A good ICO is also a Scam. - page 4.

Neymar10

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Quote from: Rostock on May 20, 2018, 04:23:54 PM

I began to notice that there are ICO projects that are quite good, but even they are a kind of Scam. I'll explain why I think so. First, people invest in this project at the most favorable (low) prices by buying tokens of this project, at least we are always convinced of this. But when it comes to the exit of the token to the Exchange - the price drops sharply and falls even below the original cost for one token. In some cases, it may fall 10 to 15 times. For example, the recent ICO project KickCity. The price of their token should be equal to 0.10$. Now the price for ONE KCY token is approximately$ 0.005, that is, the price fell when entering the exchange 15 times and this is not the only case. Investing in ICO ceases to be a profitable business.
What do you think about it?

I think that you are mistaken for the account of the fact that the ICO ceases to be a profitable business. So many projects are losing price, but really good projects are only expensive

Clavulanic

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Quote from: WaffleMaster on May 20, 2018, 04:42:51 PM

Well that's your first mistake right there. You assumed the market price of the token will be worth the same that the ICO is selling it at. Many factors come into play, and to me it sounds like what you were talking about was just a typical pump and dump with no innovation or purpose. A ton of ICO's are made by people who just hope it can get pump and dumped. The developers are the only ones making money in that situation.

That's merely a situational, because the devs are the one who will facilitate the funds to capitalize the trading of your ICO token. It happened that the project successfully earned huge funds, but eventually the website of the project doesn't seem to be honest to investors and bounty hunters. Although they've rewarded the tokens for those investors and bounty hunters it doesn't mean you won't be scammed. Scammers strategy can be the volume price at trading sites that became corrupted by the developers.

Classica35

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You have just assumed that to be applicable to all projects. Not all ICO will sell low after being lunched into exchange compared to the ICO price. What you should know is this - perhaps you have been investing into pump and dump coins. It might also be that you do not consider the major factor behind investing into good ICO. The product of an ICO is of utmost importance when investing.

steplaza

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In fact that's why there are several strategies to limit this event..like freezing tokens for a given period, or distributing them gradually. This avoids unwanted dumping post-ICO

cryptonx

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Futurov

sometimes the price is really need a long time to go higher from the ICO price mate
this just a normal price movement in the market

Mi5h0

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Basically, we have very different definitions of 'a good ICO'. Cheesy

As Hughesy26 already said, this is not the case with every ICO and you obviously pick your ICOs the wrong way.

jacaf01

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The revolutionary trading ecosystem

I do understand your concern, but you need to understand that because a price rise or fall doesn't make it a scam. I could remember Bitconnect price continue to climb until their exit recently. I was selling the idea of a ICO investment to a friend recently and his concern was that is not better to buy on exchange than invest in ICO because most of these tokens seems to dump on exchange and this is what indeed played out because the priceof the token is now below the ICO price and this is a project I believed in long term

WaffleMaster

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Well that's your first mistake right there. You assumed the market price of the token will be worth the same that the ICO is selling it at. Many factors come into play, and to me it sounds like what you were talking about was just a typical pump and dump with no innovation or purpose. A ton of ICO's are made by people who just hope it can get pump and dumped. The developers are the only ones making money in that situation.

Hughesy26

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This is actually a common trend in the stock market. It's called an IPO reversal. Basically all of the hype around a launch boosts the inital price of the stock/token beyong reasonable market levels. They often do reverse though - i.e prices fall, bottom out and then increase way beyond the inital IPO/ICO price.

If EVERY ICO did this then no one (smart) would invest in ICOs and instead they would invest at the bottom of this dip.

However, many ICOs do result in coins being much higher on launch day. Zebi for instance 4x'ed I believe. This is more likely to happen with a ICO with a low hard cap, as many people can't get in that wanted to.

So as a general rule, best to avoid ICOs with crazy (50m+) hard caps.

Rostock

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I began to notice that there are ICO projects that are quite good, but even they are a kind of Scam. I'll explain why I think so. First, people invest in this project at the most favorable (low) prices by buying tokens of this project, at least we are always convinced of this. But when it comes to the exit of the token to the Exchange - the price drops sharply and falls even below the original cost for one token. In some cases, it may fall 10 to 15 times. For example, the recent ICO project KickCity. The price of their token should be equal to 0.10$. Now the price for ONE KCY token is approximately$ 0.005, that is, the price fell when entering the exchange 15 times and this is not the only case. Investing in ICO ceases to be a profitable business.
What do you think about it?

Topic: A good ICO is also a Scam. - page 4. (Read 526 times)