EOS Network to Rebrand as Vaulta as It Pivots to 'Web3 Banking'

The EOS token, which is up 2% to around $0.52, can be swapped for the new vaulta token beginning in May if the proposal is approved.

EOS, the public blockchain launched in 2018 to take on Ethereum, is to be rebranded as Vaulta as it pivots to “web3 banking.” The EOS token, which is up 2% to around $0.52, can be swapped for the new vaulta token beginning in May if the proposal is approved.

The new token will be listed on the 136 exchanges where EOS currently trades, according to an announcement on Tuesday. A ticker will be announced at a later date along with more technical details, the Vaulta team said.

Vaulta will be built around the blockchain’s existing EOSIO software and integrate with exSat, a so-called “docking layer" that brings smart contracts to Bitcoin. The cross-chain system will feature 1-second transaction finality and C++ and EVM-compatible smart contracts.

Vaulta’s “web3 Banking OS” will provide a suite of institutional-grade financial services through partnerships with projects including Ceffu, Spirit Blockchain and Blockchain Insurance. Spirit Blockchain facilitates fractional ownership of traditionally illiquid real-world assets, like real estate, commodities and private equity while Ceffu provides custody, staking and bitcoin yield strategies.

The Vaulta Banking Advisory Council, a group of financial and blockchain industry experts, will include members from Systemic Trust, Tetra and ATB Financial.

“The time has finally arrived. After years of building the foundations behind the scenes, what began as EOS Network is about to redefine the banking landscape,” Vaulta wrote. “The global appetite for cryptocurrency has surged and public demand for innovative financial products is at an all-time high.”

Once an $18 billion blockchain

This marks the latest chapter for EOS, the storied network created by Block.one co-founders Dan Larimer and Brendan Blumer. EOS was designed to address the scalability and usability issues of earlier blockchains like Ethereum through a novel delegated proof-of-stake (DPoS) consensus mechanism that offers high transaction throughput and lower user fees. Token holders nominate 21 block producers that manage the network.

The project gained significant attention when it was announced, though it largely failed to live up to expectations, especially given Block.one’s massive initial coin offering. Today it stands as the 16th most active smart contract chain. The EOS token sale ran for nearly a year, bringing in $4.1 billion worth of ETH.

The market cap of EOS, which reached a high near $18 billion in 2018, is currently $775 million, according to The Block's EOS price page.

Block.one settled a lawsuit with the U.S. Securities and Exchange Commission in 2019 related to its token sale. The company paid a $24 million civil penalty — a fraction (about 0.58%) of the amount raised from its record-breaking fundraise — and did not admit fault.

In 2021, Block.one’s CEO Blumer, a former game designer who renounced his U.S. citizenship, announced plans for Block.one to focus on new commercial directions, including launching a crypto exchange called Bullish Global, funded by Peter Thiel.