What is happening to new projects?

[Apinya_Anong1111]

Many new good cryptocurrency projects are dead and in danger of dying. killing good new projects can cause a lot of fluctuations in the market, but otherwise the market will operate very difficult.

[IadixDev]

The thing i never understand about ICO and buying token or coin as an investment to HODL expecting a ROI on it.

It's made to look similar to share holding in a company, but it's a completely different mechanism. Share prices in a company can rise because share is a % of the company capital, and when the company make profits, and rise it's capital, the share value increase.

Why is it so pessimistic about all projects and cryptocurrencies? The cryptocurrency market is very young and that is why speculation and scams  flourish here.Of course many projects had stupidly collecting money and running away, deceiving investors. But there are projects  that give a real product-sale goods, services, energy capacities for miners. I met such projects. Their tokens have a price, an investor can always sell their coins. So the principle of partner and shareholder is real and works in cryptocurrency market.

That they can reach from zero To a certain price yes, that they can multiply the post ICO price by several without some pump or price manipulation i dont really get it how.

Im not pessimistic about crypto, but the initial offering model seems misleading, and in any case its not like a share in a company , even if "if the team is nice" They can always  buy the tokens back at certain price if the projets get more benefits, but there is no obligation to do so, and its not clear at which rate They should buy it under which condition etc the model is different  from share in a company as a % of the total benefits that the company will do selling product other than the shares.

Im a bit doing a caricature too, ICO can be a good way for start up and developper to rise funds quickly,  but its hard to see how a potential success will lead to multiplication of the post ICO token price, and how the ROI is supposed to work, especially with the high expectations following bitcoin success.

I just watched some ICO/IEO lately, they never really explain the model by which they are going to multiply the ICO price where most of the value is speculation and hype.

[IadixDev]

The way i see it, i never see ICO/IEO really explaining a real business model, there is the part about the project they want to develop and everything about the token and how to buy it, but what is very rarely if ever seen, is how and when they will have something to sell, how many they are planning to sell, and how this will translate to the token sold in the ICO rising price on the exchange.

If the only thing they have to sell is the token, then it's already sold at the end of the ICO. Even if the project get actually developed and running, it's mostly free of use, or the benefits don't go the developers, fees and block reward go to the block makers, and it's the only fee there is for using a blockchain. Even if the token is fully used in an effective business after, it's not a very good thing that the initial token price is adjusted on speculative value rather than on the price of whatever service are using the blockchain.

It looks more like non profits funding in a way, that people pay to develop a product or another that they think will be useful, and the ROI would be on business that need the blockchain to run, but not on the token itself.

Like if blockchain are used for an energy grid, like a project i made a study for, then the token would be emitted when a producer emit some electricity, and can be transferred to a customer to use this electricity. The total "market cap" at a moment is the amount of energy produced on the grid. And the token price is determined by electricity producer.

With the ICO model, if there is already plenty of token in circulation before the first watt is produced, it mean there will be a gap between the price that the investor expect to sell their token, and the value of the token based on energy cost.

And the way i see it, it would be the same with any model in the 'classic' economy. The same unit cannot be used as hype pumped value to sell as fund rising with perspective of future profits, and then by user of the platform as a way to access a service or acquire assets. So even if the project work and there is a demand for the use of the platform, the token users will be buy will be a different unit than the one sold at the ICO, the price of the token for users will be a completely different model than the model used by people buying on the ICO as a speculative asset.

And if the only product is the token where all the value is derived from hype and speculation, ICO are mostly a one shot thing, you can't hype the same thing twice to sell it with a multiplier, or then it become clearly a scam to begin with.

So it's why i really have hard time to see what people expect and even on which basis to call project that doesn't do x10 in a year a scam, because as far as i know, they never really say how much profits they expect to make, when, and how this is going to translate to lot of people buying the token at several time to ICO price. So it's implied already that there is no sure profits out of it, no garantee of ROI, neither the quality of quantity or time of it.

And if the idea is to fund project to develop a product, then it's more like non - profit fundation, like ethereum or cryptonote or firefox or other open source projects that are non profits organisation, and there is no ROI in the model.

[Spider A4]

I think its because the current market is too bad for investing on cryptocureency. Thats why new projects cant survive with that condition. Also too many scam projects make investor lose their interest on ico/ieo and it make the crypto space worst.

I don't think current market is a only big reason to fail majority of the projects. Too much scam projects is the main fact for failed ICO but IEO is depend on exchanges. New IEO can't success for the shitty small volume and liquidity exchanges. But i'm looking there are many potential projects are coming right now.

[TitanGEL]

Do you know why most of the projects nowadays are failing? It is because of the greed of the developers, they focusing in profit and not the development of their project. I also having tough time on finding a good investment nowadays and I allocate more of time in researching for me to ensure that my capital will be safe.

[Kingsleybello100]

One of the reasons why projects fail is that the team makes very big projections of what they ''aim'' to do without being sure of the possibility of getting the required resources (Human and Non-Human) to help achieve that huge goal of the project. The problems starts from not been able to get enough funding from the fund raiser event, sometimes delivery a substandard product with bad UIX if at all they are able to kick off. Greed on the team side has a role to play when pointing factors that could be responsible for failed projects. the list goes on

[TokenHodlr]

The way i see it, i never see ICO/IEO really explaining a real business model, there is the part
about the project they want to develop and everything about the token and how to buy it, but
what is very rarely if ever seen, is how and when they will have something to sell, how many they
are planning to sell, and how this will translate to the token sold in the ICO rising price on the exchange.

I concur completely, your response was generously packed with holistic insight.
Would you be as generous as to allow me to send a link to a concept paper (pdf)
that I believe has the potential of meeting and perhaps even exceeding the criteria
you outline in the post above?

In any event, I consider you a great find and one of a handful I've encountered
with the breadth and depth of understanding you bring to the table. Thank you.

[Kambal2000]

One of the reasons why projects fail is that the team makes very big projections of what they ''aim'' to do without being sure of the possibility of getting the required resources (Human and Non-Human) to help achieve that huge goal of the project. The problems starts from not been able to get enough funding from the fund raiser event, sometimes delivery a substandard product with bad UIX if at all they are able to kick off. Greed on the team side has a role to play when pointing factors that could be responsible for failed projects. the list goes on

One of the important thing that project team was forgetting was their real investors too, they don't protect them, they don't make them feel that they worth it, they keep saying that they should do their own research and what they are doing is long term, but in reality most of the time after the ICO/IEO there is no security and assurance that they will do buy back to protect their investors, they don't care at all.

[mR.k0fka]

What the *eck is going on? we have many good projects coming into crypto space but they mostly end up failing, too many good new projects are dying as if they are been created to just die, what do you think its killing new good projects apart from scam projects?

its because people are making projects just to make money or experiment
its like in real life.. 95% of the startups fail and it always was like that.

[sayaya17]

Many good projects are already on the market, which is strong then he will continue to survive in the long bearish during this time. Then those who cannot survive will be weak and die slowly. yes there are projects like this, one by one die. Someone's perception is that if the project is a fraud and some say that the project is not a fraud, but because it cannot survive in a situation like this.

[coin_1122]

What the *eck is going on? we have many good projects coming into crypto space but they mostly end up failing, too many good new projects are dying as if they are been created to just die, what do you think its killing new good projects apart from scam projects?

its because people are making projects just to make money or experiment
its like in real life.. 95% of the startups fail and it always was like that.

Most of the projects are failing because they will show low interest to raise money, but after raising the money they won't bother to progress the further level of the project. Of course, 95% of startups will fail, but they need to work hard to develop and in this competitive world, it is impossible to sustain but we have to prove ourselves.

[Chainsmokers]

What the *eck is going on? we have many good projects coming into crypto space but they mostly end up failing, too many good new projects are dying as if they are been created to just die, what do you think its killing new good projects apart from scam projects?

What is largely killing the good business is funding because they most times don't get to anywhere near that soft capitalization talk less of hard cap which usually happen in the past and when that happen all milestone established in the framework and project completion timetable becomes a futile exercise or say an exercise that is a waste of energy. The reason is not far fetched though, its that the market has gotten to a point where every project sends a signal of scam and several amount of money is needed for campaign if that notion would be converted to a one receptive to projects otherwise, it would not make any difference other than to fail.

For the time being it can be said that it is very difficult to attract investors to invest in new projects, the reason being that many projects turn into scams which then make investors disadvantaged and do not want this to be repeated, so they will be more careful or you could say will wait at the right time to start investing again in new projects. Because of the difficulty in attracting these investors, the softcap has not been reached and the plans that have been prepared will be in vain and fail.

[andika2018]

What the *eck is going on? we have many good projects coming into crypto space but they mostly end up failing, too many good new projects are dying as if they are been created to just die, what do you think its killing new good projects apart from scam projects?

It is not easy for new projects to achieve sales targets in the current poor condition of the crypto market. In addition to unfavorable market conditions, the number of scam projects affects investor confidence in investing. But fortunately now the token sale method uses the IEO method so that scams that harm investors can be minimized

[IadixDev]

One of the reasons why projects fail is that the team makes very big projections of what they ''aim'' to do without being sure of the possibility of getting the required resources (Human and Non-Human) to help achieve that huge goal of the project. The problems starts from not been able to get enough funding from the fund raiser event, sometimes delivery a substandard product with bad UIX if at all they are able to kick off. Greed on the team side has a role to play when pointing factors that could be responsible for failed projects. the list goes on

This is "VAPORWARE"

[IadixDev]

The way i see it, i never see ICO/IEO really explaining a real business model, there is the part
about the project they want to develop and everything about the token and how to buy it, but
what is very rarely if ever seen, is how and when they will have something to sell, how many they
are planning to sell, and how this will translate to the token sold in the ICO rising price on the exchange.

I concur completely, your response was generously packed with holistic insight.
Would you be as generous as to allow me to send a link to a concept paper (pdf)
that I believe has the potential of meeting and perhaps even exceeding the criteria
you outline in the post above?

In any event, I consider you a great find and one of a handful I've encountered
with the breadth and depth of understanding you bring to the table. Thank you.

Sure you can send the PDF i think there is lot of thinking To do on how To fund blockchain project properly , ICO are not really very good, IEO ultimately depend on the trust with the exchange to be neutral and objective, but even selling token as both fund rising speculative assets and utility token for users is not very good idea imo. Neither for the investor or the project development long term.

[Goodvalony]

the crypto business is faced with the same fate as other business out there.  to run a business, there are factors involved. ideas, marketing skills, value and use-case. As long as your product has these features. it will definitely succeed. what matters is time. give it time and concentration. it will pick up. although most, investors are scared of loosing their funds. quality products always survive.

[Spider A4]

What the *eck is going on? we have many good projects coming into crypto space but they mostly end up failing, too many good new projects are dying as if they are been created to just die, what do you think its killing new good projects apart from scam projects?

its because people are making projects just to make money or experiment
its like in real life.. 95% of the startups fail and it always was like that.

Yeah, i agree with your opinion but i want add something likes a lot of projects launched by scammers. They are not experienced development i think it is main reason of fail projects. Very few people will develop ICO projects for research purpose. Huge new projects in the market but almost are not enough utility tokens.

[mr_random]

What the *eck is going on? we have many good projects coming into crypto space but they mostly end up failing, too many good new projects are dying as if they are been created to just die, what do you think its killing new good projects apart from scam projects?

its because people are making projects just to make money or experiment
its like in real life.. 95% of the startups fail and it always was like that.

Yeah, i agree with your opinion but i want add something likes a lot of projects launched by scammers. They are not experienced development i think it is main reason of fail projects. Very few people will develop ICO projects for research purpose. Huge new projects in the market but almost are not enough utility tokens.

In real life, the newly launched businesses fail with a %90 failure rate in their first year. Consistency is the key but many projects aim to make more money in the crypto industry rather than bothering themselves with the legal paperwork with regulators. Easy money for the scammers but they see the opportunities here with the wrong intention. New projects look professional but these projects can't survive in the long bear markets.

[satgoldan]

I think that now it’s just not a favorable time to enter the market, and this time does not spare anyone, together with scammers, good guys who have a really good idea fly away, some even have a product, but since this is a market too badly spoiled by manipulations and scammers, no one can succeed on it, except for those companies that raised their funds back in 2018 on a preliminary sale.

[duuuuude]

What the *eck is going on? we have many good projects coming into crypto space but they mostly end up failing, too many good new projects are dying as if they are been created to just die, what do you think its killing new good projects apart from scam projects?

It is not easy for new projects to achieve sales targets in the current poor condition of the crypto market. In addition to unfavorable market conditions, the number of scam projects affects investor confidence in investing. But fortunately now the token sale method uses the IEO method so that scams that harm investors can be minimized

Who cares now about the method of selling tokens when investor confidence has fallen to new projects. I feel this situation will continue for a long time because it is beneficial to someone.