EOS raises $4bn in biggest ever ICO
A year after the launch of its initial coin offering (ICO) EOS, the fifth-largest cryptocurrency by market capitalisation, has raised $4bn, by far more than any previous ICO.
News of the ICO’s success helped power the EOS token to a 15.5% surge on Friday as traders also awaited news of the public launch of the blockchain software that is to drive the further development of the EOS ecosystem.
Indeed, Block.one, the company behind EOS announced the launch of its EOSIO software later on Friday. The company said in a statement: “This software enables businesses to rapidly build and deploy high-performance and high-security blockchain-based applications.”
The launch was announced in spite of suggestions from Qihoo 360, the Chinese cyber-security company, that it had found a bug in the software that could make the network vulnerable to attack.
While EOS tokens have been successfully distributed through the $4bn ICO over the Ethereum network and are being openly traded on exchanges, the blockchain that will enable transactions over its own network has yet to be built.
Block.one also announced on Friday a partnership with financial group SVK Crypto to establish a $50m fund to promote the development of the EOSIO blockchain ecosystem.
Hugh Cochrane, co-founder of SVK Crypto, said: “Block.one has created the world’s most powerful infrastructure for decentralised applications and is the most forward-thinking company driving growth in the blockchain space.
“SVK Crypto is thrilled to partner with Block.one to establish a fund that enables developers to thrive.”
After rising to over $22 in April, the EOS token fell to a cycle low of $10.34 last month. On Friday, it rose back above $15, but was 7% lower on Monday morning at $13.93.
Sitting behind Bitcoin (BTC), Ethereum (ETH), ripple (XRP) and bitcoin cash (BCH), EOS has established itself as the fifth-biggest digital currency with a market capitalisation of around $12.5bn. That’s a long way short of top of the table bitcoin’s cap of $130bn, but EOS has established a firm lead over sixth-placed Litecoin (LTC) whose cap is $7bn.