why don't ICOs accept fiat?

[crisnel26]

I've been researching ICOs and I'm wondering why no ICOs appear to accept fiat?

I understand credit cards have the issue of chargebacks, but since an ICO often distributes the coins at a later date, they could presumably issue the coins after the chargeback period has ended.

They could also accept checks, bank wires, transfers, Zelle, etc.

Since many people don't have access to cryptos, I would think accepting fiat would increases the chances of success for their ICO.

I'm assuming it must involve legal reasons such as upsetting the Securities and Exchange Commission, or the potential of being classified as a money service business (MSB) since changing fiat for crypto could put you in that category.

Since many ICOs appear to be either scams or little more than concepts with little chance of success, perhaps it's also to prevent burned investors from taking legal action later if the project fails, since they traded one token without intrinsic value for another token without intrinsic value instead of cash, thereby making a lawsuit more difficult in claiming damages, etc.

Is there anything I'm missing?

I think it is due to tracking issue that ICO developers avoids to happen. And also changing fiat into cryptocurrency would take fees and those fees would lessen the value of the token worth that they are buying.

[motoprose]

Pretty sure some ICOs owners don't wanna be found out through a wire transfer. 

Also taking transactions from a lot of people at once probably takes some work right?

Or they don't want to have a paper trail such as this individual if he turned his crypto into fiat would be liable for paying taxes on those earnings where he is from.
https://twitter.com/crypto_sarah9/status/968451876063797248

Turing it into another crypto currency...
Well that is another story.
https://www.reddit.com/r/CryptoCurrency/comments/80l63k/50_cent_to_judge_i_have_no_bitcoin/

[airdrophunter]

In my own opinion, ICOs will never accept fiat in exchange of their tokens during crowdsale in the sense that fiat transaction is way complicated and sluggish than using cryptocurrencies which is seamless and fast.

[therwas]

Ico dont accept fiat because of laws, by law you will need to pay 20% or something to government and because of that, nobody want to share their profit to random guys.

[Condoriano]

Maybe because Fiat and ICO are not on the same page? Bank transaction to ICO requires a lot of stuff and exchange value is not stable as well. Securities and additional payment are something to be considered too since bank are bound by laws. ICO developers does not want any hassle from the bank when shit happens.

[Entei]

Looking at the question, congratulations on the question was a good observation, i believe in safety first and second as mentioned above, the tax rates are very high and this varies from country to country. Another factor that we can analyze is that with the purchase of another currency for exchanges in ICO or Ethereum, it drives the market generating flexibility in general.

[Charlie.fletcher(AAA)]

Due to the composition of some Stable coins they can facilitate fiat acceptance in ICOs.

AAA reserve coin is an ERC20 compliant asset-backed cryptocurrency - collateralised by cash, gilts and AAA-rated credit investments. Proceeds from the issuance of AAA coins are placed into Arc Fiduciary Ltd - a ring-fenced Jersey-registered company - and invested into cash, gilts and fixed income; across multiple fiat currencies to support the value of AAA coins.
This composition is mainly for our aim of having real value stability but has other advantages.

AAA reserve Currency can add value by serving as a medium for ICOs, allowing fims to accept a wide range of fiat as well as cryptocurrencies without the need for bank accounts; this should increase their ICO sales and increase relative perception. 
This is because AAA Reserve is backed by a large range of fiat meaning that it can accept and be exchanged for a large range.
AAA can be used either via white label or directly through sending AAA and in doing so offer to conduct KYC/AML on their behalf to comply with regulatory requirements.

Furthermore, for ICO partners who want to preserve their proceeds as AAA and want to pay expenses such as rents or salaries in local currencies AAA can facilitate this. (For international ICOs)

More information available on our website at www.AAAreserve.com or email us hello@aaareserve.com

We are ready to bridge the gap between fiat and cryptos and provide this service now.

[idioma1]

There are some ICOs that accept fiat but most of them accept Bicoin and Ethereum