Steem and Hive Battle Leads to Freezing $3.2M Worth of Tokens

Steem and Hive Battle Leads to Freezing $3.2M Worth of Tokens

Tensions between the Steem (STEEM) community and the Hive (HIVE) continue to escalate, with Steem executing a soft fork to freeze up to 20 accounts owned by former witnesses of the network. The frozen accounts hold STEEM 17.6 million, worth approximately $3.2 million, representing almost 5 percent of the total supply of Steem.

On April 4, the soft fork was proposed by the new “softfork2288” account in a Steemit post.

In response to the alleged “uncertain threat represented to the Steem Blockchain by Hive’s leaders and main influencers,” the fork approximately sanctioned “no more than 20 accounts” that meet three criteria:

“Accounts that ran the version 0.23 during the Hardfork on Steem and were still in the Top 20 rank, shortly before the Hardfork. Accounts that proxied or directly voted to more than 10 witnesses running the version 0.23 on the Steem Blockchain during the hardfork with high influence. Accounts directly associated with operating these accounts.”

Hive Leaders Accused of Posing Existential Threat

The author states that community support is needed for the soft fork to “protect” Steem, with the post aiming at former top Steem witnesses.

The user emphasizes that before the hard fork was executed, 50 percent of witnesses were “running a hostile version 0.23” of Steem, warning:

“If that status had been kept that way, it could have resulted in breaking the Steem Blockchain, because these witnesses would not work anymore for the Steem Blockchain directly after the Hardfork.“

“As top consensus witnesses, the duty and task would have been to maintain the integrity of the Steem Blockchain but it was decided to abandon the chain they promised to protect,” the post asserts.

On March 20, after weeks of growing tensions following the purchase of Steemit Inc by Tron founder Justin Sun and 20 per cent of STEEM supply in February, Hive hard-forked off from Steem.

The new fork would airdrop HIVE tokens to all STEEM holders at a ration of 1:1, with the exception of Sun’s 20 per cent founders reward.

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Abdulhay Mahmoud 414 Articles
Abdulhay Mahmoud is a creative writer with over 15 years of experience in journalism, translation, and investor relations. He has B.A in English and Literature from a reputable University. He recently became a contributor at Cryptolydian.com to fulfill his thirst in reporting digital coins and blockchain-related news, an interest was built over the years.