Topic: ICO Exit scams have stolen more than 100M USD - page 3. (Read 363 times)

So what were the top five exit scam icos, i think this post should also list those icos so the community can become aware of such projects and could be more vigilant in investing.

As long as the investors are behaving like illiterates and being greedy, scam ICOs will never end. Due to the hype created in 2017 many people took the advantage of ICOs to raise money and made their scam exits. Investors didn’t learn much and jumped into crypto for grabbing some quick money and they paid the price for their foolishness.

It will be good to see the link where OP get the information as to where this news are from.


Its true though, we can't just blame the "idiots" who sends money to these projects because even those scam busters were even victimized. Scammers are just becoming very  good at what they are doing that they can persuade people from doing something upon reading their whitepaper..

These are really not good news.
Really a pity that the fraudsters have so much success.
Hopefully the wave of scam icos will eventually stop.
But as long as the fraudsters earn so well, they will probably not disappear.

These sort of news about scams are sad to bear and witness. Even though the people are warned about the red flags, they still fall for it and that is saddening.

First we need to know why that "investors" be scammed? Because they didn't have a careful research before invest in that projects, to know clearly information of the team. There is no reason for a project to commit fraud with a well-informed team.

The people knew the do's and don'ts of such scams and yet they proceeded with it. These sort of things should act like a warning for the people in the future to not be reckless.

That is true and it is either they will learn how to invest wisely or they would just put negative words into the market then put money into a scam again. I would highly recommend that they should learn the in and outs of the ICO s before they reinvest but knowing some of them they already put negative words into the market.

No organization can stop these scamers. I think that cryptocurrency legislation is the solution. The market is too chaotic. Everyone wants to swindle money. You can't believe anyone easily.Only by law to sanction them.

This is sad to see such news. But here the investors are to be blamed because they are the ones who did not do their research and fell into the trap.

ICO exit scams have now cost investors idiots nearly $100 million. FTFY.

There is no shortage of scam ICOs because there is no shortage of idiots who are willing to send their money to obviously shady trash. People traded Bitconnect for months after it was blatantly obvious to everyone that it was a pyramid scheme. The majority of ICO threads on this forum have people pointing out their obvious flaws, followed by 100+ newbies ignoring these flaws and posting vacuous nonsense like "great project" and "to the moon". The majority of newbies have no idea what they are investing in, and don't bother to find out.

Until this stream of morons dries up, scam ICOs will continue.

According to this news I read, is this the end of of ICO? Kindly read through and give your opinion
The cryptocurrency industry may be maturing, but that doesn’t mean it’s likely to shed its reputation as a playground for scam artists anytime soon.
That’s according to a report from Diar, which found that ICO exit scams have now cost investors nearly $100 million.
The majority of these stolen funds, an estimated $68 million, has been raked in by exit scams that have occurred during the first two weeks of August. The largest, allegedly pulled by the China-based Shenzhen Puyin Blockchain Group, raised $60 million from three separate ICOs before attracting the attention of the State Market Regulatory Administration (SMRA)
n another particularly morbid exit scam, the organizers of Block Broker, an ICO intended to fund the development of a platform that would “completely eliminate ICO fraud” exit scammed investors to the tune of $3 million.

In its report, Diar’s researchers attribute the proliferation of exit scams to the structure of the token sale fundraising model, arguing that it creates misaligned incentives.
They wrote:
“Unsurprisingly, the blatant exit scams continue to plague the largely unregulated ICO sector where the founders have no contractual obligation to deliver a product. After raising millions of dollars with no string attached, the founders’ incentives to actually build a valuable company are very limited.”
As Diar notes, the amount of funds lost to ICO exit scams is particularly bizarre considering how easy they are to spot when conducting even a moderate amount of due diligence. Many, for instance, use plagiarized whitepapers and fake profile pictures. One project famously used a picture of Ryan Gosling for its fictional graphic designer, while another featured a fake testimonial attributed to an image of Jennifer Aniston.
Nevertheless, fraudulent projects, including those that use other tactics than straight-up exit scams, continue to attract hundreds of millions of dollars from investors, often by using FOMO to trick them into acting against their better judgment.
Even supposedly above-board projects have used the hoopla around exit scamming to accrue media attention. As CCN reported, one startup — Savedroid, which raised $50 million from its ICO and other funding sources — executed a fake exit scam in a controversial publicity stunt apparently designed to drum up interest in an ICO advisory service that the project was launching.