EOS - The biggest ICO ever...? Or the greatest Blockchain Scam ever?

I've just read an interesting article by Thijs Maas (founder of "Law and Blockchain")

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Before going into the article itself, let me share my opinion:

I've invested in a few ICOs, and quick enough, one of the lessons I've learned was that any project asking for over $50 Million without a good enough reason to do so... have high chances of becoming a bad investment.

After all, we are dealing with Software Development. ICOs are nothing more than a mechanism to raise money to develop a Software Project.

Now, if you set up a team and raise 50 Million or $100 million upfront, what's your incentive to carry on? Why spend any more time and resources, when each member of the team can already leave with something like $5 or $10 Million, without doing anything else?

This is exactly what scared me away from ever investing in EOS.

These guys haven't collected $50 Million... nor $100 Million, nor even $500 Million.
No! In fact, this ICO gathered over $4.000 Million!!!

4 Billion Dollars ... for a software project!? What the f...?
This value is completely obscene. Pornographic, even.

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Anyway, moving along... there are other dubious things that made me ignore EOS as an investment, and this article explains them well.

Here are the main questions raised by Thijs Maas and with whom I fully agree. As promising as it might sound, EOS might also be the scariest ICO ever.

1) Is it really Decentralized?

Through a simple trade-off: EOS decreases its decentralization for an increase in scalability.

Decentralization is one of the main characteristics of a good cryptocurrency. Simply said, decentralization provides for censorship resistance.

The idea behind EOS is that the processes of storing the blockchain, the ‘block propagation’ and the execution of smart contract code should be handled by only 21 parties, called Block Propagators (BPs).

So, is 21 BP’s enough to be decentralized?

2) Are transactions truly free?

While EOS boasts about its free transactions, we are left to wonder: if this was possible, why do other crypto’s not provide it?

So sure, I don’t have to pay a transaction fee when I send money. However, these fees are just hidden as they are accounted for in the BPs rewards.

Instead of calling transactions free, it would be more accurate to say that my transaction fees are imposed on everyone who owns any EOS, in the form of inflation.

3) Increasing the Supply of the Coin?

EOS BPs have voted to launch the network today! It should be live at 13:00 UTC.

The latest development is a decision of the BP’s to issue new EOS tokens, which is apparently for the RAM needed to create the accounts.

This is absolutely hilarious, as it is a perfect illustration of what’s wrong with EOS.

No cryptocurrency community in its right mind would change the total supply of tokens. After all, a fixed/predictable max supply of tokens is the one thing that gives a crypto value.

Indeed, it seems that the first decision by EOS’ BPs ever might just set a precedent to break this fundamental rule. This is just comedic gold.

These are just the main 3 points that I don't trust about EOS. There are more Red Flags in the article, though... so please read the whole article here: Everything they don’t want you to know about EOS.

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Please don't get me wrong, I'm not doubting the project... it might turn out to be a really good one. Only time will tell.

The perspective I share here is purely based on what I feel about EOS as an investment opportunity. And nothing more.

What about you? As an investment, do you trust this ICO? If so, what do you think they need $4 Billion for?

The only reason I see for EOS to raise this kind of money, is if they want to buy every other competitor out there... and make sure they fail. I don't see any other reason to raise this absurd amount of money.