F2Pool, One Of World’s Largest Ethereum Miners, Purchases $3.1 Million USD worth of EOS Tokens. Update: Now owns 500K EOS or $7.31 MM USD worth.

in #eos6 years ago (edited)

Edit: Here is the TX ID link https://etherscan.io/tx/0x92c4045bfda9ff2e44ea2b91e213b14b8e06854e5d527f57655b8e393fdc428d

Update: F2Pool has increased their holdings to 500,000 EOS or $7.31 Million at the time of this update on 1/28/18.

https://etherscan.io/address/0x61c808d82a3ac53231750dadc13c777b59310bd9

On 21 January 2018 during the 214th EOS ICO period, F2Pool, the Bitcoin and Ethereum mining pool which accounts for ~25% (https://etherscan.io/stat/miner?range=7&blocktype=blocks) of the Ethereum network’s hash power, purchased just under 215,000 EOS at $18.0889 per token bringing their total EOS holdings to 227,077 or $3.13 million at current EOS market value of $13.77 each. Their contribution helped make this round the second most expensive ever (#2 @ 41.17 per ETH). At time of writing, they are the 257th largest EOS holder in the world.

Remarkably, F2pool caused a spike in the early part of the 214th contribution period, as seen here:
Picture1.png

This has gone against the prevailing strategy of “wait and see” that the market usually takes with the EOS ICO. The vast majority of contributors will wait until the final minutes to attempt to obtain tokens under or at the market value. It did not play out that way this time as F2Pool contributed a whopping 10.7% percent of the entire rounds worth of Ether.
We’re happy to have F2Pool aboard. We believe that EOS will be the dominant distributed network that will be capable of decentralizing the internet, a truly massive and revolutionary undertaking. To have such an established mining pool such as F2Pool commit over $3,000,000 in exchange for future EOS tokens shouldn’t be understated. It means that the incumbents are starting to take notice.

F2Pool’s mining operations are spread across BTC, LTC, ETH, ETC, ZEX, SC, DASH, and XMR. Are they looking to add EOS to that list? Here at EOS New York we’ve been wondering what their motivation is. Could they be looking to stake those tokens to vote themselves as a Block Producer once the main network launches? They certainly have the capability to add value to the network but would EOS token holders support F2Pool and vote them in as a Block Producer? The scope of a Block Producer’s responsibilities are far wider than simply running servers. A Block Producer not only needs to run a high-performance low latency network, but also needs to be active in the community, continuously add value to the network, and ensure responsiveness with network constituents. F2Pool certainly knows the hardware side of things, but will their hardware expertise translate well into the markedly different governance dynamics on the EOS network?

Then again, F2Pool could see EOS as a good investment and believe in the tokens ability to rise in value. However, there are also still over 240 Ether addresses that hold more tokens than F2Pool. It will be interesting to see if other large mining pools begin to dip their toe, or as F2Pool has done, dive headfirst into what will be a game-changing network.

Welcome F2Pool to the EOS community!


EOS New York is the preeminent Block Producer candidate for the EOS blockchain network on the eastern seaboard of the United States. Founded by Rick Schlesinger and Kevin Rose, it aims to ensure the successful launch of the EOS network, educate users, and execute a plan to continuously add value to the network.

To keep up to date on our meetups, developments, and the communications we keep with Block.One, follow us on our social media accounts @eosnewyork

Our first meetup will be on February 8th. We are coordinating with a special guest for a possible second meetup within February due to high demand.

https://www.eosnewyork.io/
https://twitter.com/eosnewyork
https://medium.com/@eosnewyork
https://steemit.com/@eosnewyork
https://www.meetup.com/EOS-New-York/

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Eos is the future! People are talking about ripple or ethereum overtaking bitcoin buy just wait till eos goes properly live this summer!

The plot thickens.

Can't wait for the Meetup in a few weeks. I think established miners might not be our ideal BPs, but their involvement should add some competition and legitimacy to the EOS token.

Can't wait to have you!

I doubt F2Pool bought those tokens for speculative purposes. They are in the mining business not the gambling business. I can say with a fair degree of confidence that they are going to stand for election as a block producer. They know the future of crypto is in PoS not PoW and they want to establish themselves as dPoS block producers.

We're leaning that way too. It'll be interesting to see how the incumbent mining pools of established networks make their foray into EOS. There's certainly opportunity but will token holders accept them? I guess we shall see.

I think they will be accepted. They obviously know what they are doing and have been doing it for a long time. Running a block producing node is a different ballgame than running bitcoin miners but they are well respected and I wouldn't be surprised to see them elected as a BP. If the EOS blockchain takes off like I think it will I know they have the capital and the know how to scale up their operations quickly.

At current prices there will $400M - $500M in block rewards up for grabs too. That may be a big incentive. If the mkt cap hits $100B there could be $5B up for grabs here. That is not small money = good incentives

Yes and divide that by only 21 block producers and we're talking 10's to 100's of millions of dollars of revenue. That won't go unnoticed by large companies. Excpect competition to be a block producer to be fierce.

F2Pool has been enjoying a very lucrative profit model in their current industry, it'll be interesting to see whether their clout can buy them more leeway from voters when it comes to taking profit vs. reinvesting in the ecosystem. BP politics are exciting and fascinating on many levels.

BTW is @eosnewyork planning on being a BP? I'd really like to see some EOS community members get elected as BPs.

Yes, we are currently developing our plan to present to the community. We wanted to start off with an intro to EOS New York post but this was too interesting to not share. Stay tuned!

This is some wicked news! Thanks a lot for sharing it with us here on Steemit, namaste :)

I am very glad to hear such news about the EOS. EOS should announce a partnership in the near future. I already wrote about this and on Twitter here. If interested, you can see. https://steemit.com/cryptocurrency/@coinbizpro/will-the-growth-of-eos
this is not spam

Interesting post.

MAN this is interesting. The EOS ship is picking up some serious knots.

Amazing post, just followed, Follow me back and upvote my posts as well. Hope we can be good friends.

Wish I were going to be in NY for the meetup. Just means we have to have one in LA eventually :)

] Nice post beautiful presented and explained. detail oriented with nice information. thank you for sharing

Happy to share!

Detail oriented with good information .. Thanks for sharing ....

How can I contact you on discord?

We spend our time mostly on Telegram at the moment as there is so much activity there. We are @eosnewyork.

damn this is so high ...

I have my Stack.

thats more exciting news!