Hi folks,

I was looking at coinschedule.com today and saw a large bunch of greedy fundraisers There are at least 6-7 new ICO launches every single day. This is causing market to be flooded with excessive ICO launches

If we do a simple arithmetic calculation, this implies we should expect to see 200 new coins every month and in a year time an additional 2,400 coins.

Important facts about ICOs

Many of these ICOs are unregulated and do not provide protection to investors in case of fraud or loss Most are utility token so they would not fall under securities act, and if there is no working or adopted platforms, they are rendered worthless. Most are scams with only whitepaper or a draft prototype and asking for sky high valuations. 90% of these companies would not be around in the long run in view most of these are start-ups.

Views

If the current ICO excesses continue this could bring a regulatory hammer down on the entire industry. Already China has declared ICO as illegal and South Korea has already banned ICO and we expect more countries to join in these bans, if current ICO excesses continue

Expect ICO fever to subside. Already we are seeing less fund flows in ICOs. Many investors have learnt the hard way and already know that recent launched ICOs in Sep and Oct have mostly underperformed and it’s better holding on Bitcoin than participating in these ICOs

Excessive amount of ICO will eventually push altcoins prices down and hike bitcoin prices as investors would prefer to opt for safe haven grounds in the digital currency space.

Recommendations

Stop looking at ICOs until the market excesses are resolved. Simply hodl your BTC. They would easily outperform 99% of new ICO launches.

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