The only difference is it's much easier to create an altcoin.
It cost you almost nothing and there're no regulations at all.
I'm guessing that in a few years we'll have more altcoins than penny stocks....
It cost you almost nothing and there're no regulations at all.
I'm guessing that in a few years we'll have more altcoins than penny stocks....
Not at all brother.
Some altcoins have future and survive then become a penny stocks but some might die and some are shitcoins.
Yes its easier to make altcoin but the question is this will have worth or can be listed in exchanges like bittrex and liqui.io? Include the fact that penny stocks and altcoins are a lot different like penny stocks are real while altcoin is virtual. Virtual that can be just real if it converted to fiat.
I think it is about the maturity of the market, Haesoo is right on the creation of coins and THERE IS NO REGULATION at all, however IMHO, this will not last for long. As more and more "investors" participates in ICO, it will be a matter of time before regulators step in and impose control. As long as the interface between fiat currency and crypto is "choked" at Financial Institutions (withdrawal of deposit of fiat to buy/sell), there will be a possibility of regulatory oversights.
However, all that being said, it might come a time whereby exchanges take on the role of being the "gatekeeper", i.e. if altcoins do not pass their due diligence test, it will not be listed. If altcoins is not listed in "major" exchanges, it will make it less attractive to invest.
who knows... future ICO would have a pre-condition of being accepted to exchanges before launching?
I agree that the exchanges will be the gatekeepers. Exchanges will also be bought out by wall street!
You are right, it would be just a matter of time whereby exchanges would be run by the big boys (if it ain't the case now), we could see a uprise of "authority" who provides "ratings" for ICO like how S&P/Moody/Morningstar/etc are providing as a service, however their impartiality was also questioned during the sub-prime crisis.
Bottomline, do your own assessment on the underlying biz and make a decision if you want to punt.
Do you think the SEC will start regulating these coins?
