Sell The News: EOS Falls By 7% After Block.one’s June 1st Announcement

Block.one’s June 1st (B1June) live stream has just been unveiled, and EOS is dumping. In a classic case of “buy the rumor, sell the news”, the crypto asset has fallen by 6.5% since the event occurred. This shouldn’t exactly be surprising, as the cryptocurrency rallied by 40% in the past week in anticipation of a massive announcement set to revolutionize the blockchain world.

EOS Dumps After Block.one Keynote

Earlier today, we reported that Block.one, the company behind EOS’ development and subsequent public sale, intended to launch a blockchain-based social media platform. In the keynote that was published just an hour ago, this was revealed to be true. Brendan Blumer, the chief executive of Block.one, opined:

“You just can’t read a house when the foundation is crumbling. Social media was created to use its users. Right now, it’s the companies, not the users that reap the rewards. They auction our data to the highest bidder and flood our feeds with hidden agendas… We’re leveraging the EOS blockchain to create a social media platform that is more aligned with the world… The value of good content gets circulated to sustain the community.”

Launching shortly into beta, Voice will be a “truly self-sustaining” social media economy where both the platform itself and the users benefit. There will be no data collection, nor wanton advertisement targeting. To do this, Block.one is launching the fittingly-named Voice Token, which can only be created by interacting in the social ecosystem. The EOS-based crypto asset will allow users to “make their voice heard”, giving holders the opportunity to signal boost their messages and media.

Related Reading: Bloomberg: Block.one’s Launching an EOS-Based Crypto Social Network

What was also announced was that Block.one has collaborated with Coinbase to bring EOS to Earn, giving users in over 19 countries the ability to collect $10 worth of the cryptocurrency by watching videos and consuming educational content. And, Dan Larimer, the chief technology officer of Block.one, also unveiled EOS VM, a new protocol that will allow for processes on the blockchain to purportedly be 12 times faster than it was just one year ago.

Many have already begun to express their distaste in regards to the announcements (or lack thereof), taking to Twitter. Prominent entrepreneur Justin Wu, for instance, noted that what was unveiled was “underwhelming”, hence why the value of EOS has dropped so rapidly.

Others have been skeptical of the blockchain-enabled social media concept itself. Crypto trader and commentator Loomdart jokes that Block.one is effectively rebuilding Steemit, a crypto blogging and content sharing network, on EOS.

The funny thing is, Larimer is one of the minds behind Steemit, not setting the best precedent for Voice. Of course, Voice is not meant to be Steemit, but some are rightfully wary of crypto-enabled social networks.

As Delphi Digital’s Tom Shaughnessy further explains, “Block.one is at it again looking to tack on a use case for EOS which is already perfectly addressed by Twitter.” But there’s a kicker, the data on Voice will all be susceptible to the whims of EOS’ block producers, according to Shaughnessy anyway.

Featured Image from Shutterstock. Charts Courtesy of TradingView.com