[2018-06-21] No one should have that power - Charlie Shrem slams EOS fund freeze

[bbc.reporter]

Has Dan Larimer spoken on the fund freeze issue or is his silence on the matter a sign that users should trust the Block Producers?

I reckon maybe he doesn't care. He founded 3 blockchain platforms in the cryptospace and dumped the coins of the first 2 after he left them. Will we see him dump the 3rd one? EOS made $4 billion in ETH, according to some news articles.



Its ‘constitution’ has also been an item of heavy scrutiny, as most of the articles are somewhat ambiguous and lack definition. One puzzling article in particular states that any account holding EOS that remains inactive for a period of three years is subject to forfeiture and can, as a result, be auctioned off, with the proceeds divided up between remaining members.

EOS’s most recent debacle involves the freezing of seven accounts which are suspected of carrying stolen funds. This decision is questionable as it was made by the block producers irrespective of the refusal of action by the EOS Core Arbitration Forum (ECAF).

The ECAF — the body in charge of arbitrating disputes of this nature, refused to take action against the suspected accounts citing lack of authority with only an interim ‘constitution’ in place.

A Twitter user that argued the case for the block producers decision was retorted by Bitcoin Foundation vice chairman Charlie Shrem who asserted that no one should have the power in the crypto space for “protecting” and “punishing” and doing so is simply a “waste of everyone’s time.”

Read in full http://bitcoinist.com/charlie-shrem-slams-eos-freeze/

[TraderTimm]

We warned people, but they didn't listen.

EOS is a centralized shitcoin with a capital "S". "Block Producers" are a cabal of trusted nodes -- the exact antithesis of how Bitcoin operates.

They also have made fundamental scaling errors in their design -- https://hackernoon.com/the-ethereum-blockchain-size-has-exceeded-1tb-and-yes-its-an-issue-2b650b5f4f62

This doesn't just affect EOS, but ETH and BCH too. Again, if you trade these for a quick flip -- go right ahead, just remember that the longevity of these coins will be severely limited.

[bbc.reporter]

@TraderTimm. There were 27 more accounts that were freezed by the block producers but this time under the orders of the EOS Core Arbitration Forum.

EOS is given billions of dollars by the community but the project is not for the community. Good scam Dan.

Read the article https://www.coindesk.com/eos-blockchain-arbitrator-orders-freeze-of-27-accounts/

[bbc.reporter]

News update.

Dan Larimer is already proposing to scrap the platform's constitution and create another one. This is very amazing. They were funded with $4 billion and they are already failing in not more than 1 month in operation.

https://www.coindesk.com/block-one-wants-rewrite-entire-eos-constitution/

[TraderTimm]

Larimer is the same fool that co-founded Steemit, and by extension the Steem token.

Steemit is currently experiencing a slow-motion implosion because its Proof-of-Stake (delegated) structure incentivizes rampant cheating and copyright abuse to game the reward pool.

I don't even think he's active in the day-to-day operations of that platform anymore, either.

This guy just churns out shit-tokens, then steps back and takes his cut.

[hatshepsut93]

We warned people, but they didn't listen.

EOS is a centralized shitcoin with a capital "S". "Block Producers" are a cabal of trusted nodes -- the exact antithesis of how Bitcoin operates.

I hope that when EOS will crash and burn, it will also drag all the other shitcoins like XRP, IOTA, Cardano and tons of other coins that popped up in the last few years. This is the result of crypto community not learning the science behind cryptocurrency protocols and being blinded by greed. Decentralization and security were always the main values of Bitcoin, but today people just don't understand how important and fragile they are, and they'll have to learn it the hard way when their portfolios full of altcoins will become worthless.

[richardsNY]

I hope that when EOS will crash and burn, it will also drag all the other shitcoins like XRP, IOTA, Cardano and tons of other coins that popped up in the last few years.

It won't, unfortunately. What we see happen is that people jump from coin to coin based on profitability and volatility. If EOS ends up crashing hard, people will start to take positions in other coins. That's how this market has always worked. I actually hope that EOS manages to launch and experience some level of success. Not because I like that coin, but purely to see what effect EOS's rising market has on Ethereum. If we know that Ethereum can get kicked off its position, we know that its first mover advantage is meaningless.... Deep down I like to see Ethereum fall more than EOS. Let the battle of the centralized titans begin!

[hatshepsut93]

I hope that when EOS will crash and burn, it will also drag all the other shitcoins like XRP, IOTA, Cardano and tons of other coins that popped up in the last few years.

It won't, unfortunately. What we see happen is that people jump from coin to coin based on profitability and volatility. If EOS ends up crashing hard, people will start to take positions in other coins. That's how this market has always worked. I actually hope that EOS manages to launch and experience some level of success. Not because I like that coin, but purely to see what effect EOS's rising market has on Ethereum. If we know that Ethereum can get kicked off its position, we know that its first mover advantage is meaningless.... Deep down I like to see Ethereum fall more than EOS. Let the battle of the centralized titans begin!

It will most likely be just like you say, but maybe there's some chance that the fall of EOS will finally trigger the burst of altcoin bubble, when investors will see all these "4 billions" vanish, they might really start doubting all the other coins, since in their core they are all so similar - a small, centralized group of powerful nodes that allows bigger capacity than an average computer of Bitcoin user. Ethereum might turn into this model too, since it's already a huge pain in the ass to operate a node as it consumes too much system resources.

[Rahar02]

It should be a basic thing to be known by everyone who wants to invest in EOS, that block producers have the power to freeze your accounts. EOS is not decentralized nor you have immutability to possess this coin.
On the other hand, not everyone feels it's something excessive as the freeze accounts possibly involved in scam act and the EOS block producers are within their rights to protect their investors and community by taking action against those who violate the ‘constitution’.. Moreover, if someone who has one of those freeze accounts didn't do something shady can lodge an application to review their account.

[gentlemand]

News update.

Dan Larimer is already proposing to scrap the platform's constitution and create another one. This is very amazing. They were funded with $4 billion and they are already failing in not more than 1 month in operation.

https://www.coindesk.com/block-one-wants-rewrite-entire-eos-constitution/

Well, to be fair they have described the entire thing as an experiment. Nobody said it had to be a good experiment. And perhaps the real experiment is how to turn several billions dollars into medium rare nothingburger.

[bbc.reporter]

Larimer is the same fool that co-founded Steemit, and by extension the Steem token.

Steemit is currently experiencing a slow-motion implosion because its Proof-of-Stake (delegated) structure incentivizes rampant cheating and copyright abuse to game the reward pool.

I don't even think he's active in the day-to-day operations of that platform anymore, either.

This guy just churns out shit-tokens, then steps back and takes his cut.

I reckon he already sold all his Steem tokens. But before that he also left Bitshares and sold all his BTS. EOS holders might be his next victims hehe.

Also, there was an article that said the EOS controlled wallets only contain 100,000 ETH in total. It was said that most of the 4 billion in ETH they hold are already in an exchange, might be Bitfinex.

[wavessurfing]

https://www.theblockcrypto.com/post/65615/class-action-lawsuit-filed-against-block-one-over-allegations-about-its-eos-initial-coin-offering

[hv_]

https://www.theblockcrypto.com/post/65615/class-action-lawsuit-filed-against-block-one-over-allegations-about-its-eos-initial-coin-offering

Big (central) whales always make money by cheating average joes - so better to regulate that crap, for a reason

Some minimal rules are here to have better society - but sure, better control the rules and the 'makers',

that can be done best, by transparent open blockchain - like Bitcoin


Bitcoin was designed as a perfect open (not by gov or other central guys designed / governed)  accounting ledger, for a reason


But sure, it needs to be embedded into existing rules, or it never gets bootstrapped