Report: Block.One Is Spending Billions Of Dollars To “Buy Back More Equity” For Its EOS Blockchain
Block.One Is Allegedly Spending Billions To “Buy Back More Equity”: Report
- A report released by Bloomberg recently claims that some of Block.One's core investors have received gains of up to 6,500% on their holdings.
- Block.One is currently estimated to be worth $2.2 Billion, with the startup currently holding a total of around 140,000 BTC within its coffers.
Block.one — the firm responsible for creating the EOS ecosystem — is currently in the process of facilitating another “equity buyback” so as to rope in more “strategic investors” for itself later down the line.
In this regard, many of our regular readers may remember that the company has previously conducted similar operations so as to “re-sell its shares to new investors” who the firmly believe it can have a more positive impact on the firm's future.
More On The Matter
According to a story published by Bloomberg recently, back in March Block.one's executive brass issued an email to its shareholders stating that over the course of the past year, some of the firm's investors had been able to procure gains of around 6,567 percent (on their Block.one holdings.)
However, the names of the investors who incurred these insane returns were not released by the firm.
In regards to the matter, CEO Brendan Bulmer, was quoted as saying:
“The buyback was designed for seed investors, who had been in for a long time, and it made room for potential future strategic shareholders in a way that didn’t unnecessarily inflate our balance sheet,”
Other Key Data Worth Highlighting
- It appears as though big-name players such as PayPal co-founder Peter Thiel as well as noted investors such as Alan Howard and Louis Bacon have played a role in driving Block.one's latest “buyback” decision.
- As per an inside source who refuses to be named right now, the above mentioned personnel have been serving as “strategic investors” for the firm since July 2018. Not only that, these individuals have also invested in Block.one’s native offerings and have seen their investments grow by an impressive 30 percent.
- While a timeline for Block.one's seed investments is not available online, the above mentioned source claims that the firm's financial origins go “way back” in time.