RE: Are you a US Citizen Excited About the Upcoming EOS Token Distribution? I Have Some Terrible News For You.

[gnimeets]

I'm reading the white paper atm, can you explain this paragraph?

"Not for Speculation. Buyer acknowledges and agrees that Buyer is not purchasing EOS
Tokens for purposes of investment, speculation, as some type of arbitrage strategy, for
immediate resale or other financial purposes."

I'm not clear on what value the tokens hold. Such wording is common throughout.

Comments

[ccampbell]

From the technical whitepaper:

The EOS.IO software allows each account to consume a percentage of the available capacity proportional to the amount of tokens held in a 3-day staking contract. For example, if a blockchain based on the EOS.IO software is launched and if an account holds 1% of the total tokens distributable pursuant to that blockchain, then that account has the potential to utilize 1% of the state storage capacity.

So basically if you build an application, you get allocated x% of bandwidth, storage, and CPU power based on how many of the total EOS tokens you own.

Also in the technical whitepaper:

If a blockchain is launched using the EOS.IO software and tokens are held by a holder who may not have an immediate need to consume all or part of the available bandwidth, such holder can choose to give or rent the unconsumed bandwidth to others

So it sounds like they are including the part you mentioned to explain that that is not the purpose of the tokens

[gnimeets]

Thanks for taking the time to reply.

I can visualize some kind of value from that. Yet I still worry about the references that the EOS tokens are not redeemable for any future tokens created on the network.

Will the tokens created from the ICO be the backing currency on the platform like ETH or will they be transferable by the end of the 365 day ICO?

I ask because it states that tokens will be destroyed 2 days after ico ends and wil not be redeemable after for any other tokens