Eos Network Foundation Urges the Public to Reject the $22 Million Settlement With Block.one

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Last Updated on August 9, 2023 by Bitfinsider

EOS community members are being urged to reject the $22 million settlement offered by Block.one by the EOS Network Foundation (ENF), the group that represents the EOS community. This agreement relates to a class action lawsuit that Block.one and former EOS investors Chase Williams and William Zhang are now involved in.

ENF alleged that Block.one’s suggested settlement sum was too low, that it vastly undervalues what is owed to the EOS community and should be.

Block.one’s initial coin offering (ICO) from 2017 to 2018 raised an astounding $4 billion for the development of the EOS blockchain, which is when it first attracted notice. The ENF stated that it had promised to reinvest $1 billion into the EOS network ecosystem. According to the foundation, this commitment is still substantially unfulfilled.

The $22 million settlement sum is “a tiny fraction of the $4 billion that Block.one raised from the community in its ICO sale and the $1 billion that Block.one promised to invest in the EOS Network and community, but did not do,” according to the ENF.

The consequences of accepting the $22 million settlement were emphasised by ENF. Participants in the settlement are entitled to a $22 million payout in exchange for waiving all future claims they may have against Block.one and its founders, the statement added.

The foundation also cautioned that accepting these terms would prevent members of the community from bringing further lawsuits or looking for a more appropriate resolution in the future.

The statement read, “The ENF urges community members to opt out of the settlement which will send a strong message to Block.one and to the court that the settlement is entirely inadequate and does not adequately compensate community members for the losses they suffered at Block.one’s hands.”

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