Which means there is no ICO. They are airdropping everipedia’s IQ tokens to the EOS distribution list instead. All of them. And this sets a precedent: it was announced they are the first but definitely not the only dapp who does this on EOS.
Okay, cool. But, like, many of you, I was up late refreshing blockfolio with simian paws and grunting “When Apple?” “When Moon?”
Took a little while to sink in. And I think a lot of people don’t understand just what happened. EOS just debuted a completely new and innovative economic model that goes beyond the crowdsourcing of ICOs on ethereum. And unlike ethereum, this model ensures that the value added by ICOs on top of EOS is not tangential, but will rather accrue directly to the EOS token holders.
How does this work? Basically, new EOS tokens are released every day during the ongoing token distribution sale. This is economically similar to mining (like PoW with bitcoin and ethereum), except we just contribute to a smart contract and get our EOS tokens. This means that no whale can buy up all the EOS tokens, since any attempt to buy them all up will result in rising prices. This year-long process has essentially lead to the GOAT of all distributions: a fair distribution full of highly-motivated and tech-savvy individuals who are likely to secure the chain via good voting when it goes live. It has also generated above a billion dollars in revenue for B1.
Basically, what was announced is that B1 will take that money from “mining” and act like a VC for the EOS ecosystem. The standard route for EOS projects will be to not launch their own ICOs, but will rather receive funding directly via B1’s EOS VC fund (say, 50 million), and then airdrop their tokens directly in a 1 to 1 manner to EOS holders.
Just be clear, this means that if you are the 2000th largest holder for EOS tokens, you will be the 2000th largest holder for IQ tokens, and then X, Y, and Z tokens as well. This is like if ETH holders received not some piddling amount of OMG as a marketing move, but literally consumed the entire value of the OMG chain. EOS holders will not just indirectly benefit from their chain being successful, but will directly benefit from it via a linear summation of wealth. Holding EOS tokens now means the value is of every EOS token is [EOS + IQ + X + Y …] for every project airdropped this way, which it is now looking like will be a significant amount.
Wait, but how can this EOS VC fund get any return for their billions of dollars of funding projects? B1’s not a non-profit. How are the incentives aligned? They’re always aligned! B1 holds 10% of all EOS tokens, and will be airdropped 10% of each project! The circle is complete!
We’ve never seen a distribution so primed to absorb wealth. This may be the greatest long-term investment of all time.