I think it is because of the early investors dumping their token right after it has been listed.
I don't think that there are any other reason or answer to this unless the team are dumping it .
The price drop are only happening because of the lack of demand as you can see once it is listed there is no one that wants to buy them.
Topic: What causes tokens been dumped after a successful ICO. - page 6. (Read 946 times)
Of course because of the hunters is one of the cause for the dumping the token even the project is very potential but not all is because of hunters even the investors of thw ICO maybe they sell their coin who purchased more than months ago so they will earn now money.
I think that most times is just because of the huge discounts given during presale. People can sell their coins once in exchange at ICO price and lower and still earn money, so that the reason why the tokens are dumped IMO.
In short they are not real dedicated development team but rather thieves. Made easy money out of other peoples' money. This tarnished and drag some good projects along with the bunch of scammers. Now investors are somewhat gone having bad experiences with shit ICO.
I this case, the project team are not even the problem but the investors that claim to join the community of a particular project and end up dumping the coin once it enters exchange and they see any little profit climb on it but like you still said, I will still say that projects too have their own issue, if the project is a good one and it has a very good product to speak for it.I believe it won’t become shitcoins easily like that since it is still not every investors that will dump the coin or do so at the same time, so many of these projects team really need to be up and doing if they want the project to be a successful one and not be dumped easily.
because all bounty hunters immediately sell all of their tokens together, and what's worse is that after the ico ends, no one buys even though the ico is successful. if the method is considered to cause a large dumb, it is better to pay using USD only for hunter bounties.
The huge bonuses given by the companies to their presale investors or large holders is. Most of the time pre sale buyers would get about 20% at most more tokens when they bought in the presale.
Its true, many people blame bounty hunters but i think hunters is not main factor why the price drop after listing in exchanger. Pre-Sale investor have huge bonus and discount, i think they just want making quick profits by selling their coin/token
it is wrong to believe that ICOs that have a successful sales,TGE, testnet,mainnet, ETC are been dump by bounty hunters and airdrops owners. whoever come up with that fact got it all wrong.
i strongly believed that TOKENs are been dump by the same investors that gained lots of bonus of their investment should be held responsible. Never and never will you put it on the hunters. it is business people. everyone wants to make money very quick.
My reason below:
A project minted one millions tokens and draws out plans for sales and distribution with this format:
50,000 for bounties and airdrops
700,000 for sales
100,000 for managers, ambassadors, legal team, and the rest.
150,000 for research, contest giveaways and probably burnt the remaining tokens and bla bla bla.
1 token= 0.001eth
minimum investment=0.1 therefore 0.1eth = 100 tokens
this is use case scenario)
ICO sales promises a tangible % of the minimum investment. eg 25% of what u invest) for 1st sales. if you invest, 1ETH, you get, 1000 token Plus 250 tokens= 1250 total.
10% of what you invest for 2nd sales. if you invest 1Eth, you get 1000 tokens plus 100 tokens = 1100 total
For the bounties and airdrops, there is every tendency that the highest earner for a bounty goes home with 2000 while the rest battles with the remaining 48,000 tokens.
there is also a probability that there will be left over at the end of the bounty distribution which the bounty manager sends back to the project owners.
it is very clear that this business is all about the more you invest, the high change of getting more tokens.I believe that since an investor can spend over 5,6 or more eth to gain huge bonus from his investment. he wastes no time selling off his goods immediately it hits the market and knowing perfectly well that he is on the profit.
EG
he spend 2 ETH to get 2500 tokens. (500 tokens are bonus) . The token hits the market at the price of 0.0005eth if we can start from that price.
he choose to sell back 2200 tokens at 0.000987 to get 2.1736ETHEREUM.
He gains 0.1736 from this sales and still a left over of 300 tokens in his wallet.
There is a probabilty that the price might go up. he might sell if he wishes or he can keep for the long term strategy.
While a bounty hunter that earns an average of 1,200 to 800 tokens manages to sell off at 0.000987 (if he earn 1200) to get 1.184eth which covers stress time, internet bills and miscellaneous stuff.
Also remember that while an investor is free to DUMP off his token and move on to another project, the hunter's token is luck up for months.
SO i believed that tokens are dumped in the market by the same investors once they are sure of profit in order to move to the next ico in the market. Not the bounty hunters or airdrop holders.
i strongly believed that TOKENs are been dump by the same investors that gained lots of bonus of their investment should be held responsible. Never and never will you put it on the hunters. it is business people. everyone wants to make money very quick.
My reason below:
A project minted one millions tokens and draws out plans for sales and distribution with this format:
50,000 for bounties and airdrops
700,000 for sales
100,000 for managers, ambassadors, legal team, and the rest.
150,000 for research, contest giveaways and probably burnt the remaining tokens and bla bla bla.
1 token= 0.001eth
minimum investment=0.1 therefore 0.1eth = 100 tokens
this is use case scenario)
ICO sales promises a tangible % of the minimum investment. eg 25% of what u invest) for 1st sales. if you invest, 1ETH, you get, 1000 token Plus 250 tokens= 1250 total.
10% of what you invest for 2nd sales. if you invest 1Eth, you get 1000 tokens plus 100 tokens = 1100 total
For the bounties and airdrops, there is every tendency that the highest earner for a bounty goes home with 2000 while the rest battles with the remaining 48,000 tokens.
there is also a probability that there will be left over at the end of the bounty distribution which the bounty manager sends back to the project owners.
it is very clear that this business is all about the more you invest, the high change of getting more tokens.I believe that since an investor can spend over 5,6 or more eth to gain huge bonus from his investment. he wastes no time selling off his goods immediately it hits the market and knowing perfectly well that he is on the profit.
EG
he spend 2 ETH to get 2500 tokens. (500 tokens are bonus) . The token hits the market at the price of 0.0005eth if we can start from that price.
he choose to sell back 2200 tokens at 0.000987 to get 2.1736ETHEREUM.
He gains 0.1736 from this sales and still a left over of 300 tokens in his wallet.
There is a probabilty that the price might go up. he might sell if he wishes or he can keep for the long term strategy.
While a bounty hunter that earns an average of 1,200 to 800 tokens manages to sell off at 0.000987 (if he earn 1200) to get 1.184eth which covers stress time, internet bills and miscellaneous stuff.
Also remember that while an investor is free to DUMP off his token and move on to another project, the hunter's token is luck up for months.
SO i believed that tokens are dumped in the market by the same investors once they are sure of profit in order to move to the next ico in the market. Not the bounty hunters or airdrop holders.
I don't think that bounty hunter has something big thing to do about it. It is not enough to say that bounty hunters sell the tokens that's why it dump, well, see the percentage of investment and selling, as well as bounty allocation, the percentage for bounty is too small.
In short they are not real dedicated development team but rather thieves. Made easy money out of other peoples' money. This tarnished and drag some good projects along with the bunch of scammers. Now investors are somewhat gone having bad experiences with shit ICO.
The huge bonuses given by the companies to their presale investors or large holders is. Most of the time pre sale buyers would get about 20% at most more tokens when they bought in the presale. Then they would either sell this once the coin is listed or hold it till it get pumped a little bit then they will dump all their bag of coins.
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It's widely known that the biggest dumpers are presale and private investors who get big discounts in ICOs. In your example, you are talking about one investor who gets a 25% bonus, which is relatively low considering that there are ICOs where early investors can get 50% or higher bonuses. They can easily sell their tokens, get profit and buy again at a much lower price.
Yes, you are absolutely right here. Some people always love to blame bounty hunters or supporters by calling dumpers! They should know the Private and Presale investors are the dumpers, and recently many partners are also being a dumper! Recently I involved with TCAT project where TCAT's partner is dumping the coin price and the TCAT team is buying back those to protect the price! For all of these reasons the token price is dumping and the successful ICO is not doing anything to protect the price!
Well this has become a normal trend in this bearish ecosystem, once a token gets listed after a successful ICO it dumps, one of the reason I think is that most list in very cheap exchanges with less volume and this automatically affect the price of the token because of less demand.
Token dump is just for profit, as a bounty hunter the most important reason why I dump my token when I receive is definitely to make profit and I know am not the only one that has the same mindset
If that us the mindset every bounty hunter has, then the tokens received will continue to dump and you might not see it rise again. It's just good there are exceptions to that, because many are now beginning to realise the potential in some coins.
The price dump when it hits exchange and the buyers or investors lost their interest on the coin because the team became inactive of giving updates after the token sale and not following the Roadmap that led to keep delaying all of their plan especially the launch of their working product.
most ICO are basically considered to raise money with little or no intent of protecting the investors resources and ensure that it becomes as profiting a project for the investor who invested money and the prospective investors too that will consider buying into the project in the longrun
all people want to earn some money that's why they sell tokens and it causes the price dump. but if the project is good it will be a short dump.
Is not it unreasonable to sell cheaply to make money? In order to make money in trade, you need to buy from low and sell from high price. Anyway, if they do not have the strategies to keep the price better, they should stay away.
If an ICO reaches at least softcap or much better hardcap they should have a buyback plan or trading competition, etc. to keep the price, not below ico price bounty allocation is often 1 or just 2% only on ICO Sales right? The project can easily buyback it to bounty hunters if they want to. Why they are not doing this maybe they don't have a plan some are just creating difficult claiming procedures after the bounty looks like they don't want to pay the bounty hunters they want a free promotion.
You have a point most of the time investors with huge bonuses they are the one dumping, not the bounty hunters.
I think they should try a different distribution method like distributing first on bounty hunter because bounty allocation is very low, create a buyback program and then distribute to ico investors.
Early bird investors with huge bonuses are the biggest dumpers as they taking the profit. Bounty hunters are here to be blamed. I have faced a situation when the hunters were blamed that the token price crashed and the hunters bounty distribution was delayed and no rewards was distributed to them at that moment.
You have a point most of the time investors with huge bonuses they are the one dumping, not the bounty hunters.
I think they should try a different distribution method like distributing first on bounty hunter because bounty allocation is very low, create a buyback program and then distribute to ico investors.
Early bird investors with huge bonuses are the biggest dumpers as they taking the profit. Bounty hunters are here to be blamed. I have faced a situation when the hunters were blamed that the token price crashed and the hunters bounty distribution was delayed and no rewards was distributed to them at that moment.
Token dump is just for profit, as a bounty hunter the most important reason why I dump my token when I receive is definitely to make profit and I know am not the only one that has the same mindset
If that us the mindset every bounty hunter has, then the tokens received will continue to dump and you might not see it rise again. It's just good there are exceptions to that, because many are now beginning to realise the potential in some coins.
all people want to earn some money that's why they sell tokens and it causes the price dump. but if the project is good it will be a short dump.
It's widely known that the biggest dumpers are presale and private investors who get big discounts in ICOs. In your example, you are talking about one investor who gets a 25% bonus, which is relatively low considering that there are ICOs where early investors can get 50% or higher bonuses. They can easily sell their tokens, get profit and buy again at a much lower price.
I support this one, as the discount is really big on presale and private investors.
ICO TEAM Should end this kind of thread, as they should give a lock in period on those people.
People telling that market is being dumped by bounty participants which is not true.
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