Just days ago, EOS had finally collected the voting numbers required to successfully activate its mainnet. After raising $4 billion over the previous 12 months, everything looked set for EOS to take on Bitcoin and Ethereum at the top of the crypto world. 48 hours later, the mainnet froze, its blockchain halted, and rumors abound that the $4 billion has largely gone. Can anything else go wrong?
EOS’ Weekend of Woe
Over the weekend, EOS’ mainnet crashed just 48 hours after its activation. Its blockchain ground to a halt, and for a few hours there was general panic with anyone connected to EOS. It was subsequently revealed that a bug in the software has caused the mainnet to pause at 9:56 UTC on Saturday (June 17).
By 10:57 UTC, standby block producers had turned off their nodes and backed up blockchain data ensuring no network history would be lost. The whole drama was encapsulated on the tweet below:
At 09:56 UTC (1 hour ago) we had an alert with transactions frozen on the EOS network globally. All the BPs are aware. We are all on a call with the other BPs to identify and resolve this issue. No timelines yet. #eosio #mainnet
— EOS Authority (@EOSauthority) June 16, 2018
By 13:02 UTC, developers had identified the problem. An update posted on the EOS Mainnet Updates Telegram channel indicated that Block.one – the company which created EOS – was developing a software patch to eradicate the issue:
“Root cause was due to how deferred transactions were handled. Fix is being released shortly by BlockOne.”
EOS Account: Is There Only $162 Million Left From $4 billion?
While the bug that froze the EOS mainnet has been eradicated, BlockOne may have another far bigger and more embarrassing issue to contend with.
It’s well known that on June1 EOS announced the completion of its year-long ICO which had raised a reported $4 billion, the largest ICO ever recorded. EOS was assessed to have a market cap value of $9.4 billion, making it the fifth most valuable cryptocurrency in the world.
A rumor now circulating claims that several EOS officials subsequently took advantage of their positions in the company, withdrew 250,000 worth of EOS tokens from the EOS-Owner account, and then, using intermediate accounts, entered the tokens into the Bitfinex exchange and sold them. The bottom line is now there is just $162 million left in the EOS-Owner account which until recently held $4 billion. Is the story true or false, and if true, can EOS afford to admit what has happened?
Right now the whole EOS story is looking more like a car-crash every day, and it’s probably going to get worse before it gets better, if it ever does. In the meantime, crypto-watchers await with baited breath the next episode of the “soap-opera” known as EOS!