Is it still worth investing in ICOs? An expert's look at the present and future of these crowdfunding activities.
Le initial offers of coins (ICO) continue to play a leading role in the cryptocurrency universe, but an industry expert like Brian Kelly has just told CNBC that - probably - the market is overvalued, and that investors continue to increase a "waiting mode" that could fuel a new one awareness of this tool.
“People are starting to say, 'I'm going to put a brake on ICOs right now. I don't need to participate in a seventh or eighth ICON '"The cryptocurrency investor told the media, later stating that, for him, ICOs are no longer as attractive as before.
Kelly has particularly specified how the ICO market, that is of the initial offers of coins, is a way to raise funds in through crowdfunding to be used for new projects, and that this context is evidently "very frothy". Kelly also recalled how more than 300 ICOs were launched in the first half of 2018, which is almost the same entity as of all 2017. And to date, in the first six months of this year, more funds than all the money have been raised collected in the past year.
READY, a social entertainment platform, has for example raised $ 575 million from the sale of its tokens. Rapper Akon plans to launch his own criptovaluta, appropriately called "Akoin", to be used in "Akon Crypto City", which is located in Senegal.
The expert, founder and CEO of BKCM LLC, an investment company focused on digital currencies, then stressed that the United States is not a big player in the ICO market, while Asia is, particularly in those countries where regulatory issues may be less stringent.
Another change is related to the currency used. Many of the ICOs were in fact financed with US dollars and not with cryptocurrencies.
