The biggest ICO to-date, limited to rich accredited investors and banks only, has raised $1.7 billion according to Securities and Exchanges Commission (SEC) filings. In an update on Thursday Telegram…
The post appeared first on .
Recently, Google, Facebook and Twitter have all announced a ban on cryptocurrency and coin offering advertising. Projects which were easily reaching their hard caps of hundreds of millions of dollars in 2017 are now having trouble meeting their hard caps of tens of millions of dollars. In the face of regulatory scrutiny and the current bear market, many are delaying their crowdsales or even calling them off.
We are in an ICO Winter — but that’s not a bad thing.
Adaptation
Challenges force adaptation. The ad bans will make it harder for scammers to succeed, while good teams will still be able to find ways to market their projects. Government regulation is preventing every Tom, Dick and Harry from starting an ICO with a copy-and-pasted whitepaper and website, but it’s not preventing the solid projects from going forward. The bear market is forcing investors to look at projects thoroughly, reading their whitepapers, understanding their teams and doing more research, rather than throwing their money at every promising idea.
A Healthier Ecosystem
At the , we understand the current environment is tough for both investors and companies trying to raise funds, but we think in the end it will make for a healthier ecosystem. With our platform we’re creating a way for blockchain projects to go through due diligence processes similar to what traditional startups face when raising funds. Instead of letting every project through without scrutiny, we’re create a framework of what a solid project should look like and helping companies achieve that model.
For projects that pass our muster, we provide accreditation through a credit rating, and also help with insurance underwriting. This will not only provide protection for investors but help startups succeed in their fundraising by building faith in the project. Together, we’re helping the crypto community get through this Winter and build a healthier token sale ecosystem.
was originally published in on Medium, where people are continuing the conversation by highlighting and responding to this story.
