Block.one Sets $27.5 Million in EOS ICO Class Action

One, the crypto company behind the EOSIO blockchain, has agreed to pay $27.5 million for EOS in a class action lawsuit over its $4 billion ICO. Once the judge decides the cases, Block.one will have to pay the claimants who invested in the ICO. “Block.one believes this case is unfounded and full of inaccuracies. But by accepting this agreement, we can devote more time and energy to running our business and introducing new products.” A class action lawsuit was filed by investors Chase Williams and William Zhang on April 3, 2020. The investors filed the lawsuit against anyone who bought EOS between June 26, 2017 and June 4, 2019. The agreement extended this date until May 18, 2020. Crypto Assets Opportunity Fund (CAOF) and investor Johnny Hong filed a similar lawsuit on May 18, 2020. The court filed a lawsuit against the CAOF, claiming that Block.one had deceived its investors. He joined the lawsuits in August 2020 by appointing him as the lead plaintiff. Selling unregistered securities and artificially inflating the price of EOS Block.one denies these allegations. After a yes in court, the CAOF and Block.one "made a move to avoid registration, costs and risks. He decided to come to an agreement. other lawsuits" Critics reported to the court that a settlement was reached on May 9, according to court records released on June 11. Block.one's SEC settlement in the EOS ICO was "shockingly weak". Block.one in October 2019 filed a lawsuit over its ICO with the SEC of $24 million, which some in the crypto industry consider too low. Settlement money, anyone? Although they put a price tag on the deal, the CAOF and Block.one disagreed over liability and the extent of damage and the amount recoverable. The court must consider possible appeals before deciding the amount to which each claimant is entitled.

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