EOS Crisis Redux: Community Lambasts Foundation for Exit Scam
Original Article Title: "Vaulta Foundation's Downfall: Price Crash, Missing Audit, and Community Trust Collapse"
Original Article Author: MMK (@mmk_btc), Vaulta Community Member
Original Article Editor: Motion Xiaogong, Motion BlockBeats
Editor's Note:
Many are familiar with the high-profile $4.2 billion funding 7 years ago, for what was considered the early "Ethereum Killer" EOS. However, what many do not know is that after BM was ousted from EOS, the parent company Block.one took the previously raised funds and shifted focus to building the IPO trading platform Bullish.
The remaining EOS was taken over by the EOS Network Foundation, led by CEO Yves La Rose, affectionately known as "The Big Beard" by the community due to his thick beard. Subsequently, under The Big Beard's leadership, EOS was rebranded as Vaulta, pivoting towards the Web3 banking business, and the EOS Network Foundation was also renamed as the Vaulta Foundation. However, The Big Beard's sudden resignation has recently sparked community dissatisfaction, leading to accusations of various past actions.
The Vaulta Foundation (formerly EOS Network Foundation) is currently experiencing an unprecedented collapse of trust: burning tens of millions of dollars over four years while the coin price hits new lows; projects failing one after another, with the ledger going from public to discontinued; key management figures resigning "gracefully," yet delaying the handover of authority... This article will uncover the mysteries of Vaulta and tell the tale of a project's demise.
Yves Resignation: Graceful Exit or Behind-the-Scenes Power Play?
On November 12, 2025, Yves La Rose, former CEO of the Vaulta Foundation (formerly EOS Network Foundation, hereinafter referred to as VF), suddenly posted a resignation statement on Platform X, stating that he had informed the network's 21 block producers on October 29 of his voluntary resignation and the election of new representatives through on-chain governance. The statement was dignified in tone, filled with expressions of "gratitude" and "vision." However, to the community's surprise four weeks later, it was discovered that the Vaulta core multisig account was still under Yves' control, with no handover in sight.

Yves's Personal Resignation Statement
Furthermore, after resigning, Yves worked behind the scenes to push Greymass founder Aaron Cox to take over his position. As a result, Aaron was thrust into the spotlight with a massive proposal of 10 million $A (EOS) to continue funding the core development budget. This move sparked widespread community questioning: was this simply a "head swap" to prolong the project, effectively transferring remaining public funds.
Charge One: Lavish Spending, Marketing Expenditure Shrouded in Mystery
Since VF was established in 2021, ecosystem development has not accelerated with time.
On the contrary, what the community has seen is another unsettling trend: the budget has expanded year by year, while the results have diminished year by year.
Under the guise of "ecosystem revitalization," VF launched a market expansion plan in 2022–2023. VF did recruit an excellent marketing team, and they also made efforts in brand operations and international events.
But the key question is—what has all this lavish spending brought?
According to nine disclosed quarterly reports, the sole marketing-related expenses (PR & Marketing) reached: in 2022 Q4, a staggering $1,709,800 for marketing expenditures; in 2023 Q1, another $1,072,887 spent.

In just 6 months, nearly $2.8 million was poured into brand promotion and public relations activities. However, the community only saw: attendance numbers at events, photos, and reports; Twitter follower growth; 2000 days without downtime; EVM performance tests;
These data are not meaningless, but they resemble more of a PR slideshow rather than the actual state of the ecosystem. Developer growth? Lacking. Daily on-chain activities? Undisclosed. TVL? Almost non-existent. Why does the more spent, the lower the community's perception? When all reports only talk about "highlights" and not about "results," transparency naturally slides into opacity.
Charge Two: Instant Money Flow Upon Taking Office, Greymass's $5 Million Budget Controversy Continues
In June 2024, VF allocated $15 million (EOS) to establish the "Middleware Special Fund," with the first batch of $5 million (EOS) being allocated to the Greymass team, and the remaining $10 million currently held in the eosio.mware account.
On-chain data shows: The funds were transferred from the foundation's eosio.mware account to an account newly created by Greymass called uxuiuxuiuxui; subsequently, this wallet made monthly transfers to the http://funds.gm account, with a memo of "Operation + USD/CAD price," resembling a "salary payment"; then, http://funds.gm transferred to http://rewards.gm, finally distributing to several accounts such as jesta, inconsistent, http://apporc.gm, with transfer records annotated with "Reward Payout + USD amount"; most of the salaried accounts swiftly cashed out by transferring to exchanges like krakenkraken or Coinbase post-receipt.

rewards.gm On-chain Transfer Records (Data Source)
Additional Information: The "Middleware" built by Greymass refers to the foundational infrastructure tools that simplify the account creation and interaction processes.
Despite the Greymass team issuing several development updates early in the allocation period, there have been almost no technical accomplishments or periodic summaries released in the past year. Particularly, Greymass's middleware tools still face many technical issues in compatibility and stability and have not been widely adopted by mainstream developers.
The community's focal point of criticism is: Does the $5 million (EOS) allocation involve duplicate salaries, unidentified accounts receiving salaries, or other opaque behaviors? Does the fund disbursement closely coincide with Aaron's assumption of office, raising suspicions of a "self-approval budget"? Does the salary payment structure lack third-party oversight? We do not deny the contributions Greymass has made to the ecosystem or Aaron's early technical reputation. However, have they been misled in the new policy? Have they deviated from the original development intent in the absence of supervision?
These issues have yet to be resolved.
It can be confirmed that the silence and low productivity of the "Greymass Five Million Project" have made it difficult to respond to an external trust crisis, further exacerbating the community's questioning of the Foundation's fund usage legitimacy.
Charge Three: Coin Price Plummet, Foundation "Silent," Accountability Became a Blind Spot
If technical achievements can be disputed and marketing effects quantified, then the token price is the most honest indicator.
This year, $A (EOS) has plummeted all the way, hitting a low of $0.21—a signal dangerous enough to put any ecosystem in a red alert. However, as the community continues to inquire, the Foundation's response has always been: "The coin price is not within the Foundation's scope of responsibility."
This statement itself is irrefutable.
A technical organization is not obliged to manipulate the market. But the contradiction lies in the fact that when all ecosystem indicators are declining and community confidence is collapsing, the Foundation has not had any discussion of "stability expectations" or "market support mechanisms."
What followed were even more unsettling actions: the Foundation announced its "dissolution," with no roadmap or transition plan.
The community's question is not whether the Foundation should be responsible for the coin price, but: at a critical moment when the ecosystem is facing a trust crisis, why choose to withdraw: is it due to incapacity, indifference, or some issues that are inconvenient to face? Accountability has disappeared in this crash.
Charge Four: From Weekly Updates to Silence, Transparency Disappeared Quietly
When VF was first established, transparency was once its biggest selling point.
2021: Weekly updates (Everything EOS Weekly Report), providing real-time progress reports to the community;
2022: Monthly report (Monthly Yield Report), slacking off for a few months, but still acceptable;
2023: Quarterly report (ENF Quarterly Report)
2024: Silence... ...
2025: Silence... ...

From the reported data, VF's expenditure was the highest in the fourth quarter of 2022, reaching $7,885,340; subsequent quarterly expenses gradually declined.
However, these reports often only disclose the total amount, lacking detailed categorization and specifics, making it difficult for outsiders to judge the fund's destination. The community has long had doubts about massive spending and lack of transparency.
The report repeatedly mentions programs such as the Grant Framework and Pomelo, which experienced a phased "shutdown" in 2023; at the same time, the whitepaper's commitment to project-specific fund management has not been meticulously executed or publicly settled, and the destination of funds allocated to exchanges remains a mystery.
This breakdown in transparency, coupled with years of extravagance, eventually led to a rock-bottom community confidence.
From intense disclosure to gradual scarcity, and now to complete silence, the disappearance of transparency is almost perfectly synchronized with the ecological heat curve.
More notably: since Q1 of 2024, no financial reports have been published. There are no financial audits, no budget distributions, no project lists, and no outstanding allocations.
The community has been forced to accept one fact: the Foundation's operations have shifted from "high-frequency transparency" to a "complete black box."
Simultaneously, many of VF's high-profile projects that were once touted for collaboration have mostly stalled at the "communication stage," lacking practical implementation. The promised "operational transparency" has ultimately become a silent cliff.
Charge Five: Arbitrary Allocation, Grants Have Become a "Black Hole," and No One Knows Where the Money Went
Looking back at the Foundation's early days, VF did indeed attempt to rebuild the Vaulta (EOS) ecosystem through various grant programs, including the Grant Framework, Recognition Grants, and the public grant pool used in conjunction with Pomelo.
At that stage, the speed of fund disbursement was fast, and the scale was large, with the intention of "stopping the bleeding quickly."
We cannot deny that they did play a role in boosting morale in the early stages.

Here is an additional note on Grants: VF's allocations are divided into the publicly recruited "Grant Framework" (milestone-based allocations), targeting individuals, teams, or companies, mostly for technical projects; Recognition Grants (awards given to projects) and distributions to ecosystem projects through public grant channels like Pomelo. Funding can be used for both for-profit and public goods/charity projects.
For example—In the first report of Q4 2021, VF allocated in a single instance:
$3.5 million in Recognition Grants (an average of $100,000 per project);
$1.3M funding for five technical workgroups to write a whitepaper;
$1.265M support for the community governance organization EdenOnEOS;
$500K funding pool for the Pomelo inaugural season;
However, the issue lies in the fact that this is the only quarterly report in VF's entire four-year allocation that fully disclosed the recipients of the funding.
From Q4 2021 to Q4 2023, although Grants have consistently been the largest portion of quarterly expenditures (at times accounting for 40% to 60% of total spending), the reports no longer: disclose specific funding recipients; reveal the actual amount received by each project; disclose project acceptance status; mention detailed fund usage; explain if projects have achieved milestones;
In other words, while the numbers are still there, the information has disappeared.
Only the first quarterly report disclosed the flow of funds to each project. In the subsequent eight reports, Grants' funding expenditure continues to be the "biggest item," but no longer do they itemize the beneficiary projects or outcomes.
We can see how much money is spent, but no one ever knows where the money is going.
Has the funding truly driven the ecosystem? Has the money been used effectively? Have projects delivered? Why doesn't the foundation disclose more information?
It inevitably raises questions: Did the foundation start by lavishly spending money under the guise of "ecosystem funding"? Outwardly, it is to win over the community and buy people's hearts, but internally it holds inflation funds and reserves, lacking results and oversight.
The total amount in the VF matching pool exceeds tens of millions of dollars, but most projects have extremely rare updates, some even disappearing after receiving funds.
End of an Era
The Vaulta Foundation once promised governance reform with a "transparent, community-driven" approach but gradually moved towards closedness and corruption over the past four years.
From Yves' dignified resignation without handing over power, to the $5M (in EOS) middleware funding without accountability, from hundreds of thousands of dollars in quarterly marketing expenses with no effect, to the silence after ecosystem funding—this is not a failure of "decentralized governance" but a victory of "centralized plunder."
This long article is a list of charges and a warning document.
The collapse of Vaulta is not just the tragedy of EOS but also a microcosm of the trampling of the Web3 ideal.
You may also like

Morning Report | BitMine increased its holdings by 126,971 ETH last week; trader Eugene announced his exit from the crypto market

Wang Chuan: How can one not feel anxious after the neighbor Old Wang made thirty times profit by investing in storage stocks? (Seven) - A quarter-century cycle

Cryptocurrency CEXs are flocking to sell US stocks, and traditional brokerages are facing an "uninvited guest."

$75 billion in foreign capital has fled, and South Korean retail investors have absorbed it all using leverage

Japan’s Three Megabanks Plan Joint Stablecoin Issuance in Fiscal 2026
MUFG, SMBC, and Mizuho reportedly plan to jointly issue fiat-pegged stablecoins in fiscal 2026, signaling Japan’s growing push into bank-led digital payment infrastructure.

Humanity Discloses H Token Dual-Chain Attack Details, With Losses on Ethereum and BSC Exceeding $36 Million
Humanity said the H token attack across Ethereum and BSC caused more than $36 million in losses after leaked ProxyAdmin keys enabled malicious contract upgrades and token minting.

White House Discusses CLARITY Act With Law Enforcement Ahead of Senate Vote
The White House discussed the CLARITY Act with law enforcement ahead of a Senate vote, focusing on illicit finance risks and developer protections.

Bitcoin Trading Guide 2026: Strategies for Experienced Traders

What Is XAUT and PAXG? Why Tokenized Gold Is Booming in 2026

Will the SpaceX IPO Hurt Bitcoin? Here's What Traders Are Watching

Foreign selling in the South Korean stock market accelerates, with cumulative net sales reportedly reaching $75 billion this year
On June 9, The Kobeissi Letter, citing Goldman Sachs data, reported that global investors are selling South Korean stocks at an unusually rapid pace. In the latest trading session, foreign investors sold about $801 million worth of Kospi constituent stocks again; total foreign outflows last week reached about $10 billion, and the market has been in net foreign selling on nearly every trading day over the past month. According to the data cited in the report, foreign investors have sold about $75 billion worth of South Korean stocks so far this year. Meanwhile, South Korean retail and institutional investors together recorded roughly $69 billion in net buying over the same period, suggesting that the market’s main buying support has come from domestic capital rather than returning overseas funds. The information currently disclosed still mainly comes from The Kobeissi Letter’s retelling and Goldman Sachs data summaries, while public details on the statistical period and the specific definition of “selling” remain relatively limited.

Fortune Warns of Strategy’s Financing Structure Risks as Bitcoin Premium Narrows
Fortune warned that Strategy’s Bitcoin treasury model faces growing financing risks as MSTR’s net asset premium narrows and preferred stock dividend pressure increases.

Ferrari Challenge Le Mans: Carl Moon to Dominate in WEEX Livery

Sahara AI Responds to SAHARA’s Sharp Drop: No Contract or Product Security Issues Found, Internal Investigation Underway
Sahara AI responded to SAHARA’s 60% price drop, saying no token contract or product security issues have been found and an internal investigation is underway.

WEEX Deposit/Withdrawal Dynamic Island: Your Asset Status, Always in Sight

Scaling Crypto Derivatives: The Digital Asset Infrastructure Behind High-Volume Trading
In the fast-moving digital asset ecosystem, derivatives platforms face an extreme architectural test. High-leverage futures markets demand more than just standard security—they require absolute operational precision, zero-latency matching engines, and ironclad structural scalability, all while navigating intense market volatility.
As global platforms scale to meet these demands, the industry is shifting away from rigid, monolithic setups toward a more agile, "decoupled" infrastructure philosophy.
The Blueprint for High-Volume Copy TradingFor elite global exchanges like WEEX (founded in 2018), this architectural choice becomes critical when scaling high-volume retail features like social copy trading. When thousands of users automatically mirror the real-time strategies of elite traders simultaneously, it triggers sudden, monumental spikes in concurrent transactional volume.
To prevent execution latency or settlement bottlenecks during these peak volatility events, a platform's primary engine must remain entirely dedicated to risk management, copy-trade synchronization, and order matching.
The Architectural Rule: New-generation platforms must separate front-end user execution engines from heavy backend infrastructural overhead to eliminate operational friction.
By separating these layers, platforms can maintain complete sovereignty over their trading environments and user experiences while strategically aligning with institutional-grade infrastructure ecosystems. This strategic framework allows modern exchanges to leverage advanced Digital Asset Custody infrastructure such as Cobo’s behind the scenes, ensuring that backend wallet management scales elastically alongside trading spikes.
Capitalizing on Market Momentum and 400× LeverageIn a derivatives arena where platforms offer up to 400× leverage on perpetual contracts, capital efficiency and market agility are core business metrics. To capture market momentum, an exchange needs the ability to rapidly expand its asset offerings, supporting everything from legacy crypto assets to sudden, trending altcoins across a massive library of trading pairs.
Adopting a flexible, scalable Wallet-as-a-Service (WaaS) solution such as Cobo’s could completely rewrite the development timeline for high-growth exchanges. Instead of spending months of engineering capital building out custom backend wallet architectures for every new blockchain network, platforms can deploy localized infrastructure in days.
This agility allows platforms to instantly scale their listings to over a thousand trading pairs without compromising security or delaying time-to-market. It mirrors the exact operational advantages seen during high-velocity market events, similar to how advanced wallet infrastructure empowers platforms during sudden asset surges; allowing exchanges to pass that speed and liquidity directly to their global user base.
A Mature Foundation for GrowthThe synergy between trusted infrastructure ecosystems and global trading platforms represents the natural evolution of a maturing crypto market. As WEEX continues to scale its global spot and derivatives offerings for over 6 million users, adopting robust backend paradigms proves that platforms no longer have to compromise between cutting-edge trading velocity and uncompromised structural security.

Get Paid to Onboard? Try WEEX’s New Homepage with Rewards for Registration, Deposit & Trade

WEEX Custom Layout: Build Your Perfect Trading Workspace in Seconds
Morning Report | BitMine increased its holdings by 126,971 ETH last week; trader Eugene announced his exit from the crypto market
Wang Chuan: How can one not feel anxious after the neighbor Old Wang made thirty times profit by investing in storage stocks? (Seven) - A quarter-century cycle
Cryptocurrency CEXs are flocking to sell US stocks, and traditional brokerages are facing an "uninvited guest."
$75 billion in foreign capital has fled, and South Korean retail investors have absorbed it all using leverage
Japan’s Three Megabanks Plan Joint Stablecoin Issuance in Fiscal 2026
MUFG, SMBC, and Mizuho reportedly plan to jointly issue fiat-pegged stablecoins in fiscal 2026, signaling Japan’s growing push into bank-led digital payment infrastructure.
Humanity Discloses H Token Dual-Chain Attack Details, With Losses on Ethereum and BSC Exceeding $36 Million
Humanity said the H token attack across Ethereum and BSC caused more than $36 million in losses after leaked ProxyAdmin keys enabled malicious contract upgrades and token minting.
