Topic: What is happening to new projects? - page 4. (Read 5849 times)

its because people are making projects just to make money or experiment
its like in real life.. 95% of the startups fail and it always was like that.

One of the important thing that project team was forgetting was their real investors too, they don't protect them, they don't make them feel that they worth it, they keep saying that they should do their own research and what they are doing is long term, but in reality most of the time after the ICO/IEO there is no security and assurance that they will do buy back to protect their investors, they don't care at all.

I concur completely, your response was generously packed with holistic insight.
Would you be as generous as to allow me to send a link to a concept paper (pdf)
that I believe has the potential of meeting and perhaps even exceeding the criteria
you outline in the post above?

In any event, I consider you a great find and one of a handful I've encountered
with the breadth and depth of understanding you bring to the table. Thank you.

One of the reasons why projects fail is that the team makes very big projections of what they ''aim'' to do without being sure of the possibility of getting the required resources (Human and Non-Human) to help achieve that huge goal of the project. The problems starts from not been able to get enough funding from the fund raiser event, sometimes delivery a substandard product with bad UIX if at all they are able to kick off. Greed on the team side has a role to play when pointing factors that could be responsible for failed projects. the list goes on

Do you know why most of the projects nowadays are failing? It is because of the greed of the developers, they focusing in profit and not the development of their project. I also having tough time on finding a good investment nowadays and I allocate more of time in researching for me to ensure that my capital will be safe.

I don't think current market is a only big reason to fail majority of the projects. Too much scam projects is the main fact for failed ICO but IEO is depend on exchanges. New IEO can't success for the shitty small volume and liquidity exchanges. But i'm looking there are many potential projects are coming right now.

The way i see it, i never see ICO/IEO really explaining a real business model, there is the part about the project they want to develop and everything about the token and how to buy it, but what is very rarely if ever seen, is how and when they will have something to sell, how many they are planning to sell, and how this will translate to the token sold in the ICO rising price on the exchange.

If the only thing they have to sell is the token, then it's already sold at the end of the ICO. Even if the project get actually developed and running, it's mostly free of use, or the benefits don't go the developers, fees and block reward go to the block makers, and it's the only fee there is for using a blockchain. Even if the token is fully used in an effective business after, it's not a very good thing that the initial token price is adjusted on speculative value rather than on the price of whatever service are using the blockchain.

It looks more like non profits funding in a way, that people pay to develop a product or another that they think will be useful, and the ROI would be on business that need the blockchain to run, but not on the token itself.

Like if blockchain are used for an energy grid, like a project i made a study for, then the token would be emitted when a producer emit some electricity, and can be transferred to a customer to use this electricity. The total "market cap" at a moment is the amount of energy produced on the grid. And the token price is determined by electricity producer.

With the ICO model, if there is already plenty of token in circulation before the first watt is produced, it mean there will be a gap between the price that the investor expect to sell their token, and the value of the token based on energy cost.

And the way i see it, it would be the same with any model in the 'classic' economy. The same unit cannot be used as hype pumped value to sell as fund rising with perspective of future profits, and then by user of the platform as a way to access a service or acquire assets. So even if the project work and there is a demand for the use of the platform, the token users will be buy will be a different unit than the one sold at the ICO, the price of the token for users will be a completely different model than the model used by people buying on the ICO as a speculative asset.

And if the only product is the token where all the value is derived from hype and speculation, ICO are mostly a one shot thing, you can't hype the same thing twice to sell it with a multiplier, or then it become clearly a scam to begin with.

So it's why i really have hard time to see what people expect and even on which basis to call project that doesn't do x10 in a year a scam, because as far as i know, they never really say how much profits they expect to make, when, and how this is going to translate to lot of people buying the token at several time to ICO price. So it's implied already that there is no sure profits out of it, no garantee of ROI, neither the quality of quantity or time of it.

And if the idea is to fund project to develop a product, then it's more like non - profit fundation, like ethereum or cryptonote or firefox or other open source projects that are non profits organisation, and there is no ROI in the model.

That they can reach from zero To a certain price yes, that they can multiply the post ICO price by several without some pump or price manipulation i dont really get it how.

Im not pessimistic about crypto, but the initial offering model seems misleading, and in any case its not like a share in a company , even if "if the team is nice" They can always  buy the tokens back at certain price if the projets get more benefits, but there is no obligation to do so, and its not clear at which rate They should buy it under which condition etc the model is different  from share in a company as a % of the total benefits that the company will do selling product other than the shares.

Im a bit doing a caricature too, ICO can be a good way for start up and developper to rise funds quickly,  but its hard to see how a potential success will lead to multiplication of the post ICO token price, and how the ROI is supposed to work, especially with the high expectations following bitcoin success.

I just watched some ICO/IEO lately, they never really explain the model by which they are going to multiply the ICO price where most of the value is speculation and hype.

Many new good cryptocurrency projects are dead and in danger of dying. killing good new projects can cause a lot of fluctuations in the market, but otherwise the market will operate very difficult.

the developer will not be able to give more confidence to investors, because investors will have their own beliefs about related projects and in this case at least investors will be more careful to put their money in, because it's useless when there are new projects that don't have long term products, then in the end it will make it more difficult for the project to get investors

New good projects are also in the danger zone, except for any projects. these projects can die at any time like scams. You try to notice that.

Why is it so pessimistic about all projects and cryptocurrencies? The cryptocurrency market is very young and that is why speculation and scams  flourish here.Of course many projects had stupidly collecting money and running away, deceiving investors. But there are projects  that give a real product-sale goods, services, energy capacities for miners. I met such projects. Their tokens have a price, an investor can always sell their coins. So the principle of partner and shareholder is real and works in cryptocurrency market.

Sounds interesting, seems that I have already heard of Housinet from someone, but will definitely check out more shortly. Thanks for the recommendation!

Nope, not many. The most advanced one for me these days is Housinet - have you heard of it already? Basically, an ultimate solution on property management industry that combines many tools for landlords, people who want to rent the house and more. Kinda helps to get much more from just renting the properties with collecting a lot of different metrics, analyzing downtimes etc

I am having similar opinion. By the way, are there many advanced platforms you can recommend to have a look at? Of course, interested in the ones that meet requirements you've just outlined

I fully agree with you on that. Even though, there are many people who don't evaluate something on their own. I mean the might be watching the ratings and coming to the conclusion that the token will grow and solution will be in higher demand. However I would say that there are much more points that requires attention - practical value, adoption, prospects, industry standards and else

This is why not only hype matters, but analysis. I mean, from my point of view, it is very important not to just follow the trend, but also conduct own research and evaluate the solution personally

Investor markets are now turning to trading and investing assets that are already circulating in the market. for a new project maybe as you said it will have difficulty in getting support from investors. building trust will be very difficult. but if the developer succeeds in providing the confidence needed it will be good. but I think we can only see this in a few projects.

Most of the ideas about cryptocurrencies have been reflected in the projects that hosted the ICO. they are starting to run out of ideas and the downturn of the crypto market worries big and small investors.
New projects will not have enough money to develop a project. therefore, the possibility of success of new projects is very low. If they have a specific product launched, they can get an investment. Or only when the market returns, can they raise capital successfully.

With new projects, there are two big challenges. First, they need not to be scam. As most of the market is about frauds so people hesitate trying out new stuff. Second is, providing a feature that is not being offered by existing project. Both need some strong devotion and passion to overcome.
Investors should try those new coins that get listed on famous exchanges and invest in old coins.