ICO Investments Why Risky?

[3la9l_kolbaCa]

Actually I have get few good ICO for successful my investment planning,but definitely right my investment lot of lossing to many ICO .but why,I don't know but I have lossing huge my money.

Losing a lot of money is the risk in ICO, and mainly that's the reasons why more people are now becoming more hesitant in dealing with most of the projects related to crypto nowadays. However, it doesn't mean all ICO projects will likely to fail but if you've become part of those scam ones I guess your funds will not be refunded. A legit ICO will refund your invested funds once the project will fail, but for those fraudulent raised you won't get back what you've invested.

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[patimahsunda]

I really like the legal points. I think the absence of a strong law on the ico project that makes ico very risky. No one knows or no one is responsible if there is a scam on the ico project. I think it makes perfect sense if people are afraid to invest in IO because there is no law. So maybe that makes ico too risky.

[Fieldcoin]

Investors have to do their due deligence before participating in an ICO. Some may have a great business model but instead of doing a more traditional fund raising or an IPO, are opting for a token sale. In most cases, those tokens don't serve a purpose after the ICO beside being used for speculation or if they do, lack the liquitidies to be used properly.

Here's an article we did about 10 characteristics a utility token should have:

https://medium.com/@marc.couzic/make-utility-tokens-great-again-f236b64ee31b

[loragean03]

Actually I have get few good ICO for successful my investment planning,but definitely right my investment lot of lossing to many ICO .but why,I don't know but I have lossing huge my money.

Losing a lot of money is the risk in ICO, and mainly that's the reasons why more people are now becoming more hesitant in dealing with most of the projects related to crypto nowadays. However, it doesn't mean all ICO projects will likely to fail but if you've become part of those scam ones I guess your funds will not be refunded. A legit ICO will refund your invested funds once the project will fail, but for those fraudulent raised you won't get back what you've invested.

There is always a risk in ICO investing, You should only know what are the right ICO to invest in, Most specifically understand an ICO first before leaving your money there, searching is the best tool for the users and participants and investors to have a good investment program and to classify what ICO is right and have a brighter future.

[Willitivity]

Basically, the crypto space is becoming way bit saturated and alot of money is coming in and going. So many people want to leverage in that by running ICO and taking up people money without any viable product. To be safe, it's advisable to invest in a project that have a product or at least a prototype.

[spongegar]

For me, the biggest is that if the ICO will not just run with my money, next is will it survive it's initial ICO lastly id if could flourish as a coin after the ICO and lastly will it have projects so my coin will not just collect dust in my wallet. There are tons of ICO today and too much blockchains behind them. What i suggest is to read up on these projects before investing.

[Fieldcoin]

For me, the biggest is that if the ICO will not just run with my money, next is will it survive it's initial ICO lastly id if could flourish as a coin after the ICO and lastly will it have projects so my coin will not just collect dust in my wallet. There are tons of ICO today and too much blockchains behind them. What i suggest is to read up on these projects before investing.

Projects presenting a working beta platform or an any available product during the ICO phase are at least offering something tangible to the investors.

[Pattart]

I believed that investing in the ico was very dangerous to do it, because the only things we can decide for it to invest is our trust. Therefore, if we have that trust in every ico the feelings of doubt and fear in the form of investment  for sure risk is no longer be there. But, if we have those fear and doubt the risk will get involve or apply in it.

Yes, but the doubt comes in us, when we invest in the ico without researching well. So we must verify the projects before investing in any ico. Then fear and doubt in us will not work.

Nope dangerous means that only a small number of ICOs actually run their projects, and most of them become scams? but it's not true that there are still many good and potential ICO projects, there are many projects that have successfully listed to the exchange, even though some of them are scams, but that's a risk in ico investment..

[higgidave]

because there is no binding responsibility, investors are still looking for any collateral and this is still subjective like buying a cat in a sack. If the ICO promotion is clearly regulated and not all of them can qualify, it won't be too chaotic now. The emergence of a too messy ICO can make many fraudsters infiltrate because there are no specific standards and it seems that it is still too easy to make.

I think that's the reason why ICO are banned on social media networks like Facebook and google.Plus the biggest point is many ico come with fake projects they're full scammed ICO who want people's money.

[Tervelatuk]

because there is no binding responsibility, investors are still looking for any collateral and this is still subjective like buying a cat in a sack. If the ICO promotion is clearly regulated and not all of them can qualify, it won't be too chaotic now. The emergence of a too messy ICO can make many fraudsters infiltrate because there are no specific standards and it seems that it is still too easy to make.

I think that's the reason why ICO are banned on social media networks like Facebook and google.Plus the biggest point is many ico come with fake projects they're full scammed ICO who want people's money.

if we talking about  fake ico, it just from people who have not responsibility to other people.they tried to take advantages from investor, and it could make trusted developers generalize with their action.

[arin_muah]

because there is no binding responsibility, investors are still looking for any collateral and this is still subjective like buying a cat in a sack. If the ICO promotion is clearly regulated and not all of them can qualify, it won't be too chaotic now. The emergence of a too messy ICO can make many fraudsters infiltrate because there are no specific standards and it seems that it is still too easy to make.

I think that's the reason why ICO are banned on social media networks like Facebook and google.Plus the biggest point is many ico come with fake projects they're full scammed ICO who want people's money.

if we talking about  fake ico, it just from people who have not responsibility to other people.they tried to take advantages from investor, and it could make trusted developers generalize with their action.

much people take advantages from cryptocurrency booming.they want to earn money without any work.just make fake ico or maybe steal other people asset from wallet.so today many people afraid investing in crypto market.

[erikoy]

Well said, I know OP that you have take part also in the ICO investment that is why you probably know all of this because of your experience in joining ICO investments.

Experience is the best teacher this implies that OP has gone through all of this. This is a good help especially to the new comers I even find myself new here and had gone failure already in cryptocurrency specifically in trading crypto. The market price for the crypto are unpredictable and it is so hard to identify when market price to pump up and pump down. Checking coinmarketcap.com will not be able to solve also on the market price movement of the cryptocurrency. Thus, it will take a smart wise decision making for this matter.

[d1ceplayer]

For me, the biggest is that if the ICO will not just run with my money, next is will it survive it's initial ICO lastly id if could flourish as a coin after the ICO and lastly will it have projects so my coin will not just collect dust in my wallet. There are tons of ICO today and too much blockchains behind them. What i suggest is to read up on these projects before investing.

Projects presenting a working beta platform or an any available product during the ICO phase are at least offering something tangible to the investors.

Of course, and that is one thing should always look at when it comes to investing in a project. A team that could not take the pain to at least come up with a product first even if it is in the beta stage, shows a team that is not even ready to sacrifice much and all they are just looking for are some gullible investors that will come around to just start dishing them money and funds for nothing.

ICO investment will always be risky as long as people tend to discard some things they should always look at before investing in a project and this includes the product, the team and the business solution.

[BlueStackz]

I believed that investing in the ico was very dangerous to do it, because the only things we can decide for it to invest is our trust. Therefore, if we have that trust in every ico the feelings of doubt and fear in the form of investment  for sure risk is no longer be there. But, if we have those fear and doubt the risk will get involve or apply in it.

Yes, but the doubt comes in us, when we invest in the ico without researching well. So we must verify the projects before investing in any ico. Then fear and doubt in us will not work.

Nope dangerous means that only a small number of ICOs actually run their projects, and most of them become scams? but it's not true that there are still many good and potential ICO projects, there are many projects that have successfully listed to the exchange, even though some of them are scams, but that's a risk in ico investment..

No one is actually saying there are no potential projects, but if we really want to start counting the potential projects with real life product compared to those with none, we both know that is something that would be pretty hard to even come by at all. You should not be taking unnecessary risks when you know it does not formulate with your principles and every investor should always have one.

No product and legit team, means no investment and I wonder why people still tend to invest in project ideas alone, like that is something that would bring revenue for them in the long run. It is the product that would count the possibility of getting demand which would proportionally bring about increase in value. Projects with no products are as good as dead to me and why would I want to take a risk on something dead.

[Jerryzack2]

Good topic. I am alarming and make myself feel uncomfortable with all the factors you listed. Today, unfortunately, most of the ICO projects are fraudulent, and I am obviously prepared to lose money when investing in projects that interest me.

Being prepared to loose money is like its a gamble, taking well calculated risk is the best. The smartest thing to do is to research project usability and team behind the project before investing. I have come across great projects such as Mfchain, which you can invest with peace of mind though, these type of projects are not many out there. Ico investment should not be a gamble such that, in a worst case scenario investors should recover their money.

[Yatsan]

I believed that investing in the ico was very dangerous to do it, because the only things we can decide for it to invest is our trust. Therefore, if we have that trust in every ico the feelings of doubt and fear in the form of investment  for sure risk is no longer be there. But, if we have those fear and doubt the risk will get involve or apply in it.

Yes, but the doubt comes in us, when we invest in the ico without researching well. So we must verify the projects before investing in any ico. Then fear and doubt in us will not work.

Investing on such a ICO is very risky, not all ICO is a legit project and not all ICO will going to succeed. Trust me. I've been investing in a long period of time and just lose up all my money, i guess the problem is with the ICO when it comes to investor matters. There should be a private communication between the legal team of the ICO and the investors in order to get the profit they expecting because they funded the ICO. I am aware of bounty hunters dumping the allocated the tokens of the campaign which causes a sudden price drop in just week after the coin is introduced to the market.

[Kittygalore]

It's actually not that risky if you do lots of research.  Its risky for the idiots that throw money at anything that is hyped up with lots of advertising.

100% agree. We can say that it is still risky but we can lessen the risk wit proper research. It may not be easy to do an effort in doing it but it will be paid off if the ICO you have joined in is not a scam and can really generate a profit. The risk in ICO are those who do scams.

[avilsd]

It's actually not that risky if you do lots of research.  Its risky for the idiots that throw money at anything that is hyped up with lots of advertising.

I'd agree. ICO investing is 100% profitable if you're going with insider information, are a partner or know somebody close to the group. Usually if you're pooling money (minimums don't have to be that high, only around 1-2BTC per person and a group buy can be $100K-2M) to get a sweet deal.

2 main ways of profiting: If you're pooling or have enough capital to get a discounted rate during seed investment rounds / private rounds, you can dump on the public investors with a 20-40% margin if it's a reputable ICO. If it's a scam ICO, you can get 50-100% probably but it's so much riskier.

Or the ethical route is avoiding dumping and hopefully the ICO gets pumped so that you're able to get 10x+ returns when it's long-term offloading.

Collusion isn't illegal in the ICO world yet, and of course it's all around us. So you're either in on the action or you invest just enough that won't make you shed any tears were you to lose it all.

[UNOE]

Most of the ICOs after listing on exchange loses initial value, especially if they have low trading volume, so it is usually better to buy coin on exchange plus when you are buying on exchange you probably do not have to pass KYC process.
Although there always will be gems and pearls of ICOs that are great investments.

[strunberg]

It's actually not that risky if you do lots of research.  Its risky for the idiots that throw money at anything that is hyped up with lots of advertising.

100% agree. We can say that it is still risky but we can lessen the risk wit proper research. It may not be easy to do an effort in doing it but it will be paid off if the ICO you have joined in is not a scam and can really generate a profit. The risk in ICO are those who do scams.

but today , although we've already do some research and observation on ico project, we still faced fake ico or atleast unserious team developers.so its make project developtment could not run as their plan.