46% of last year's ICO is SCAM

It has always been assumed that a large number of ICOs will fail, whether at the fundraising phase or when it comes to providing an actual project. It is difficult to establish the exact figure, since most questionable ICOs are slowly tiptoeing away like a thief, not a robber robber. Having completed an extensive research, Bitcoin.com estimated that 46% of last year's ICO is actually dead, despite having collected more than 104 million dollars.

ICO is even more dangerous than you think

Nobody expected that all ICO 2017-th year will be successful. But the pace with which they faded is quite unexpected. Tokendata, one of the more comprehensive ICO trackers, counts the 902 project that took place last year. Of these, 142 failed at the funding stage, and 276 has since failed, either because of the theft, or has slowly disappeared into obscurity. This means that 46% of last year's ICO has already failed.

The number of ICOs that are still working, in fact, is even lower. Another 113 projects can be classified as "half-failed", either because their team has stopped communicating in social networks, or because their community is so small that it means that the project does not stand a chance of success. This means that 59% of last year's projects are either confirmed failures or failures in the production process.

The digital cemetery of broken promises

Analysis 900 ICO is a very depressing picture, reports news.Bitcoin.com. Abandoned Twitter accounts, empty Telegram groups, websites that no longer work, and communities that no longer have development trends and are nominal to maintain the course. The digital cemetery characterizes the harvest of 2017 year. Some just decided to take the money and escape. Many raised zero, some raised a couple of thousand dollars and a handful attracted more than 10 million dollars. In each case, the end result was the same, there is no contribution to the decentralized network for the betterment of humanity.

Many of the ICO's dead were doomed from the very beginning. Not surprisingly, projects such as Clitcoin, Neverdie and Zero Traffic have not done so. (Update: Neverdie has been in touch since then to claim that reports of his death are premature.) Some projects that have fallen at the fund-raising stage do it again and again this year and hope that the failure of 2017 of the year can be written off as a trial version of the launch.

Lessons learned?

Many of the 531 ICOs that failed or failed since last year looked suspicious from the very beginning. In most cases, investors were able to identify the signs of this. However, not all have escaped failure, as evidenced by the fact that these projects collected about 233 million dollars. Since today the ICO craze does not show any signs of weakening, there is no reason to expect that this year the situation will be better. Given this, it can be assumed that investing in ICO in 2018 will be more risky than ever.

Author: Yevgeny Yakubenko, AnalystFreedman Club Crypto News

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