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With its legal issues presumably behind it, Block.one may be able to focus on creating a substantial impression in the crypto and blockchain world.
After recently resolving a class action lawsuit, EOSIO creator Block.one claims it is focused on its crypto business objective.
In a blog post published on Friday, the blockchain software firm announced a settlement agreement with a group of investors led by the Crypto Assets Opportunity Fund related to the 2018 EOS initial coin offering.
If the settlement is granted by the court, Block.one would pay $27.5 million, which is comparable to the amount paid to the US Securities and Exchange Commission in October 2019.
The EOS ICO, which raised over $4 billion, has been the source of considerable controversy, with claims that tokens were sold to US investors. Some participants also claimed that Block.one misled investors by making false and deceptive representations.
Commenting on the settlement, Block.one stated:
“Block.one believes this lawsuit was without merit and filled with numerous inaccuracies. However, accepting this settlement allows us to focus more time and energy on running our business and delivering new products.”
Indeed, the business recently announced intentions to establish Bullish Global, a technology subsidiary aimed at bridging the traditional and digital asset worlds. Block.one has funded $10 billion to build a tech subsidiary with intentions to develop a hybrid cryptocurrency trading platform, as previously reported by Cointelegraph.
Major investors like as Galaxy Digital’s Mike Novogratz and serial investor Peter Thiel have backed Block.one’s newest initiative. Hedge fund managers such as Louis Bacon and Alan Howard also helped Bullish Global raise $300 million.
Such is the scope of Block.
one’s move to this new business, the business reportedly dumped its Bitcoin (BTC) assets — around 164,000 BTC worth at $9 billion at the time — into the new firm The EOSIO creator also contributed another $100 million in cash and 20 million EOS tokens.