Block.one settled a class-action lawsuit filed by the Crypto Assets Opportunity Fund [CAOF] associated with the company’s recording-setting $4 Bln token sale earlier in 2018.
The court-approved $27.5 Mln settlement closes the lawsuit, Block.one revealed earlier on Friday. Block.one called the suit “without merit” within an official web-blog post but outlined that the settlement would permit it “to focus longer and energy on running our business.”
Block.one earlier settled with the United States SEC [Securities and Exchange Commission] for $24 Mln over the alleged unregistered securities sale.
Block.one raised the whopping sum at the height of the cryptocurrency market’s last Bull run to create the software that powers the EOS [-3.48%] blockchain.
The CAOF argued that Block.one had purposefully misled investors and artificially inflated its eos token price within its yearlong ICO [Initial Coin Offering], which completed in 2018.
The ICO sold approximately 1 Bln tokens with 90% to ICO participants and therefore the remainder to Block.one team member.