EOS.IO Could It be a Hoax Scam token?
After reading the EOS TOKEN PURCHASE AGREEMENT I totally get the feeling like this is a huge scam.
Specifically the parts about the tokens having no use or value. US citizens they may be protecting you from this scam token while at the same time building up a huge demand which will come from the US FOMO(fear of missing out). Also the fact that they become non-transferable after the distribution period seems like you would be holding a bag of useless worthless tokens that could not even be transferred. What are the consequences of a US person falling for this plot and saying that they are not US? Does anybody think this is not a scam?
Some concerning aspects from the EOS TOKEN PURCHASE AGREEMENT
Last Updated: June 22, 2017:
NO U.S. PURCHASERS: EOS Tokens are not being offered or distributed to U.S. persons (as defined below). If you are citizen, resident of, or a person located or domiciled in, the United States of America including its states, territories or the District of Columbia or any entity, including, without limitation, any corporation or partnership created or organized in or under the laws of the United States of America, any state or territory thereof or the District of Columbia (a “U.S. person”) do not purchase or attempt to purchase EOS
NOT A PURCHASE OF EOS PLATFORM TOKENS. EOS Tokens purchased under this Agreement are not tokens on the EOS Platform. Buyer acknowledges, understands and agrees that Buyer should not expect and there is no guarantee or representation made by Company that Buyer will receive any other product, service, rights, attributes, functionalities, features or assets of any kind whatsoever, including, without limitation, any cryptographic tokens or digital assets now or in the future whether through receipt, exchange, conversion, redemption or otherwise.
7.1. No Rights, Functionality or Features. EOS Tokens have no rights, uses, purpose, attributes, functionalities or features, express or implied. EOS Tokens do not entitle holders to participate on the EOS Platform, even if the EOS Platform is launched and the EOS.IO Software’s development is finished and the EOS.IO Software is adopted and implemented.
PURCHASE OF EOS TOKENS ARE NON-REFUNDABLE AND PURCHASES CANNOT BE CANCELLED. BUYER MAY LOSE ALL AMOUNTS PAID.
EOS TOKENS MAY HAVE NO VALUE.
7.9. EOS Tokens Will Become Non-Transferable. Buyer acknowledges and understands that EOS Tokens will become non-transferrable within forty-eight (48) hours after the end of the EOS Distribution Period. At this time, Buyer will no longer be able to map a public key to Buyer’s account and Buyer will not be able to transfer EOS Tokens on the Ethereum blockchain. Some cryptocurrency exchanges may on their own accord enable EOS Tokens to continue trading, but the exchanges will be unable to accept new deposits or authorize withdrawals of EOS Tokens.
@cmh you did some good work presenting this. The EOS address is Grand Cayman traditonally a irs safe haven. This could be a case of insider trading where a few select have the scoop, it could be simply just avoiding us laws, or it could be a more sinister plot to take advantage of people who dont read. Either way, the statements make it even more of a gamble to buy in than an ico already is. Really if a us resident buys in, they are breaking some international trade laws I would imagine. If it were not that serious, they wouldnt waste their legal money warning us persons to stay away.
Very serious is how I would take the warnings. Could be gambling with your freedom otherwise. Im not a lawyer, but I would say one would need one for this ico.
i also wonder what is the use of EOS tokens???
@steemtest ikr. up there in 7.1 its written, there is no functionality. when I read this post along with the research I did it kinda sounds like they are asking for investment money with no return whatsoever. wouldnt surprise me if it were true. I dont see any wealth here. I see a company offering services to corporations (block.one). That being said, I sure will be mad if people sneak in and get filthy rich haha. But seriously, there are tons of ICOs - I got into one called 21 Million it looks like such a cool opportunity but no one knows about it!
https://steemit.com/ico/@live2love/21million-initial-token-offering-to-fund-hard-hitting-tv-series
Honestly after reading the agreement it is a bit of a mystery to me what they are for if they are not EOS platform tokens. I suspect much of this is legal protections to the extreme. Most likely the tokens are to provide funding for them to build out their platform and that is it. After the platform is built they leave etherium to compete and issue their own platform tokens on their platform. This is all just speculation and conjecture based my interpretation.
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im with you on this = check out the comments on this post..
https://steemit.com/eos/@live2love/eos-ico-wtf
Did they provide a reason as to why U.S. citizens cannot participate?
See faq
thanx
Logistical challenges due to differing state regulations seems to be a bit of a cop-out/laziness for a game changing decentralized platform. It has not stopped very many other ICO's from the US participation that I know of.
Couldn't they have just written into the agreement that US Residents need to comply with their local regulations and it falls on those people to comply with whatever laws they are subject to?
Yeah I would think so.
So you can buy it, and trade it around for other crypto, but never withdraw it. That seems ok.
I think non-transferable means you could not trade it around for other crypto 48 hours after the distribution period ends:
"At this time, Buyer will no longer be able to map a public key to Buyer’s account and Buyer will not be able to transfer EOS Tokens on the Ethereum blockchain."
Or I could be totally off here but not sure how else to interpret this.
These are terms and conditions you should mention when starting such a large ICO and wanna be on the safe side. Theres nothing that sounds like a hoax or scam.
If these tokens turn out to be profitable and the platform will work - well, thats another story. IMO the process of the ICO to provide a fair distribution is fair and transparent. In my case the purchase and activation of the keys worked just fine.
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