ICOs burning your money?
The last FUD, gasoline ignitor, today is a report coming out of China, which allegedly has found that the average lifespan for an ICO project is only 1,22 years. Also, only 8% all of ICOs have surpassed that lifespan,
The publication can be found under this link and is originally from the news site China Money Network. The data is sourced there to be coming out of the "China Academy of Information and Communications Technology (CAICT)".
The Acadamy seems to be legit, seems remarked, according to their own website.
Attention has to be drawn to the mentioning of the Government in their front banner. As you may know, China has taken a negative, sometimes violent, approach against ICOs due to the miss of productive economic activities under the view of the Chinese government. The CAICT mentioned above is under the Umbrella of Industry and Technology Ministry.
Still, not all is lost to the restrictive Chinese approach. According to the news site, the Minister was heard to state the following at the occasion of a Blockchain summit in China;
"We have established verifiable blockchain programs in China, and nearly 200 private enterprises have expressed interests to join," He said. "(This) will help blockchain technology and industry to become more transparent and open."
There is no doubt that all the new money made in the recent decades in China is looking into lucrative businesses to invest. Still, the government is looking after certain international standards to control, what otherwise would be, total mayhem and flow of productive capitals into a nascent (unregulated) sector.
Though the numbers would be worrisome, for many, I still consider this as positive news. The change of approach of the Chinese party may indicate a certain room for further development of the Blockchain industry in China. As we know, many new projects are being based in mainland China, mainly software-blockchain development, while companies have to sit somewhere else for regulatory reasons.
Asides of China is also healthy to put some numbers on the high amount of unworthy projects there are out there. Con-man, scammers, and even, not too business intelligent people are just taking money from investors on the billions.
So now you know, try to keep in mind that from all those ICOs, if China is right, less than 10% will survive long enough to see the light of a business application. If you are a HODLer is something to take into consideration. For those trading mid-term, consider assessing the roadmap of that one-year-old ICO, you jumped in. It may be time for an exit manoeuvre.
 @Santana33 | ||
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ICOs are very risky....
Yes, they are, but you still can make a good pick if you have the time and skills to dedicate to it. Otherwise try to do your best research before putting your money on them. Thanks for your comment!
Definitely, No risk.... No reward.... volatility can provide opportunities if you have the appetite for risk =)
Hmm, well thanks for the info. I'm new to crypto and I hadn't luckily burn my money yet
Well, the title is more to call the attention. Still, is better to be wary, not all ICOs deserve your money. Thanks for commenting!
I see. You're most welcome anyway. Have a nice week!
Postingan yang bagus @santana33 saya suka dengan postingan anda dan saya ingin membagikannya postingan ini..
This is really scary... I have burnt around 50$, promise I won't do this again;)
better 50 than 5000, still, there are good projects to invest into, but you need to be careful. My recommendation, check the team, and where they are located. Sometimes to be in a caribbean island is not a good sign, it can mean they are ready to close shop after the ICO.
A lot of ICO's are made by students/starters that have never held large amounts of cash in their hands. Once they see millions they plans are often changing. That is the problem.
Kickstarter is facing the same problems...
I still want to invest but need some solid knowledge first:)