Bitcoin Forum
September 18, 2018, 08:44:37 PM *
News: Latest stable version of Bitcoin Core: 0.16.2  [Torrent].
 
   Home   Help Search Donate Login Register  
Pages: [1] 2 3 »  All
  Print  
Author Topic: ICO funding sees new lows in recent years.  (Read 552 times)
Darkspidermouse1127
Newbie
*
Offline Offline

Activity: 6
Merit: 0


View Profile WWW
September 11, 2018, 06:05:25 AM
 #1

ICO funding started to thrive around april 2017. Along with this,
ethereum's price also picked up some pace.

However, at the inception of Q2 of 2018, ICO funding numbers began to deteriorate.

Q1-2018 saw $8.8 billion in ICO funding, while Q2 2018 saw a low of $5.5 billion.

Research from independent financial services firm Autonomous Next, states that ICOs raised just $326 million during the month of August 2018,
which was substantially low from previous months.

What do you think are the prime contributors to such low ICO funding stats?

Reference link-https://www.newsbtc.com/2018/09/10/ico-funding-reaches-2018-low-levels-not-seen-since-april-2017/
1537303477
Hero Member
*
Offline Offline

Posts: 1537303477

View Profile Personal Message (Offline)

Ignore
1537303477
Reply with quote  #2

1537303477
Report to moderator
Advertised sites are not endorsed by the Bitcoin Forum. They may be unsafe, untrustworthy, or illegal in your jurisdiction. Advertise here.
1537303477
Hero Member
*
Offline Offline

Posts: 1537303477

View Profile Personal Message (Offline)

Ignore
1537303477
Reply with quote  #2

1537303477
Report to moderator
Daseento
Jr. Member
*
Offline Offline

Activity: 168
Merit: 2


View Profile WWW
September 11, 2018, 07:20:20 AM
Merited by alyssa85 (1), TimeTeller (1)
 #2

The reason is not far-fetched. Firstly, quite a number of ICOs failed to meet their target ROI for investors. Secondly, many ICO turned out to be outright scams where founders and team decided to run away with investors funds. Thirdly, so many ICOs only give efforts to their whitepaper and implementation of real project is low causing huge difference between the plan and actual project and finally, the whole Crypto ecosystem is in downtrend so it spreads to ICOs.

█ █ █████████  BITGOALS  █████████ █ █
SPORT TOKEN PROTOCOL: REWARDS FOR SPORT ACTIVITIES
https://bitgoals.com
TimeTeller
Hero Member
*****
Offline Offline

Activity: 728
Merit: 513



View Profile
September 11, 2018, 07:40:06 AM
 #3

The reason is not far-fetched. Firstly, quite a number of ICOs failed to meet their target ROI for investors. Secondly, many ICO turned out to be outright scams where founders and team decided to run away with investors funds. Thirdly, so many ICOs only give efforts to their whitepaper and implementation of real project is low causing huge difference between the plan and actual project and finally, the whole Crypto ecosystem is in downtrend so it spreads to ICOs.

Very well-said. Most of the recent ICOs gave disappointment or heartache to so many investors.
The price is overwhelmingly low as compared to ICO price when they hit the exchanges, getting not even half of their investments.
I, for one, also invested in a project that I thought was really promising. But, to my dismay, it's now almost worthless.  Cry
Good thing, I invested not so much. But, still I can have a 3-day vacation in a local beach resort for that amount.

So yes, the very first reason is the failure to even get the ROI of the investors.
And also, a big percentage of ICOs turned out to be crap or scam.
I think, those 2 are the major reasons that potential investors are now very careful in investing to these ICO projects.
Hence, declining the number of investors who are willing to risk their money and so the decline of ICO fundings.


       █
      ██
     ██
   ██ ██
 █ ██ ██
██ ██ ██
██ ██ ██
██ ██ ██
██ ██ ██
██ ██ ██

       █
      ██
     ██
   ██ ██
 █ ██ ██
██ ██ ██
██ ██ ██
██ ██ ██
██ ██ ██
██ ██ ██
  B

          ▄▄▄▄▄▄
     ▄▄████████████▄▄
   ▄█████▀▀    ▀▀█████▄
  ████▀            ▀████
 ████                ████
▐███                  ███▌
███▌                  ▐███
▐███           ▄▄     ███▌
 ████         ▀███▄  ▐███
  ████▄         ▀███▄███
   ▀█████▄▄     ▄█████▀
     ▀▀████████████▀▀
          ▀▀▀▀▀▀
T 
.Better. Quick..

.Transparent....






             ▄████▄▄   ▄
█▄          ██████████▀▄
███        ███████████▀
▐████▄     ██████████▌
▄▄██████▄▄▄▄█████████▌
▀████████████████████
  ▀█████████████████
  ▄▄███████████████
   ▀█████████████▀
    ▄▄█████████▀
▀▀██████████▀
    ▀▀▀▀▀






▄█████████████████████████▄
███████████████████████████
███████████████▀       ████
██████████████      ▄▄▄████
██████████████    ▐████████
██████████████    ▐████████
██████████            ▐████
██████████            █████
██████████████    ▐████████
██████████████    ▐████████
██████████████    ▐████████
▀█████████████    ▐███████▀






                   ▄▄████
              ▄▄████████▌
         ▄▄█████████▀███
    ▄▄██████████▀▀ ▄███▌
▄████████████▀▀  ▄█████
▀▀▀███████▀   ▄███████▌
      ██    ▄█████████
       █  ▄██████████▌
       █  ███████████
       █ ██▀ ▀██████▌
       ██▀     ▀████
                 ▀█▌
einax_mike
Newbie
*
Offline Offline

Activity: 28
Merit: 0


View Profile WWW
September 11, 2018, 08:01:32 AM
 #4

the whole Crypto ecosystem is in downtrend so it spreads to ICOs.

I would argue this is the only reason why we see the drop in ICO funding these days. The fact that most ICOs did not meet their objectives stated in whitepapers was pretty obvious from the beginning.
Samarkand
Sr. Member
****
Offline Offline

Activity: 462
Merit: 269



View Profile
September 11, 2018, 08:37:56 AM
 #5

The reason is not far-fetched. Firstly, quite a number of ICOs failed to meet their target ROI for investors. Secondly, many ICO turned out to be outright scams where founders and team decided to run away with investors funds. Thirdly, so many ICOs only give efforts to their whitepaper and implementation of real project is low causing huge difference between the plan and actual project and finally, the whole Crypto ecosystem is in downtrend so it spreads to ICOs.

I´ll add another reason. Traditional venture capitalist firms have started to corner the ICO
market. They buy their stake in an ICO when the ICO hasn´t even begun for the public.
Therefore they get much better rates and can dump on the public as soon as trading begins,
because they are already in the profit zone with their investment.

In late 2017 you could buy basically any ICO and flip it for a quick profit after the token hits
the exchanges, but in 2018 most tokens are opening below the ICO price. There are a few
quality projects that are still doing good, but otherwise ICOs have lost a lot of their attraction.


       █
      ██
     ██
   ██ ██
 █ ██ ██
██ ██ ██
██ ██ ██
██ ██ ██
██ ██ ██
██ ██ ██
   
       █
      ██
     ██
   ██ ██
 █ ██ ██
██ ██ ██
██ ██ ██
██ ██ ██
██ ██ ██
██ ██ ██
  B

          ▄▄▄▄▄▄
     ▄▄████████████▄▄
   ▄█████▀▀    ▀▀█████▄
  ████▀            ▀████
 ████                ████
▐███                  ███▌
███▌                  ▐███
▐███           ▄▄     ███▌
 ████         ▀███▄  ▐███
  ████▄         ▀███▄███
   ▀█████▄▄     ▄█████▀
     ▀▀████████████▀▀
          ▀▀▀▀▀▀
T 
Better. Quick.

Transparent.






             ▄████▄▄   ▄
█▄          ██████████▀▄
███        ███████████▀
▐████▄     ██████████▌
▄▄██████▄▄▄▄█████████▌
▀████████████████████
  ▀█████████████████
  ▄▄███████████████
   ▀█████████████▀
    ▄▄█████████▀
▀▀██████████▀
    ▀▀▀▀▀






▄█████████████████████████▄
███████████████████████████
███████████████▀       ████
██████████████      ▄▄▄████
██████████████    ▐████████
██████████████    ▐████████
██████████            ▐████
██████████            █████
██████████████    ▐████████
██████████████    ▐████████
██████████████    ▐████████
▀█████████████    ▐███████▀






                   ▄▄████
              ▄▄████████▌
         ▄▄█████████▀███
    ▄▄██████████▀▀ ▄███▌
▄████████████▀▀  ▄█████
▀▀▀███████▀   ▄███████▌
      ██    ▄█████████
       █  ▄██████████▌
       █  ███████████
       █ ██▀ ▀██████▌
       ██▀     ▀████
                 ▀█▌
vintages
Full Member
***
Offline Offline

Activity: 420
Merit: 136


View Profile
September 11, 2018, 08:54:58 AM
 #6

I guess it's the present of scammy ones, though there are good ICO out there but the bad one are really making bad names for the good ones. Apart from the fear of being scammed, many investors are refusing to invest in ICO lately because it is not as 'quick' lucrative as it was before; gone are those days when you make money from ICO after 1 or 2 months after investing. Now,  you wait for some months or years for your protection. Though, ICO with a working project can make it easier.

gambitcoin53
Member
**
Offline Offline

Activity: 350
Merit: 25


View Profile
September 11, 2018, 09:01:41 AM
 #7

ICO funding started to thrive around april 2017. Along with this,
ethereum's price also picked up some pace.

However, at the inception of Q2 of 2018, ICO funding numbers began to deteriorate.

Q1-2018 saw $8.8 billion in ICO funding, while Q2 2018 saw a low of $5.5 billion.

Research from independent financial services firm Autonomous Next, states that ICOs raised just $326 million during the month of August 2018,
which was substantially low from previous months.

What do you think are the prime contributors to such low ICO funding stats?

Reference link-https://www.newsbtc.com/2018/09/10/ico-funding-reaches-2018-low-levels-not-seen-since-april-2017/

i think more and more people are aware of the risk that concerns with ICOs, they are more reluctant to just jump in without further proof of possible income and ROI and not becoming a scam as the ICO runs, turns out that people are more keen on ICO which resulted to this low stats, i think many infos circulating in threads on this forum are really helping the investors to scrutinized most projects.

TheHas
Full Member
***
Offline Offline

Activity: 406
Merit: 117


WPP ENERGY - BACKED ASSET GREEN ENERGY TOKEN


View Profile
September 11, 2018, 11:02:13 AM
 #8

Makes sense, since now ICOs are a known quantity and most haven't performed and delivered working (and money making) products.

Given the failure rate no one wants to part with their crypto, particularly if they've realised losses from the bear market.

Plus many ICOs seem to drop in price soon after release, so many people (me included) just wait to see what happens to the price slightly post ICO.

           ﹏﹏﹋﹌﹌ WPP ENERGY ﹌﹌﹋﹏﹏
☆═══━┈┈┈┈┈┈┈┈┈┈┈┈┈┈┈━═══☆
≈ WORLD POWER PRODUCTION ≈


【 BACKED ASSET GREEN ENERGY TOKEN 】
☆═━┈┈┈┈┈┈┈┈┈┈┈┈┈┈┈┈┈┈┈┈┈┈┈┈┈━═☆
zhanyiguai261315
Member
**
Offline Offline

Activity: 308
Merit: 10


View Profile
September 11, 2018, 11:11:20 AM
 #9

Due to the downturn in the cryptocurrency market, many investors have suffered losses of varying degrees, and there is no extra money for ico investment!
ICO regulation has been strengthened, and ico investors have the ability to see the essence of ICO!

Phomology
Jr. Member
*
Offline Offline

Activity: 42
Merit: 7

Gateway to Freedom - www.phomology.com


View Profile
September 11, 2018, 11:15:58 AM
 #10

The reason is not far-fetched. Firstly, quite a number of ICOs failed to meet their target ROI for investors. Secondly, many ICO turned out to be outright scams where founders and team decided to run away with investors funds. Thirdly, so many ICOs only give efforts to their whitepaper and implementation of real project is low causing huge difference between the plan and actual project and finally, the whole Crypto ecosystem is in downtrend so it spreads to ICOs.

Very well-said. Most of the recent ICOs gave disappointment or heartache to so many investors.
The price is overwhelmingly low as compared to ICO price when they hit the exchanges, getting not even half of their investments.
I, for one, also invested in a project that I thought was really promising. But, to my dismay, it's now almost worthless.  Cry
Good thing, I invested not so much. But, still I can have a 3-day vacation in a local beach resort for that amount.

So yes, the very first reason is the failure to even get the ROI of the investors.
And also, a big percentage of ICOs turned out to be crap or scam.
I think, those 2 are the major reasons that potential investors are now very careful in investing to these ICO projects.
Hence, declining the number of investors who are willing to risk their money and so the decline of ICO fundings.

very good summary in a few words, another big impact why we see August decline is the empty pockets of potential ICO investors, the first half of the year most investors list theit investments like you, at least they could not sell and re-invest, so the whole mechanism of ICO investing comes to a halt.

  Phomology      ▲   Gateway to Freedom
●   TURN FEAR INTO POWER   ● (http://www.phomology.com/)
[url=http://www.phomology.
virendarnagpal
Jr. Member
*
Offline Offline

Activity: 294
Merit: 5


View Profile
September 11, 2018, 12:40:38 PM
 #11

It is natural byproduct of bear phase.  We can not expect funds during the period when the markets are low.  It is universal truth i.e. the same is the story with stocks markets.  I have experienced a lot there too.  When share prices were low even very good project could be successful in collecting required funds.

So if ICOs are not getting positive response it is all thanks to low rates of bitcoin etherum and other cryptos. 

There is logic behind giving funds to new ICOs; one is when people are getting establilshed coins with so cheap prices then why they will invest in new ICOs. 

As a result good ICOs are also being forced to extend their coin offer period.

║█ INTRO (https://introa.io/en/) █║
Business Intelligence Services for the participants of residential construction market
dothebeats
Legendary
*
Offline Offline

Activity: 1582
Merit: 1064

Deleted posts: 91


View Profile
September 11, 2018, 12:49:07 PM
 #12

With the plethora of scam ICOs popping up after the success of others, it's a no-brainer if people don't believe the current ICOs appearing from time to time even though they seem legitimate. People want to meddle with certainty, and so they just resort to trading established coins rather than risk getting burned with new ICOs. Also, given how rough the cryptocurrency market is in general right now, I don't think people will be interested in putting some money over crypto, be it ICOs or established coins.

aoluain
Sr. Member
****
Offline Offline

Activity: 574
Merit: 270


View Profile
September 11, 2018, 12:58:49 PM
 #13

IMO there are a few causes.

People are questioning ICO application, is a particular ICO really going to
progress fully? Will it actually have a use?
We all realise now that utilisation is a very important factor in the success
of any project and there are really only a few which have achieved this and
they are around for years at rhis stage.

We all realise what a lot of these ICO's are up to and we can coin the phrase
"Once bitten, twice shy" it is only a very small percentage of investors of any
ICO who are able to make a return.

yusupjatigumilar
Full Member
***
Offline Offline

Activity: 378
Merit: 100


https://modltoken.io/


View Profile
September 11, 2018, 01:00:45 PM
 #14

some say that the current eth price drop is due to the large number of ICO programs that sell ETHs that they have successfully gathered during the token sale period and that is done on a large scale that makes the ETH market plummet, can you accept the statement and what do you think ?

crzy
Full Member
***
Offline Offline

Activity: 378
Merit: 105



View Profile
September 11, 2018, 01:01:54 PM
 #15

ICO's investors are decreasing and that is why some project failed even though they have good concept. Also maybe because of the ICO have really no real product or there is no good technology being offered in the market. Its too risky to invest in ICO now because of its decreasing value especially when its already listed in an exchange. If you are planning to invest in ICO, better to make a lot of research and make sure to be ready for the risk.

TRADE, EARN & OWN THE EXCHANGE             M o o n X             [      ●     JOIN ICO   -   S O O N     ●      ]
──────────         WHITEPAPER         FACEBOOK         TWITTER         LINKEDIN         TELEGRAM         CRUNCHBASE         ──────────
│       No Trading or ICO Listing Fees       │       Superior to Nasdaq & LSE       │       US$ 29M Raised in 2 Weeks!       │
Kevin77
Legendary
*
Offline Offline

Activity: 1400
Merit: 1018


View Profile
September 11, 2018, 01:04:22 PM
 #16

The main contributor for these problems is the lack of excess profit. Regularly people who have invested into ICO has been the people who have made profits from the trading they do on altcoins and make a decent return and use that profit or even a small part of that to invest into ICO however since the January of this year people have been losing money because of the market trends and bear market killing all the chances of us making any profit.

Without profit people are already losing money so it is becoming impossible for them to find more capital to invest into ICO tokens. I am surprised its even that big, I would have expected couple million dollars at most.

░░░░░░░▄▄▄▄▄▄
░░░░▄██████████▄
░░░██████████████
░░██████▐▌██████
█████░░░░░░░▀█████
██████▄▄░░▄▄░░██████
████████░░▀▀▄██████
████████░░▄▄▄░░█████
██████▀▀░░▀▀▀░░█████
█████░░░░░░░░█████
░░██████▐▌██████
░░░██████████████
░░░░▀██████████▀
░░░░░░░▀▀▀▀▀▀
░░░

                   BitCloak Bitcoin Mixer  
  BTC & BCH | API| MULTIADDRESS| PGP PROOF|  FAST MIX |  ESCROW|  MORE ! 

░░░░░░░▄▄▄▄▄▄
░░░░▄██████████▄
░░░██████████████
░░██████▐▌██████
█████░░░░░░░▀█████
██████▄▄░░▄▄░░██████
████████░░▀▀▄██████
████████░░▄▄▄░░█████
██████▀▀░░▀▀▀░░█████
█████░░░░░░░░█████
░░██████▐▌██████
░░░██████████████
░░░░▀██████████▀
░░░░░░░▀▀▀▀▀▀
░░░

alyssa85
Legendary
*
Offline Offline

Activity: 1288
Merit: 1056


View Profile
September 11, 2018, 01:05:23 PM
 #17

The reason is not far-fetched. Firstly, quite a number of ICOs failed to meet their target ROI for investors. Secondly, many ICO turned out to be outright scams where founders and team decided to run away with investors funds. Thirdly, so many ICOs only give efforts to their whitepaper and implementation of real project is low causing huge difference between the plan and actual project and finally, the whole Crypto ecosystem is in downtrend so it spreads to ICOs.

This.

Also - most ICOs are built on top of the Ether platform, and Ethereum is struggling to scale.

vv181
Sr. Member
****
Offline Offline

Activity: 588
Merit: 266



View Profile
September 11, 2018, 02:05:41 PM
 #18

It is a good sign the mainstream already aware of how dangerous ICO investments. they should take an extra caution before investing into ICO. 99% ICO is damned to fail, and that is a massive number. Based on that there must be something wrong with the system and the communities that make cryptocurrencies investments have a bad name. even though ICO is a good way to raise fund for a proper project.

░░░░░░░▄▄▄▄▄▄
░░░░▄██████████▄
░░░██████████████
░░██████▐▌██████
█████░░░░░░░▀█████
██████▄▄░░▄▄░░██████
████████░░▀▀▄██████
████████░░▄▄▄░░█████
██████▀▀░░▀▀▀░░█████
█████░░░░░░░░█████
░░██████▐▌██████
░░░██████████████
░░░░▀██████████▀
░░░░░░░▀▀▀▀▀▀
░░░

                   BitCloak Bitcoin Mixer  
  BTC & BCH | API| MULTIADDRESS| PGP PROOF|  FAST MIX |  ESCROW|  MORE !

░░░░░░░▄▄▄▄▄▄
░░░░▄██████████▄
░░░██████████████
░░██████▐▌██████
█████░░░░░░░▀█████
██████▄▄░░▄▄░░██████
████████░░▀▀▄██████
████████░░▄▄▄░░█████
██████▀▀░░▀▀▀░░█████
█████░░░░░░░░█████
░░██████▐▌██████
░░░██████████████
░░░░▀██████████▀
░░░░░░░▀▀▀▀▀▀
░░░

hacekd
Member
**
Offline Offline

Activity: 266
Merit: 12


View Profile
September 11, 2018, 02:09:24 PM
 #19

ICO funding started to thrive around april 2017. Along with this,
ethereum's price also picked up some pace.

However, at the inception of Q2 of 2018, ICO funding numbers began to deteriorate.

Q1-2018 saw $8.8 billion in ICO funding, while Q2 2018 saw a low of $5.5 billion.

Research from independent financial services firm Autonomous Next, states that ICOs raised just $326 million during the month of August 2018,
which was substantially low from previous months.

What do you think are the prime contributors to such low ICO funding stats?

Reference link-https://www.newsbtc.com/2018/09/10/ico-funding-reaches-2018-low-levels-not-seen-since-april-2017/
many things happened, ranging from large crypto companies to new regulations or regulations in several countries that made investors or companies doubt the ICO again....

TRADE, EARN & OWN THE EXCHANGE           M o o n X           [    ●    JOIN ICO   -   S O O N    ●    ]
──────────     WHITEPAPER     FACEBOOK     TWITTER     LINKEDIN     TELEGRAM     CRUNCHBASE     ──────────
►   No Trading or ICO Listing Fees      ►   Superior to Nasdaq & LSE       ►   US$ 29M Raised in 2 Weeks!
dinoloverpete
Full Member
***
Offline Offline

Activity: 239
Merit: 104


The Future of Security Tokens


View Profile
September 11, 2018, 02:16:17 PM
 #20

It's really not rocket science. ICOs generally have not been profitable to invest in and so the logical investors will no longer invest in the majority of ICOs. The illogical investor who may still choose to invest are running out of money because their previous investments are not paying off.

Pages: [1] 2 3 »  All
  Print  
 
Jump to:  

Sponsored by , a Bitcoin-accepting VPN.
Powered by MySQL Powered by PHP Powered by SMF 1.1.19 | SMF © 2006-2009, Simple Machines Valid XHTML 1.0! Valid CSS!