Topic: Do you feel ICOs try to raise too much? - page 12. (Read 1759 times)
Yes 99% of the ICOs are raising way too much money than required. I've seen some social networks ICOs raising 5 - 6 million. It won't even cost a fraction of that. I can build a better network with only $10000! Lol. They raise too much of money so that the team can be millionaires. I've just given you one example but there are 100+ ICOs like this.
Way too much they are definitely over reaching but there's no repercussion for them doing so.
of course they are expecting too much..
look at the ICOs nowadays.. minmum hard cap is 6 million
do we really need 6 million dollar to create an app or trading site which they advertise on their white paper?
they want to cover the cost of their ad campaign , i think. look at the ICOs nowadays.. minmum hard cap is 6 million
do we really need 6 million dollar to create an app or trading site which they advertise on their white paper?
of course they are expecting too much..
look at the ICOs nowadays.. minmum hard cap is 6 million
do we really need 6 million dollar to create an app or trading site which they advertise on their white paper?
look at the ICOs nowadays.. minmum hard cap is 6 million
do we really need 6 million dollar to create an app or trading site which they advertise on their white paper?
Due diligence on the investors part is one solution. Some ICO's fly with just a white-paper and nothing else. These guys even get upset when you ask relevant questions and seem to forget that they are asking for money. If all the investors started asking for financial spread-sheets and projections, it would be immediately obvious if the ICO's goal was over-capitalization. You don't need 200 Million for a venture if it can be achieved with 1.5 Million and 200K for unforeseen events. So 1.7 Million is all they need.
They can even have a second round of fund-raising if it is required later on. This way investors can see the progress made compared to the projections made previously and even have a rough idea of their expected return on their investment. If all is well then the second round can be started.
If the founders over estimate the worth of their project, these financials will bring them back to earth. Blatant over-capitalization is a well known red flag. You could check out a Prospectus from a real company running an IPO to see what I mean.
To bring expectations back to reality, all you can do here, is start asking the hard questions. If you are not satisfied or they ignore you then move on. Your money is still safe.
The other solution is government regulation, which could be a bitter pill to swallow in this space.
They can even have a second round of fund-raising if it is required later on. This way investors can see the progress made compared to the projections made previously and even have a rough idea of their expected return on their investment. If all is well then the second round can be started.
If the founders over estimate the worth of their project, these financials will bring them back to earth. Blatant over-capitalization is a well known red flag. You could check out a Prospectus from a real company running an IPO to see what I mean.
To bring expectations back to reality, all you can do here, is start asking the hard questions. If you are not satisfied or they ignore you then move on. Your money is still safe.
The other solution is government regulation, which could be a bitter pill to swallow in this space.
Hey, I'm interested in everyone's opinions on this. I find so often when looking for ICOs I come across something that sounds like a good idea but then am instantly put off when they all seem to trying to raise 10s of millions for something I would deem could be perfectly possible with only a couple of million or even less.
Do you feel that ICOs tend to try and raise too much? If yes, do you think this is out of greed for their own personal gain or simply because they over estimate the worth of their idea?
Do you feel there is anything we can do as a community to bring expectations back to reality? Other than waiting for ICOs to continually under perform and then eventually expectations adjust?
Do you feel that ICOs tend to try and raise too much? If yes, do you think this is out of greed for their own personal gain or simply because they over estimate the worth of their idea?
Do you feel there is anything we can do as a community to bring expectations back to reality? Other than waiting for ICOs to continually under perform and then eventually expectations adjust?
Very well said sir. In the past, projects didn't use to ask that much money to raise. They used to limit themselves within a logical amount. Then they saw the hype around the projects. And they started to try raising whatever they can. Maybe the cost would be $1M for that idea, but they collect $10M for it interestingly.
Hey, I'm interested in everyone's opinions on this. I find so often when looking for ICOs I come across something that sounds like a good idea but then am instantly put off when they all seem to trying to raise 10s of millions for something I would deem could be perfectly possible with only a couple of million or even less.
Do you feel that ICOs tend to try and raise too much? If yes, do you think this is out of greed for their own personal gain or simply because they over estimate the worth of their idea?
Do you feel there is anything we can do as a community to bring expectations back to reality? Other than waiting for ICOs to continually under perform and then eventually expectations adjust?
Do you feel that ICOs tend to try and raise too much? If yes, do you think this is out of greed for their own personal gain or simply because they over estimate the worth of their idea?
Do you feel there is anything we can do as a community to bring expectations back to reality? Other than waiting for ICOs to continually under perform and then eventually expectations adjust?
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