I have been pondering the effect of scams on the cryptocurrency market. Are investors who fall victim to ICO scams more likely to move to Bitcoin or is it a case of 'once bitten twice shy' and they avoid cryptocurrency investments altogether?
From the 2nd quarter of 2018, there was a sharp drop in ICO investments, and during that period Bitcoin was deep in the bearish market which lasted all through last year and the first quarter of 2019.
The ICO market has failed to completely recover, but Bitcoin has been making surges, and still waxing strong.
This also asks the question, are we getting closer to the point where all other currencies would have fallen too far behind and the Bitcoin network would stand more prominent and truly dominate the market? Of course, some altcoins would stand the test of time, but when we enter a dynamic phase in the cryptocurrency market, where it would be very difficult or impossible for scammy projects to spring up.
As an investor, how have you handled losses and scams in ICOs?
