A Cayman Islands blockchain start-up company has raised $4 billion without a live product. The blockchain start-up named Block.one has achieved a feat that is unprecedented with the figure they raised, eclipsing all but two of the world's initial public offerings this year.
The start-up company Block.one is funding its blockchain platform known as eos.ios via a process called 'initial coin offering'(ICO).
Many have lauded the company and expressed optimism on the founders' reputation for running other well-known blockchain projects, hoping that they can repeat their feat.
Via the initial coin offering, Block.one is offering a cryptocurrency known as eos. As opposed to an IPO, which provides investors with stock ownership in a company, an initial coin offering offers tokens whose use case is based on a pledge that the platform will be beneficial in a digital network once it is created.
The eos system in the words of its founders "will support more efficient operations for decentralized applications than existing platforms like ethereum". eos.ios could bring about greater adoption of cryptocurrency-related technology, if it is successful, according to the advocates of the system.
Block.one still has a lot of things to prove when the product becomes functional in June.
Block.one has set the standard very high for themselves in terms of delivery expectations and they are prepared to not just deliver the coins, but the technology with it.
The eos owners have done a wonderful job in making the technology ahead of its delivery date.
With the amount of capital, Block.one could give the platform a leg up, irrespective of the outcome of the launch. The start-up has stated that it will spend a whooping $1 billion of its bounty to recruit developers with billions more to pay out on building relationships with banks and effectively lobbying regulators.
