The EOS ecosystem has undergone a significant transformation, reaching a consensus to adopt a fresh tokenomics framework that signals a 'new era' for both EOS tokenholders and developers.

As per an announcement made on May 31, EOS is set to move away from its existing inflationary token supply model, capped at 10 billion EOS tokens, towards a fixed supply of 2.1 billion tokens. The EOS Network Foundation (ENF) advocates this transition as a means to control inflation effectively.

Moreover, the fully Diluted Value (FDV) of EOS has been slashed by 80%, introducing four-year halving cycles into the system. Notable among the changes is the introduction of 'high-yield staking rewards' coupled with lockup, although specific yield details have not been disclosed.

The EOS Foundation is earmarking 350 million EOS tokens for its RAM Market, facilitating developers and users to acquire RAM (Random Access Memory) for deploying and operating applications on the network.

Following the announcement, concerns and skepticism arose within the cryptocurrency community. A pseudonymous user, Xalytics, expressed uncertainties stating, “I am holding EOS from ICO in 2017. I am really lost about what to do with this RAM news?”

In response to the news, the EOS token is currently trading at $0.80 with minimal fluctuations over the past 24 hours. According to CoinMarketCap, the token has experienced a 21.6% decline since its initial launch.

The EOS ecosystem made headlines for hosting the largest initial coin offering (ICO) in the crypto sphere. In 2018, Block.one, the then parent company of EOS, raised a massive $4.1 billion. Subsequently, the venture encountered challenges in meeting ICO expectations, engaged in legal battles, and faced regulatory hurdles.

In 2019, Block.one settled with the U.S. Securities and Exchange Commission (SEC), agreeing to pay a $24 million penalty for conducting an unregistered securities offering during the ICO phase.

A class-action lawsuit emerged from the ICO fallout, filed by the Crypto Assets Opportunity Fund, alleging Block.one of various misrepresentations during the offering, including a deceptive commitment to invest an additional $1 billion in the EOS network. Block.one settled the lawsuit for $27.5 million in 2021.

In a bid to reclaim autonomy from Block.one, which was perceived to have fallen short on its commitments, the EOS community established its foundation in 2021. Yves La Rose, an original block producer, assumed the role of the foundation's founder and CEO.

La Rose views the new tokenomics as a significant moment for the EOS community, remarking, “This strategic overhaul will not only stabilize the token economy but also encourage active engagement and expansion within the network.”

EOS, a layer-1 blockchain specializing in supporting decentralized applications, asserted itself as an 'Ethereum killer' in its early stages.