EOS Closes Largest Ever ICO, Netting Over $4 Billion
Blockchain platform block.one closed the EOS initial coin offering (ICO) on Saturday, June 2, raising over $4 billion and becoming the largest ICO in history.
A report by the Wall Street Journal published May 29 reveals that investors from all over the world have purchased over $4 billion worth of EOS tokens since the ICO was launched on June 17, 2017. Block.one, the company behind EOS, earned over 2 times more than Telegram, which filed two private funding rounds with the US Securities and Exchange Commission in February and March 2018 for a combined total of $1.7 billion.
The highly-anticipated official release of the EOS mainnet, a custom blockchain infrastructure for large-scale decentralized applications, was released on June 2. Developers and EOS token holders are now preparing to migrate EOS tokens from an ERC-20 standard to new EOS wallets.
According to the EOS white paper, the new decentralized operating system aims to compete with the likes of Ethereum by improving the processing speed and flexibility of existing protocols, whilst removing user fees. EOS uses delegated proof-of-stake as a consensus mechanism.
Although Block.one have not revealed exactly how they plan to spend the funds, the company have gone on a massive hiring spree, taking on dozens of developers in Hong Kong and Blacksburg, VA. The company has announced that at least $1 billion will go towards a venture capital fund being launched to encourage third-party developers to build apps on the platform.
A Chinese cybersecurity firm reported allegedly ‘epic’ vulnerabilities in the EOS source code on Tuesday, May 29, which could allow hackers access to transactions’ private keys. The firm claimed to have fixed this in time for the release of their mainnet.
The EOS token traded at around $12 before the release and rose to about $14.50 afterwards. The tokens achieved a peak trading price of over $21 in late April.