SEC Fined EOS Creators $24 Million

As you remember, Block.one is the creator of EOS project, which raised more than $4.1 billion during the ICO and, thus, showed the best result in the history of cryptocurrency market. Moreover, this company sold 900 million of it`s own tokens in 12 months, and this is without having a working product.

SEC representatives clarified, the sale of EOS tokens began after the publication of the report, related to DAO case, in which it was noted that lots of digital coins fall under the definition of securities, that's why it is important to register them in SEC, before selling. However, Block.one ignored this requirement. Thus, agency representatives blame the creators of this ICO that they did not notify investors properly.

Block.one representatives have officially announced that these accusations exclusively relate to the tokens, which were issued on Ethereum blockchain, although nowadays EOS project operates within its own blockchain.

As you remember, earlier we wrote that SEC fined ICORating $268 thousand.