80% of ICOs are Scams

[ZaoXhou]

I have read about that study and unfortunately many people are being scammed by ICOs so we need to be very careful

I bet many people also invest in very bad ico projects, and don't do research either.

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[Haley craft]

Although ICO is a scam, there are still many people who will invest in ICO, because it is a way for them to make money, so I think it is just a big gamble. I do not recommend participating in ICO.

[kasturi]

Saw this study on twitter... https://twitter.com/Zeex_me/status/978981735101878272

I've seen a lot of people asking about how many legit ICOs there are, so I thought I'd share

Quote from the article: "The study begins by breaking down ICOs into 6 groups: Scam, Failed, Gone Dead, Dwindling, Promising, Successful. “On the basis of the above classification,” they wrote, “we found that approximately 81% of ICO’s were Scams, ~6% Failed, ~5% had Gone Dead, and ~8% went on to trade on a exchange.”

"Scams were defined by researchers as “Any project that expressed availability of [an] ICO investment (through a website publishing, ANN thread, or social media posting with a contribution address), did not have/had no intention of fulfilling project development duties with the funds, and/or was deemed by the community (message boards, website or other online information) to be a scam.”


DYOR people ...

thank you for the information you shared because of course this will be very useful for many people
although the reality is a bit bitter but i will not stop trying to get money from ico and also the bounty because i am sure i will be able to find ico which is really nice

[boyshx]

Sadly this is the case and we can't do anything about it but just try out our luck.
 

Yes, you are right. There is too many SCAM ICOs at this moment. But also you can find the most profitable ICOs.  For example there is lccx.io - looks like promising exchange based in London.  Well developed white paper, experienced team, located in politically stable jurisdiction.

I believe it has got nothing to do with the legitimacy of that ICO. I mean there had been many more ico's which claimed the jurisdiction in their region and also asked for the KYC docs to make the process more legit. However many such ICO ended up in scam or they ran out of the funds that they raised during the ICO phase. So it doesn't matter really in which country are you and where the ICO is being formed!! I have seen bigger project getting flopped after they were listed on the exchangers. So anyway they are mostly scam and you could just try out your luck to get at the top.

[CryptikEnigma]

If this is true statistics, then it is simply awful and shows that ICO is an absolutely ineffective method of marketing and promoting the project.

[kllondd]

The saddest thing here is that even having full confidence in the ICO you can not accurately be sure how the team will behave in the future. And do they not engage in imitation of work and result.

[hetecon]

This is very similar to the truth, I never invested in ICO and definitely will not even begin. It's too risky…

[chenjkai]

This statistic is quite expected, because from everywhere I hear statements that the next ICO has failed, I'm wondering who in general participated in successful ICO recently.

[LancelotRay]

I wouldn't say 80%. More like 40-50%.

But you just have to know where to look and do your own research.

[cramcram21]

Yes it seems like there are so many scam ICO nowadays,
And the number of scam is much more greater than the legitimate ,
But we couldn't really be sure of it because there are some project with a good potential but is short in the money and investor.

[Ethreyes]

I think not all of ICO are scam...  Atleast 50 percent are not...  You know what it is the common problem of us here...  We cant separate the real and which is not...  It is very dificult to identify what is the True ICO and what is really a scam...  But not all of it is scam but we cant change this facts that Almost half are probably a scam...  Just be careful if you want to earn have a lots of research and observe a lots...  Because if not allbof our effort,  time and even our money will be wasted and end up for nothing....

[craZyLovE0916]

So many ICOs these days are just scams. They are just trying to take money off of investors by disguising the scam in cryptocurrencies. Which is why I no longer participate in ICOs and would very much rather just stick to the top coins like bitcoin and ethereum and investing my money there because I know that my money is in a good project and I will make money.

[letua]

Where there is big value of money there is big scams will come also to steal the money. I think it is not accuratethat 80% are scam. Maybe they should do another research for clarification if their research is accurate.

[ORiN]

I think the figure is so sad. And yes, many are not scammers, but just raise loot on hype. But what prevents you from carefully analyzing the characteristics in advance and determine the honesty and need for the project. Nowadays there's services for checking scam.

[ui_zakharchenko]

It seems to me that in reality less than 8 percent of ICO is successful because I saw other statistics, where this figure fluctuates in this limit.

[Udrujes]

I probably would have given more percent. Because in the end, many more ico will be scam. And only the projects that are necessary to society remain.

[fransupran]

How do we know if ICO is a scams.
whether there are traits if it is just a scam???

[kruzer200]

I do not think that everything is so bad because in this case I think that the ICO did not justify itself and people would stop investing.

[Gastotade]

How do we know if ICO is a scams.
whether there are traits if it is just a scam???

It can easily be detected now, try to see their website if they put effort on making it neat and under stable same with their whitepaper and roadmap and try to ask the devs ,or contact them if they can answer your questions,sometime having products already can be a help to make it distinguish.

[zxcsk1983]

About 10% of current ICO are really successful projects. Deep analysis of the project is required to participate in ICO. First of all, you need to familiarize yourself with the project team. However, the right analysis and the right investments in cryptocurrency lead to tremendous success