Why buy tokens in 2018 is still worth it?
Since crowdfunding or tokens issuance since the tokens' sales, the first to emerge is a form of financing that has undergone major changes in this young market. The first project seems to be ideal, and teams without any specific plans will raise millions of dollars in encrypted or legal currency. But everything thanks to comparison and time.
Within a year, the market "grew" and now we see a great deal of resources, tools and analysts who divide the project into "brick and mortar" looking for the slightest signs of fraud or simply a lack of foresight. Today, the tokens face serious competition: more and more creators are turning to crowdfunding sales and raising money for their projects. We will not discuss crooks and fraudsters, their purpose is simply to put the money in your pocket and then disappear: saying that their existence will only make the situation more complicated. So what exactly has changed so dramatically in the world that why purchasing tokens now is more appealing than it was a year ago? Everything was just beginning.
Rationale 1: The development of market maturity and recessive sign of "correct tokens issue"
On the one hand, it looks as if the bonus bonuses from the tokens have been over and there is no promise in this area: potential token buyers become agitated and skeptical, requiring the project to become more tedious, and the term "blockchain" Has lost its appeal, almost incredible pull, no longer make the public impressive. That's right, those who want to "catch" some simple money and then run away do not like it at all. On the other hand, competition normalizes the market, requiring project writers to pay more attention to everything from raising funds to implementing their promises. In reality, we are now in the situation where anyone who wants to launch a project to create a crowdsourced package must have a clear plan of action: "what," "how," "when," and "who" It will be implemented.
This creates a situation unknown to ordinary buyers: buying tokens in any one project is now more attractive than a year ago. The main reason is that it is much easier to detect a complete scam, and a project that is weak or has no connection to an encrypted economy or frontier development will not receive any funding from investors. Whale is now working very closely on project documentation and has developed a full set of Red Flag requirements that automatically remove the entire project if not satisfied.
The main requirement set by mainstream players is that the use of tokens as a fundraising method must be reasonable. In 2017, the web page has witnessed a wave of projects that have nothing to do with crypto economy and has released tokens without feature-based support, simply using them to raise money. Naturally, this "token" goes straight to the bottom right after the transaction is over. To a certain extent, an establishment has been developed in practice: if a project does not require a token and does not have a suitable and understandable way to adapt to the platform's workings, the project will be marked as suspicious , And does not belong to token distribution and crowdfunding list. The same is true for blockchain technology: chasing speculation, dozens of projects and hundreds of projects have started to launch tokens, seeking money from cryptocurrency investors (hoping to develop people who encrypt the economy) and encouraging them to invest in The area has nothing to do with the project.
There are fewer and fewer such projects now. Of course, fraudsters are still active and vigilance is necessary, but a series of high profile failures sends a strong signal that encrypted communities will not welcome these types of programs. The "maturity" of the industry makes the acquisition of tokens more and more attractive and secure, both for individual buyers and for major players who are prepared to invest hundreds of thousands, if not millions, of dollars That's all.
The industry has basically stabilized and continues to grow, but at a brand new level of quality in its projects. By the end of 2017, a suitable list of needs and analytical techniques already exists, excluding unworkable items and people eating white food. Now, just wanting to raise funds for a successful tokens issue is not enough. The project needs a viable idea, an economic model, a guarantee for investors, and an experienced team. Only a combination of these qualities will ensure successful crowdfunding.
Reason 2: Encrypt the high volatility of the currency.
However, the support for crowdfunding sales of cryptographic tokens is not only provided by the normalization and maturation of the industry but also by the high volatility of cryptocurrencies. Most projects, which operate almost exclusively in the gray areas of government laws in all countries, only raise funds in cryptocurrencies so that founders do not face legal problems with company registration. In December 2017, we reported on the fluctuation of bitcoin exchange rates and predicted that there will be an amendment to the bitcoin exchange rate between January and March 2018, at least for a slowdown. It turns out we're right, but overoptimistic: Since then, the value of bitcoin has dropped from $ 1.7-2 million to $ 7,500 (as this article does).
One way for cryptocurrency holders to secure revenue and move to more stable assets is to buy a project token. Yes, this means that the investment amount is frozen for 3 to 12 months (the average period is the project implementation, from the funding stage to the release of the version), but it allows investors to diversify the currency portfolio by "parking" a portion of the funds to avoid the exchange rate Fluctuation issues. To be frank, what is the difference between this and long-term non-recurring savings deposits?
Reason 3: Regulatory agencies and government action.
For many years, China has been a "safe haven" for miners. Their access to preferential contracts, the purchase of electricity in the provinces, their subsidies and good working conditions have led to the mainstreaming of a large part of the world's population in China, making China the center of an encrypted economic infrastructure one. After the Chinese government announced it will begin to regulate the creation of cryptocurrencies and the entire market, by the end of 2017 everything will have changed fundamentally. As a result, miners first lost their ability to buy electricity in the province and their activities were virtually completely banned. One of the most important recent news is the ban on the issuance of tokens by Chinese authorities as a way of raising funds, which has a direct blow to the stability of cryptocurrencies.
With the exception of China, other governments around the world have shown a poor trend toward strict regulation. For example, the Indian government follows the example of its neighbors in the region: it announces that it will begin to regulate the industry and embark on active law enforcement. For example, block access to locally-encrypted currency trading accounts that operate within the country. Other officials around the world are also talking about "regulation" of cryptocurrencies, which they actually mean to ban the currency.
Therefore, it is becoming increasingly impossible for cryptocurrencies to become a widely used means of payment, rather than a tool for speculation and accumulation of wealth, under these circumstances. Against this backdrop, the only noticeable thing is that the government of the Republic of Belarus regulates and legitimizes the cryptocurrencies, tokens and activities related to the issue of token products and mining. However, this Eastern European country does not have the strength enough to significantly affect the business environment outside its region.
In this case, what to expect, what to do!
After the Chinese New Year, the market can only stabilize: Until then, commercial activity of one of the world's largest economies will remain stagnant. Cryptocurrencies also feel the pressure from regulators and some positive new stories can not offset the negative effects.
However, in spite of the activities of regulators and local governments, cryptocurrencies, especially bitcoin, have been partially accepted by the traditional financial community. This is evidenced by bitcoin futures trading at CME and CMOE on two Chicago exchanges. In addition, as one of the world's largest exchanges, the leadership of NASDAQ also expressed interest in such securities. Therefore, people can confidently say that the current situation is only a partial economic downturn, after which the growth of the encrypted economy will eventually return.
Given all that is going on, a good option for cryptocurrencies is to buy tokens that have launched their tokens issue or are in the process of selling close to their main token. One of the projects is the Hamster Marketplace, a project that aims to create a decentralized trading platform for independent manufacturers of electronics and electronics. Unlike a year ago, the Hamster Market not only received "currency exchange rate earnings" commitment and support for future planning, but also by experienced developers and managers support, and no one completely Take advantage of the market. This is a mature project, it is not created under the conditions of "nursery school", but in the fierce competition.
Hamster Market meets all the needs of industry experts currently doing crowdfunding sales. For example, the platform's creators are taking serious steps to protect the exchange rate of their "tokens" due to the competition and caution of potential token buyers. More importantly, steps were taken to freeze some of the tokens held by early investors who joined the project on special terms, bounty hunters and the team itself until the public beta was nine months after the end of fundraising Announced. In addition, the team published the internal and beta releases of the project very rigorously as they are the decisive factor in the overall success of the project