Weiss Ratings has downgraded the EOS project rating from B down to C-.
According to the agency, the reason for this decision was the excessive centralization of the project. 100 leading holders of EOS tokens, accounting for 0.01% of the total, control 68% of the vote.
Moreover, neither the CPU computing reserve nor the EOS Resource Exchange (REX) could solve the network pollution issue, which led to the suspension of transactions for most small EOS token holders.
The EOS whales can still simulate the blockchain network user increase. In June, the EOS network was accused of controlling by the bots. Then Weiss Ratings downgraded the EOS rating due to "serious problems" with centralization.
Back in October, EOS developer Dan Larimer proposed that only tokens blocked in a long-term stake contract can be used for voting, which, in his opinion, should improve decentralized network management.
Subscribe to our Telegram channel to stay up to date on the latest crypto and blockchain news.
Access more than 50 of the world's financial markets directly from your EXANTE account – including NASDAQ, London Stock Exchange and Tokyo Stock Exchange.