Why do most project die if they failed to meet soft cap

[leexhin]

There are still some project that choose to continue even if they didn't reach their soft cap.
I think they just don't want to continue knowing that they only have few supporters or they didn't reach their expected support for their project.

[braves182]

Of course , it all depends on the idea, but I believe that developers should conduct ICO at least with a minimum viable product. So that investors could evaluate and decide whether to invest or not. But unfortunately, most of them are willing to invest in everything, without understanding, hoping for HYIP, and devious people use it.

[bitbabba]

There are some exception project even though they couldn't reach to their softcap, they continued. Why most of them are stopping the project, because they couldn't take attention of the crypto world.

[mitsarasss]

As a rule, those projects that just wanted to raise money die, all the rest find the strength and ways to continue working and find new investors. At the same time, the team may decide that their project is not as good as they originally intended.

[Ali Akbar Torang]

Dependent project to the ico is reflecting competency of the prject it self, i have seen some project was not met the soft cap but it still growing because it was not depends on the ico, it really has working project outside of the ico, but also i see many projects are dead when it is not met the soft cap reflecting the dependent the project to the ico.

[jamids]

As a rule, those projects that just wanted to raise money die, all the rest find the strength and ways to continue working and find new investors. At the same time, the team may decide that their project is not as good as they originally intended.

Well, if those projects just aim to raise money for their own benefit and they have failed to meet softcap then most likely they would just launch another project that may have have the possibility of raising more money. Softcap means that this is the amount of money that they need to start the project and if they don't have the determination to reach it then the project would fail. It is either they would just return the money invested or they would run away with the money which is a turn off for investors that's why only a few do invest in ICO projects in which there are no famous names tied to it.

[disbil]

I think as a project doesn't reach its minimum amount of infestation, the team think that the collected amount will not be sufficient to cover the fund needed for the development of the project. that is why that a project will be stopped.

[Agapelove]

Dependent project to the ico is reflecting competency of the prject it self, i have seen some project was not met the soft cap but it still growing because it was not depends on the ico, it really has working project outside of the ico, but also i see many projects are dead when it is not met the soft cap reflecting the dependent the project to the ico.

Agree! There are ICOs that were not fully dependent on the collected funds. They are somehow funded by the affiliated companies. This is the problem with unregulated platform that anybody or any group can make their project and ICOs even without considering the team. All they think of is then profit.

[gelinshidong]

Soft is the minimum standard for the overall budget of the ICO project. If it is lower than the soft development team will not be able to operate the project, it is very sad. Developers won't return any money to you.

[Coinmyjob]

I think some depends 100% on ico with nothing to contribute, i believe a developer needs to have at least  30% of fund needed before doing any ico, but most developer thinks wonder will happen .
To make matter worse, sometimes, even though the hard cap is mistakenly met, they will be giving excuses upon excuses .

They lack the potential to manage multi million dollar gigantic project .
They don't have have the potential and force needed to accelerate the project.
Even some of their white paper is poorly written and unprofessional.
Quite disheartening indeed

Many companies have a smaller amount of share capital for development, and all hope for investment capital. Sometimes, therefore, the soft cover of the project is overstated, which may sometimes not be achieved, which results in closing a good project. Therefore, this is a very crucial period for both developers and ordinary investors.

[clipto]

The lack of team motivation. Imagine that you have set a soft cap and made a token sale, that lasted for several months. After collecting 50 percent of your cap, you refund the investors and that was it. I can understand that the projects die after that.

[Bountyhonter]

If a project dies because it fails to meet soft cap it means that they depended on only their investor's which isn't right . A good project must have a backup plan and funds to maintain their project even if the funds they get from investors doesn't meet their soft cap.

There are even some projects that didn't do ICO and yet they are still flourishing

[Galley]

If the project does not reach Softcap, there is no point in continuing to develop it even for your own savings. Investors do not believe in the idea of the project, and do not show their interest in it. So he is not viable.

[crenfrosck]

ICOs are run by many people who have never been in such position before. It is absolutely normal they will make a misstep which will postpone the whole timetable. But your first question surprised me. Startups are basically nothing but an idea and a bunch of passionate developers who would like to fulfill their dreams and pockets as well. No wonder the project is dead without financial support- they had a reason not to start with their own savings .

[bitcoin31]

In the first place once the project are potential they will meet the soft cap because many people will invest to the project. For me soft cap is really need to achieve because sometimes I invest to one project once they reach soft cap. But they have project even did not reach soft cap on time they reach hard cap.

[nik009]

Most ICO is fraud with the purpose of personal enrichment and without the purpose of subsequent work on the project. That is why project teams do not want to invest their own money in a deliberately stillborn project. If the soft cap is not reached, then the fraud attempt has failed.

[kipozer]

The only thing is how all the developers do their work, because very often people just try to steal money and nothing more, but it even happens that people themselves carry their money to give to developers, this also happens

[BogdanGFTP]

You are totally right! There are a lot of projects which team members are not professionals, they do not have an experience in any high-tech field. Therefore the quality of projects is very low and the majority will be scammed. 

[igor.vanyutin.83]

The lack of motivation and I can understand it. I think almost every project died after failing an ICO. It has shown that people are not interested in their idea and it won't be useful in the future. Maybe it was the fault of the devs or marketing team but the result is the same.

[zacad]

Projects with insufficient start-up capital are bound to fail. Usually, the ICO's softest is the minimum budget of the development team. If the price is lower than the soft project, it will disappear. No one will be responsible for this. This phenomenon occurs in many projects. Now is not a good time to participate in ICO investment, perhaps the myth of ICO will never come back.