Confident in the Future: EOS Developers Attempt 10% Buyback Ahead of Major Announcement

The tokens can be staked for using network resources: As per the project's white paper, DApp developers can build their product on the top of the EOS.io protocol and make use of the servers, bandwidth and computational power of EOS itself, as those resources are distributed equally among EOS cryptocurrency holders.

"We continue to work closely with Block.one as a key partner across a number of our business lines, including the Galaxy EOS VC Fund, which invests in companies building on the EOS.IO protocol, and remain excited about the EOS.IO protocol," the Galaxy Digital CEO said.

The new buyback as well as the "Few outward signs of progress since the sale of EOS tokens," as Bloomberg puts it, raise the question: What is Block.

"Basically, Block.one raised a massive fortune with the EOS ICO, and most of it just sat there," Mark D'Aria, founder and CEO of Bitpro Cryptocurrency Consulting, told Cointelegraph.

One couldn't have chosen to buy EOS tokens instead, because the company cannot own more than 10% of the total supply, which it has already maxed out.

Around the same time, blockchain-testing company Whiteblock published the results of "The first independent benchmark testing of the EOS software." The investigation came to several conclusions about EOS, the most bold of which was that "EOS is not a blockchain, rather a distributed homogeneous database management system, a clear distinction in that their transactions are not cryptographically validated."

Further, in October 2018, allegations arose accusing the platform's major Block Producers - entities that essentially get to "Mine" the EOS blockchain after being elected - of "Mutual voting" and "Collusion," suggesting that the entire model of governance might be corrupt.

"Yes, EOS is unequivocally more centralized than Bitcoin or Ethereum. Decentralization has a tremendous cost in terms of performance and efficiency, and EOS gets around those limitations by simply being less decentralized. It's not fully centralized, it's just further down the spectrum than ETH. So then the question becomes, 'is EOS decentralized enough'? For a lot of use cases, I do believe it is."

In D'Aria's view, EOS has a high chance of effectively competing with Ethereum as the main platform for DApps, which seems to be Block.

D'Aria opined, "If you asked me whether ETH or EOS would ultimately be more successful 10 years from now, I'd have a really hard time answering that question because they're both legitimate competitors for that space."