Topic: Are Initial Offerings Overpriced? - page 3. (Read 3510 times)
For example, look at the altcoins listed on CoinMarketCap. Pay attention to the coin statistics below the price chart. There is an important ROI index that represents the approximate return on investment if it was bought at launch. Some of the top-rated cryptocurrencies have a ROI of +5000%, other coins with low capitalization have a ROI of -95%. Undoubtedly, the initial offerings of such unprofitable projects were incorrectly calculated and extremely overpriced.
Initial offerings AR sometimes overpriced and sometimes extremely underpriced. If you get lucky, and there is a good team behind an initial offering, then you can make a significant profit. However, if the initial offering is shady or possibly a scam then it's possible that the founders made dump their coins after launching on an exchange, and you will lose all you invested.
It really depends on the specific company and their vision. If it’s something that’s really great then I think any price will be okay but if that’s not the case then it’s a struggle. I prefer to keep eye on Upcoming ICOs that has great potential and visible, as then you can understand if the price is right or not. It’s so important to analysis this because going into something over-priced is just not a worthy deal no matter what you do.
That is for projects that have vision, most projects right now are overpriced, and I think they just give those quote just to give the investors impression that the product is worth it, but not all those project will even use the money for the project. There are some projects that I have even seen that the amount quoted may even be too small for the kind of project that they wish to release.Based on the above point, developers don't care because they were never after the release of the project anyway, so they just give price and use it to quickly gather money from the investor and then the exit the market. I think that it is high time that very project that is seeking fund do a thorough analysis of fund they are requesting for, and then from there, we will be able to discern and decide if the project will be worth it or not.
While talking about initial coin offerings, we need to compare each and every one of them with the Ethereum ICO of 2015. I consider the Ether ICO as a benchmark for measuring the coin offerings. Back then 52 million tokens were on sale and the soft-cap was fixed at $16 million. Compare it to the current bunch of ICOs, who ask for $100 million or more, with even the initial phase of development not completed.
These youngins says that Initial offerings are overpriced when in fact its price is lower depends on Initial offering phase, whether its pre-sale or main sale etc.. I guess I can see your perception why'd you ask if its overpriced, everytime an offering ends and listing are on its way price is easily decrease due to the fact that major investors are dumping and smaller investors get left behind on selling. That is why you need to consider some factors before investing, first check the reputation of the team then the value of the company and product if it will go long term or just short term, lastly the foundation or backbone of the project. I can say initial offerings these days are weak as there is great competition when it comes to the market.
It really depends on the specific company and their vision. If it’s something that’s really great then I think any price will be okay but if that’s not the case then it’s a struggle. I prefer to keep eye on Upcoming ICOs that has great potential and visible, as then you can understand if the price is right or not. It’s so important to analysis this because going into something over-priced is just not a worthy deal no matter what you do.
While talking about initial coin offerings, we need to compare each and every one of them with the Ethereum ICO of 2015. I consider the Ether ICO as a benchmark for measuring the coin offerings. Back then 52 million tokens were on sale and the soft-cap was fixed at $16 million. Compare it to the current bunch of ICOs, who ask for $100 million or more, with even the initial phase of development not completed.
Whenever a company goes for an initial offering it is good to consider different factors.
- The company or the project backing
- Whether it is associated with profession
- Investment should be on long term focus
- If it is a startup invest accordingly and if it
is already established invest big - Initial offering prices were just values, but
we need to focus on the product worth - If something is found overpriced, don't invest
or go for small investment to experiment
It is very difficult to give a definite answer to this question in the current cryptocurrency. As well as we can not give a direct answer whether the course of bitcoin is overvalued at any given moment. At the same time, the current state of the cryptocurrency market can also not be called completely objective, since the price of altcoins almost completely depends on the price of bitcoin. Now regardless of which ICO project token appears on the market, all of them, as a rule, fall in price hundreds of times. In order for the market to set a normal price for cryptocurrency, you need to get rid of any price dominance on it.
When a startup goes IPO you know that they are either A) looking to exit on the most expensive way ever instead of getting bought or B) they want to buy more companies to go bigger. In one case the companies usually go slowly smaller and smaller and eventually go bankrupt, it has happened before and will happen again on companies that built their whole company on a premise that gets outdated eventually, aka Nokia type of issues.On the others however, it gets insanely higher, look at facebook for example, they bought whatsapp and instagram and god knows what else smaller and they became such a huge company thanks to IPO money. If you can put your money into that kind of company you will get rich and definitely prefer IPO, if you gonna get into first one type of company then doesn't matter if its IPO or ICO.
Lyft, Pinterest, Zoom, Uber… these are the big names went to IPOs recently.
It seems IPOs are roaring back, especially compared with the freezing winter for ICOs.
SophonEX uses data to study whether the winter will also appear for IPOs, and shall we invest in these initial offerings? If so, how?
https://medium.com/sophonexchange/are-initial-offerings-overpriced-29c896dba35b?source=friends_link&sk=4f04597535434f96c1fe05101ff15745
Don't be too concerned about pricing but ignore the potential of your business. Sometimes the issue price at the IPO is cheap compared to the next 10 years.It seems IPOs are roaring back, especially compared with the freezing winter for ICOs.
SophonEX uses data to study whether the winter will also appear for IPOs, and shall we invest in these initial offerings? If so, how?
https://medium.com/sophonexchange/are-initial-offerings-overpriced-29c896dba35b?source=friends_link&sk=4f04597535434f96c1fe05101ff15745
such as Google, had no one previously wanted to buy it and now it is one of the largest businesses in Europe. If the above projects have a certain development potential, try your luck.
It is very difficult to give a definite answer to this question in the current cryptocurrency. As well as we can not give a direct answer whether the course of bitcoin is overvalued at any given moment. At the same time, the current state of the cryptocurrency market can also not be called completely objective, since the price of altcoins almost completely depends on the price of bitcoin. Now regardless of which ICO project token appears on the market, all of them, as a rule, fall in price hundreds of times. In order for the market to set a normal price for cryptocurrency, you need to get rid of any price dominance on it.
We aren't talking on ICO project here but we do mention about IEO thing.Its true that is really hard to determine on what would should be the prices of these tokens being offered.We can eventually make calculations if we do just base up on the total supply and the price of each token.You will find out if that one is asking too much or just considerable price to have but as said theres no such factor or basis on where these tokens do rely their pricing.Im not saying its overprice nor being too cheap.
It is very difficult to give a definite answer to this question in the current cryptocurrency. As well as we can not give a direct answer whether the course of bitcoin is overvalued at any given moment. At the same time, the current state of the cryptocurrency market can also not be called completely objective, since the price of altcoins almost completely depends on the price of bitcoin. Now regardless of which ICO project token appears on the market, all of them, as a rule, fall in price hundreds of times. In order for the market to set a normal price for cryptocurrency, you need to get rid of any price dominance on it.
We aren't talking on ICO project here but we do mention about IEO thing.Its true that is really hard to determine on what would should be the prices of these tokens being offered.We can eventually make calculations if we do just base up on the total supply and the price of each token.You will find out if that one is asking too much or just considerable price to have but as said theres no such factor or basis on where these tokens do rely their pricing.Im not saying its overprice nor being too cheap.
It is very difficult to give a definite answer to this question in the current cryptocurrency. As well as we can not give a direct answer whether the course of bitcoin is overvalued at any given moment. At the same time, the current state of the cryptocurrency market can also not be called completely objective, since the price of altcoins almost completely depends on the price of bitcoin. Now regardless of which ICO project token appears on the market, all of them, as a rule, fall in price hundreds of times. In order for the market to set a normal price for cryptocurrency, you need to get rid of any price dominance on it.
Lyft, Pinterest, Zoom, Uber… these are the big names went to IPOs recently.
It seems IPOs are roaring back, especially compared with the freezing winter for ICOs.
SophonEX uses data to study whether the winter will also appear for IPOs, and shall we invest in these initial offerings? If so, how?
https://medium.com/sophonexchange/are-initial-offerings-overpriced-29c896dba35b?source=friends_link&sk=4f04597535434f96c1fe05101ff15745
It seems IPOs are roaring back, especially compared with the freezing winter for ICOs.
SophonEX uses data to study whether the winter will also appear for IPOs, and shall we invest in these initial offerings? If so, how?
https://medium.com/sophonexchange/are-initial-offerings-overpriced-29c896dba35b?source=friends_link&sk=4f04597535434f96c1fe05101ff15745
well maybe yes. but it is a trend and it is so normal that they become overpriced. thousands of people have been trying to participate the new ieos. the hype is really very hard for the ieos nowadays.
Initial offerings are not over priced because every project has its set target and based on these goals, price are set for the various phases for token sales. It becomes unfortunate if a coin drops in ICO, STO, or IEO price after listing and never show signs of rising to surpass that price. This is why investors must study the project well before joining in order to know the capabilities and potentials of the project.
In other words, each ICO team in its own way determines the value of its token at its discretion. In most cases, they do want to keep up with the latest practice in the cryptocurrency market and also overestimate the cost of their tokens. With this in mind, as soon as such tokens appear on the exchange, they fall in price. I, however, do not have any statistics on this issue, however, such a massive drop in almost all tokens should have a reason. 
Most of the new crypto project said the prices without any e basis of the current market situation that makes the people to hate the price of the tokens and completely ignore the good project as well without enough research about it.So team need to adjust the price based on their cap values.
Once they offer a price, that's already the price, we cannot make them change the ICO price unless there is a significant changes on the number of total supply. That's already pegged with the total supply, therefore it's up to us if we choose to invest on them or not because sure we can find other options in the big market of altcoins.
Sometimes yes, sometimes no.
Overpriced means the value derived from what you're investing in isn't worth the money. Conversely then, if the amount of value you can derive from the investment is greater than invested, then it's not overpriced.
As @carlfebz2 stated, the problem is that most people
For co-operatives, which CBF cares about, a valuation is always carefully assessed, even if that's 'projected' based on analysis that has speculative elements in it. ICO and IPO valuation, price setting, size, etc. should be the same. Too often it seems it's a case of what the founders would like to make, not what value can be returned to investors.
CBF
Overpriced means the value derived from what you're investing in isn't worth the money. Conversely then, if the amount of value you can derive from the investment is greater than invested, then it's not overpriced.
As @carlfebz2 stated, the problem is that most people
Quote
Don't know what the actual basis on each token price they are offering.
In fact, most projects don't know what the value is based on. In an ideal world it would be based on a carefully thought out business and financial plan that investors could understand. Too often white papers and other material produced by projects have no real planning or analysis, so investors making an evaluation on correct pricing is extremely hard, often bordering on impossible.For co-operatives, which CBF cares about, a valuation is always carefully assessed, even if that's 'projected' based on analysis that has speculative elements in it. ICO and IPO valuation, price setting, size, etc. should be the same. Too often it seems it's a case of what the founders would like to make, not what value can be returned to investors.
CBF
Time and experience show that 90% of ICO projects after entering the stock exchange cost 2-10 times less of their value during sales. This is partly due to the fact that during the initial sales and the announcement of the ICO, the price of cryptocurrency was significantly higher.
Most of the new crypto project said the prices without any e basis of the current market situation that makes the people to hate the price of the tokens and completely ignore the good project as well without enough research about it.So team need to adjust the price based on their cap values.
Coin owners perspective would be really different into those people who would support it.I strongly believe that
each coin owner do have the inspiration on making a coin which is more better than bitcoin.There are actually lots of them
existed as of today but people do still end up to support the most on where these all came from which is on bitcoin.
I would still not blame it on people for not giving their support to some of these coins that we feel have a better technology than that of their originator which is bitcoin, I blame their failure to the developers themselves because they lack the push and strength to drive the project forwards amidst discouragement. When bitcoin started, do not forget that it never got support too for years, but satoshi and its team kept on pushing hard on it till it had its major breakthrough.each coin owner do have the inspiration on making a coin which is more better than bitcoin.There are actually lots of them
existed as of today but people do still end up to support the most on where these all came from which is on bitcoin.
Prior to when bitcoin gained the trust of people too, there were so many projects on ground that people could rely on though not blockchain project, but gradually through their persistence, they were able to finally break the barrier, and end up becoming the most popular project till date, if these projects too are serious, they should stop complaining of support and continue to push, one day, they will surely succeed.
Lyft, Pinterest, Zoom, Uber… these are the big names went to IPOs recently.
It seems IPOs are roaring back, especially compared with the freezing winter for ICOs.
SophonEX uses data to study whether the winter will also appear for IPOs, and shall we invest in these initial offerings? If so, how?
https://medium.com/sophonexchange/are-initial-offerings-overpriced-29c896dba35b?source=friends_link&sk=4f04597535434f96c1fe05101ff15745
It seems IPOs are roaring back, especially compared with the freezing winter for ICOs.
SophonEX uses data to study whether the winter will also appear for IPOs, and shall we invest in these initial offerings? If so, how?
https://medium.com/sophonexchange/are-initial-offerings-overpriced-29c896dba35b?source=friends_link&sk=4f04597535434f96c1fe05101ff15745
I have to agree.
IPOs are overprices because they are over hyped . But that doe snot mean that all companies which conduct IPO has overpriced stock price. This means that a lot of niches are over hyped like new age of transport -UBER ,Lyft.
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