Block.one CEO announces billion dollar EOS project

Brendan Blumer, CEO of Block.one, recently announced that EOS will use $1 billion of their unprecedented token sale proceeds to fund different EOS projects. Over the past year, the decentralized app raised over $400 million using a Dutch style auction token sale. The app works on a decentralized basis and also functions as a smart contracts platform. The app has received criticism for generating too much capital using questionable means. According to Blumer, EOS has been in conversation with several collaborators for quite some time now, including partners who were also migrating from Ethereum. No date has been announced yet for the allocation of capital; many have speculated that it is likely to be after the token sale has concluded in July 2018.

Blumer has not released an official announcement but instead took to Telegram this past weekend to confirm that EOS is the most well-funded project in history. He also stated that EOS will soon announce a program which will allocate $1 billion to fund EOS projects.

EOS is a new strain of blockchain technology which utilizes Delegated Proof of Stake (DPOS), whereas blockchain traditionally uses proof-of-work chains. EOS has been aggressive in targeting the Ethereum market. In addition, EOS’s CTO, Dan Larimer, has been in a long-standing intellectual feud with the Ethereum’s inventor, Vitalik Buterin.

EOS has also received criticism for the non-traditional method in which they generated funds. They made 1 billion tokens available in a year-long ICO which is set to end in July 2018. All proceeds from the sale go directly towards Block.one, which is currently registered as a company in the Cayman Islands.

The novel structure received criticism from speculators, investors, spectators, and experts alike. Since EOS has no live operating blockchain, their terms of sale also explicitly warna prospective investors that the tokens are worthless. The Block.one team, including Blumer himself, often had to fight off suspicion and doubt by constantly assuring investors and token holders.

On Telegram, Blumer stated that the $1 billion for the proposed EOS-based projects would come from Block.one, partners, top VC’s, as well as other parties which have not yet been disclosed.

So far EOS has claimed its superiority, as compared to other blockchain technologies, especially when compared to Ethereum. The DPOS design boasted a higher performance when compared to traditional blockchain of up to 100,000 transactions per second, whereas Ethereum only managed 30 transactions per second. Blumer also revealed that several prominent companies were currently looking into implement EOS and are considering making the switch from Ethereum to EOS.