billion in its ICO in 2018, making it one of the largest crowdfunding rounds at that time. When reached for comment, Block.one did not respond to Cointelegraph’s request. This article will be updated if new information becomes available.
In conclusion, the EOS Network Foundation has initiated legal action against Block.one for failing to honor its $1 billion investment commitments. This lawsuit comes as Block.one is also facing another class action lawsuit and is working towards a settlement. The failure of Block.one to support the EOS Network has prompted the EOS community to take action, with the ENF working closely with stakeholders to hold Block.one accountable.
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