- EOS has jumped by nearly 50 percent following an announcement that Block.one is investing $10B in a new crypto exchange.
- Galaxy Digital CEO Mike Novogratz also participated in the funding round supporting a bullish outlook for the project.
Although the EOS community has been fussing about little development around the project, the company behind the blockchain project has come out with an announcement that has lifted the spirits. Block.one, the company behind EOSIO blockchain and the EOS token has announced it is forming a new crypto exchange- Bullish Global. To ensure it pulls in buyers and sellers, the software company is supplying 164,000 BTC, 20 million EOS, and $100 million in cash, while also raising $300 million in strategic funding. In total, this is roughly a $10B funding. Block.one aims to create an exchange that offers the best from the centralized and decentralized world.
Centralization will bring compliance, efficiency, and robust development. This will be introduced to features offered through decentralization such as DeFi. Additionally, blockchain technology will offer validations as well as a provable and immutable audit trail of all transactions.
Block.one Chief Executive Officer Brendan Blumer stated:
The exchange is deemed to offer institutions and individuals better and safer access to the latest cryptocurrency investment strategies,
Some of Block.one’s investors including billionaires Peter Thiel and Alan Howard are backing the new exchange. Mike Novogratz has also backed the new subsidiary. Novogratz has in particular been bullish on the strategic integration of the blockchain and the sheer size of the liquidity offered which makes it among the most competitive platforms. He stated;
Bullish’s sheer size and scale combined with Block.one’s experience in high-performance blockchain engineering will make Bullish a formidable player from day one.
In the wake of the announcement, EOS has surged by as much as 50 percent. At the time of press, the token is exchanging for a little over $13. Following the surge, EOS has climbed to reach a top 20 rank in the market after flipping the likes of SHIB and Ethereum Classic which have enjoyed their own success in recent weeks. For EOS investors, now it’s a matter of sustaining these profits by holding higher supports.
In recent months, Block.one’s EOSIO has struggled to attract developers which has led to the ecosystem seeing a decline in its overall health. In fact according to a report from Electric Capital, in the third quarter of 2020, developer interest had declined by as much as 45 percent, with only 107 developers remaining. This was a big letdown after EOS was lauded as an Ethereum killer and accumulated at least $4 billion in its year-long ICO. With the new launch, it is tipped to attract new developers and investors alike.