Skip to content

Blockchain News Feed

All the latest news on Blockchain & Cryptocurrencies

Menu
  • Home
  • News
  • Exchanges
  • Market Analysis
  • YouTube
  • Brave Browser
Menu

ICOs in 2018 Have Surpassed 2017’s Record Pace

Posted on juni 3, 2018 by Blockchain News

Funds raised via initial coin offerings (ICOs) in 2018 have surpassed the total amount in 2017, despite regulatory crackdowns on cryptocurrencies in China and clampdowns in the US.

In 2018, many startups raised significant amounts via an ICO, however, Block.one-backed EOS had just recently raised $4 billion, making it one of the world’s largest initial coin offerings. However, even before EOS’s ICO, the new fundraising method generated over $9 billion in 2018, with 343 offerings so far.

Although 2017 was a significant year for ICOs, as reported by CoinSchedule, an ICO data tracker, the cryptocurrency, and blockchain industry only raised $4 billion; less than half the amount raised in just six months into 2018.

“The ICO market is still hot,” said Alex Michaelis, the co-founder of CoinSchedule, in an email to Bloomberg. “EOS and Telegram have been big successful ICOs this year, albeit not a classic ICO in the sense that Telegram was closed to private investors only, and EOS has been trading in exchanges for a while, which influences the token price.”

ICOs Continue to Soar Despite Regulatory Scrutiny

While ICOs are hitting new records in 2018, they currently face significant regulatory scrutiny. According to Bloomberg, China banned ICOs late 2017 while the U.S. Justice Department has “recently opened a criminal probe” to assess whether traders are manipulating the cryptocurrency market. The U.S. Securities and Exchange Commission is also cracking down on cryptocurrency scams and questioning whether the tokens from ICOs fall under their regulation.

There is currently a lot of debate concerning the lack of disclosure and information provided to retail investors when startups raise funds via ICOs. The lack of data includes how the startup would use the funds and what rights token holders have. Unfortunately, many token holders don’t have many rights despite investing in the company’s tokens.

Although the U.S. is fairly aggressive when it comes to ICOs and fraudulent projects designed to scam investors, many ICOs including EOS’s, bypass the problem by preventing U.S. citizens from participating in the ICOs. According to Coinschedule’s CEO Alex Buelau, “most ICOs now have a clause that you can’t be an American or a Chinese investor to be a part of this ICO. So now ICOs are based out of Singapore, Estonia, Malta, or Gibraltar.”

Less Regulatory Oversight Not Always a Positive Sign

As reported by Fortune, Coinschedule’s significant ICO numbers may not always represent positive progress for the cryptocurrency industry. A lot of startups that have ICO’ed in 2018 were merely scams designed to trick retail investors.

An example is iFan, a cryptocurrency startup in Vietnam that raised $658 million to become the “most advanced social network.” The network was based on the Ethereum platform and designed for celebrities, their fans, and followers. Promises were made to investors of, “profit up to 40 percent monthly.” While investors could see the value of their tokens rise in the platform, they were unable to withdraw any of the profits in cash.

“There’s high amounts of early-stage speculation in cryptocurrency startups that could be really risky,” said David Pakman, a partner at Venrock. “And a bunch of those projects could never ship, or ship and end in failure.”

The post ICOs in 2018 Have Surpassed 2017’s Record Pace appeared first on BTCMANAGER.


Source: BTCManager.com
Original Post: ICOs in 2018 Have Surpassed 2017’s Record Pace

Ledger Nano X - The secure hardware wallet

Recente berichten

  • Ethereum-Based Decentralized Exchange Token Explodes 50% As Project Releases Yearly Report
  • Bitcoin paints Nasdaq green as NCI index marks 38% gain in January
  • Berkshire Hathaway's Charlie Munger Calls for Crypto Ban in the US
  • Bitcoin Price Can Soar Above $25,000 Due To Debt Ceiling Debacle – Here’s How
  • Blockchain Analytics Firm Chainalysis to Cut Jobs in Reorganization

Categorieën

  • Altcoin Buzz
  • Altcoin Buzz News
  • AMBcrypto
  • Bitcoin.com
  • Bitcoinist
  • BTC Manager
  • CCN
  • Coin Mastery
  • Coindesk
  • Coinpower News
  • Cointelegraph
  • CryproSlate
  • Crypto Daily
  • Crypto News (.net)
  • Cryptocoin News
  • Cryptocurrency News
  • CryptoDaily.co.uk
  • CryptoPotato
  • CryptosRUs
  • Daily HODL
  • DataDash
  • Ethereum Worldnews
  • Exchanges
  • ICO's
  • Invest in Blockchain
  • Market Analysis
  • News
  • News BTC
  • Newsbit
  • Portfolio
  • Pricecheck
  • Ready Set Crypto
  • The Modern Investor
  • ToshiTimes
  • Use The Bitcoin

Archieven

  • februari 2023
  • januari 2023
  • december 2022
  • november 2022
  • oktober 2022
  • september 2022
  • augustus 2022
  • juli 2022
  • juni 2022
  • mei 2022
  • april 2022
  • maart 2022
  • februari 2022
  • januari 2022
  • december 2021
  • november 2021
  • oktober 2021
  • september 2021
  • augustus 2021
  • juli 2021
  • juni 2021
  • mei 2021
  • april 2021
  • maart 2021
  • februari 2021
  • januari 2021
  • december 2020
  • november 2020
  • oktober 2020
  • september 2020
  • augustus 2020
  • juli 2020
  • juni 2020
  • mei 2020
  • april 2020
  • maart 2020
  • februari 2020
  • januari 2020
  • december 2019
  • november 2019
  • oktober 2019
  • september 2019
  • augustus 2019
  • juli 2019
  • juni 2019
  • mei 2019
  • april 2019
  • maart 2019
  • februari 2019
  • januari 2019
  • december 2018
  • november 2018
  • oktober 2018
  • september 2018
  • augustus 2018
  • juli 2018
  • juni 2018
  • mei 2018
  • april 2018
  • maart 2018
  • februari 2018
  • januari 2018
  • december 2017
  • november 2017
  • oktober 2017
  • september 2017
  • maart 2017
  • juni 2016
  • juli 2014
  • september 2013
  • augustus 2013
©2023 Blockchain News Feed | Design: Newspaperly WordPress Theme