The ICO Fever Does Not Seem To Fade Just Yet
Posted By Anirudh Bhardwaj | 26-Dec-2017
ICO has been one of the most sought after methods of raising funds for a cryptocurrency venture. It gained immense support from the online communities and more than $3 billion were raised in ICOs during the first 9 months. The celebrity endorsements gave new strength to the increasing craze of Initial Coin Offering (ICO) and the mania reached its peak during the mid-summer in 2017.
But then, following the charges filed by SEC against some dubious projects operating under the nose, many ICO campaigns were shut down completely. Owing to the strict action taken against these project, many other ICO projects also failed and they had to return funds to the investors, causing whopping losses. However, it seemed to have a meager impact on the overall popularity of ICO and despite numerous condemnations, the ICO craze appears to be intact. After the strict action taken by the SEC, it was literally assumed that it will readily decline the trust of people in ICOs but it didn’t quite happened. Believe it or not, the number of ICOs in progress by this time is higher than ever!
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Is ICO In Danger? Not Really!
It turns out that the online media greatly exaggerated the news of ICO’s defamation. However, the last few months haven’t been that good for it. While a whopping sum of $828 million was raised in ICOs in October 2017, the figures fell down below $680 in the month of November. While most people call it a true indication of the decreasing slope of ICOs popularity, others are of the opinion that it’s just getting started. Remember the initial period of ICO’s advent. People could hardly fathom the significance of using ICOs for raising funds. During the first three months, it could only muster $21 million.
Clearly, the progress it has made in such a small time span is exemplary. In less than a year, more than $4 billion have been raised in ICOs and it will sure as hell cross the threshold of $5 billion in the coming weeks.
Although there has been a sharp decline in the revenue raised from ICOs in the month of November, the number of ICO campaigns running right now is more than ever. In addition to that, an increasingly large number of previously running ICOs were completed in the month of November. So the figures are not entirely bad and things are likely to get back on track pretty quickly.