Bitcoin Forum

Hey, so I've been in involved in crypto and particularly in ICOs for almost a year now. I have invested in numerous ICOs over that period and one thing I noticed is that the most successful ICOs are the ones which had low ICO hard cap. It makes sense because its much easier for market cap to increase from 10 million to 30 million for example, rather than from 50 million to 100 million,right? For example IOTA – raised 1100 BTC in 2014, now their market cap is around $1,2B USD same goes for Ethereum and many other ICO’s who set low caps…  Your thoughts on this?

Hey bro, than you might interested in Moirai prediction market whose hard cap is only 5M USD and they even have a working mvp unlike other predictions markets. You can check their website athttps://ico.moirai.io

 
 

http://i66.tinypic.com/30bmexl.png


http://i63.tinypic.com/16c6esy.png

yes i agree with you! i think ICO that have a hard cap between 5 and 10 millions $ can make big profits!

if ICO raise less than 5 million maybe it's not enough to finish theire project!

if more than 10 millions, maybe it's overpriced!

Yes, Lower ICO cap = more space to grow & accelerate. These Moirai guys already have working product, so they don't need so much money on product development, only marketing. Have anyone seen any other examples with lower ICO hard cap??   ::)

All new ICO focus on providing service rather than being a new tech where other dapps or similar product can be created like ETH, NEO, WAVES etc. So even if they will have very low hard cap, they can't perform good in market however if they will spend so much in advertising after ICO we might see spike in its price but it will not be a sustainable one. Look at Monaco for example...

In my opinion if ICO raises huge sum of money, the team has smaller motivation to continue their work. They already got tons of money, why would try to do anything more.

It does depend on a certain project if it would really need big funds for them to develop it. Ive seen lots of projects which do have high hard caps which some or most of them do failed to reach up the cap but yet they do set up some soft cap which they would consider for the project to proceed still. Low ICO hard cap cant really be criticize and yet we do already witness how many project succeed even they are just starting on small numbers.

So should I invest in ICO's with low hard cap if I want to get token price increased quickly?

Thanks

but for some people, the low cap market is considered a project that is not serious because they only need a little money.

Big hard cap most often disastrous for any project. There much higher probability of project will fail at the future. But I admit that it's possible that some projects could be successful for long-term with huge amounts of money collected at ICO. It always depends on founders.

I agree with the hard cap opinion. The higher the hard cap the less potential for immediate gains. Think of it this way: if the hardcap would be ten million and there were potential buyers of thirty million, these twenty millions who did not buy into the ICO (because it had a ten million hard cap) will be more likely to buy the token once it's launched at the various exchanges. By raising the hard cap to infinity, everyone simply buys into the ICO and there is no demand after to buy the coins on exchanges. Either way that a short-term effect only, in the long term it doesn't really matter - each project which has value will eventually reach the price it's valued at, sooner or later. Problems arise when the project itself has not enough money to invest in it's operations, which can be due to not having adequate finance during the ICO (setting the hard cap too low).

Well I agree with the Hard Cap concept, but the other factors like community, working product and what difference it makes to the existing product if there is any would be the utmost factors for Highest ROI.

I think the hard cap doesn't matter. It is important the potential of the project. Sometimes it will be easier from $10 to make $20 than from $1 to make $2.

I think, I have the same though with you. I bought coss token 64.8 for 0.1 eth. The ICo just reach min cap so the participants vote to add unsold coin to contributors. I finally got 648 coss. After 2 week release in the market the price pump and I can make 0.5 eth from my investment. I thought I regreted why I just invest 0,1 eth. If I invest 1 eth I will earn 5 eth in return. The second case, I invest in SCL 375 for 0.5 eth. SCL made Succesful ICO with more than 5 million raised. In fact , in the market the tokens are not worthy my investment become 0,25. I lost a lot in this investment.

You should never over-pay.  That's Warren Buffet's number one rule.

Investors over-paid for Tezos, EOS and Bancor.  Now, they've all lost money.  Read:

https://bitcointalk.org/index.php?topic=2243157.200  (page 11 of thread)

I think no one should invest in ICO's without hard cap.

The smaller the cap - the better for coin growth!

I think it's better to invest in projects with a limited number of coins. If many coins are issued, then they are practically depreciated. There are a lot of them, they are not interested in speculators.

Absolutely agree with you. Most of the projects with very high hard cap most times take a very longer time to even grow just as you have said and for most investors. Most of these coins with low hard cap always have a product to even give or a service to render and then this alone gives them pretty much chance to grow fast once they hit the market. These days, I even see huge fund raising as unserious and alarming.

I think there is no general rule of thumb, but lower caps are definitely something that we should all be expecting and pushing. With that in mind, I do believe projects like Bitwala need $30 million and upwards because they want to become a global bank that's regulated in different markets. Banks have assets in the trillions so even $100 million wouldn't be much for what they are trying to achieve.

Not necessarily, but coin with low caps would require low investment to rise.
As the total market cap is coins X price.
But again it's just about the number of specific coin you hold that matters.

I think its not project with low hrad cap will be success. It depend how serious of the team to develop their project.
And its depend good concept that can make people more interest.

That's my problem with them as well. They acquire huge amounts of money before actually doing anything, takes all the incentive out of making a good product/tech.

It is one good thing if the hard cap is low. It means the room for growth is still very big. It will not be hard for the value to increase because of it. But you may also try to consider the total token or coin supply. If it is very big as some others are even reaching the billions then perhaps you will still find its value hard to increase significantly because you will have to put it back to back with the supply. And then there are still some other factors.

Hi,


found a low cap ICO:

https://ico.crowdholding.com/#home

1 million CAP.

They had a 200 % presale bonus, but this token will get locked.

I completely agree. That's why I use to go for low capped ICO's except if the project looks really strong.

Hi,
At InitialCoinList.com we have a Low Hardcap ICO list if this might interest some of you. It's a list of all the ICOs with hardcap under 10M USD

You can view it here: https://www.initialcoinlist.com/low-hardcap-icos-stos/ (https://www.initialcoinlist.com/low-hardcap-icos-stos/)

We also offer many filters for ICOs like the amount of token/coin for sale or total supply..


Let me know what you think about it!

Although financing is a very important factor during and after the development phase of a project, however availability of a large amount of finance does not guarantee its success onbtye long run. It depends on the idea behind the project and the competency of the team.

ICOs intend to overestimate their hard cap by several times. It is a red flag for me if they are not able to plan the needed funds, who will they succeed with the project.

Whatever the cap is, if the team is not good or inexperienced people then the project will fail. Its easy to write a 30 pages whitepaper saying this and that. But the execution part is difficult and the marketing part is more difficult than execution. So in my opinion before investing in any ICO, one should thoroughly research about the team and their experience in the revelent field. Only that will lead the start up to success. Success and profits for investors are directly connected.

I think that depends on how big the project they are planning to make, if it's a big project then definitely that requires a high amount of money to finance the project. It doesn't matter, small or big project, investors are just looking for a development that could help them have their ROI the soonest.

Timing of the ICO is also important, like for example at this time, there's only few ICO that are successful or maybe none as people are more interested now in IEO while we saw how some projects are really successful.

I strongly agree with you saying that in investment we certainly cannot arbitrarily do that. Because this will result in losses for anyone if investing without looking at the project first. A good project is a project that is transparent to all investors. There is nothing to hide and all that will have a good impact because of investor confidence in the project.