Why do most project die if they failed to meet soft cap

hellyah070

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Quote from: Cryptolord_ng on October 28, 2018, 07:05:15 PM

I think some depends 100% on ico with nothing to contribute, i believe a developer needs to have at least 30% of fund needed before doing any ico, but most developer thinks wonder will happen .
To make matter worse, sometimes, even though the hard cap is mistakenly met, they will be giving excuses upon excuses .

They lack the potential to manage multi million dollar gigantic project .
They don't have have the potential and force needed to accelerate the project.
Even some of their white paper is poorly written and unprofessional.
Quite disheartening indeed

I think why projects gets die when they didn't meet their soft cap is that, the initial fund require for the project to operate is not met. Resulting to a shortage of production required for the implementation of the project.

Gembul0705

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Now i think many ICO just make their project is money oriented so if they can not reached softcap(they need this for ti make their project to survive) they would not to spend their money to run the project

Psynthax

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Quote from: Twinkledoe on November 13, 2018, 07:05:34 PM

Quote from: Aiberg on November 06, 2018, 04:56:07 AM

I think this question is self explanatory, the aim of ICO in the first place is to raise money to fund their project, if they could already fund the project then why would they do ICO? The softcap is usually the minimum amount required to do the funding successfully so if they do not reach this amount, they usually just abandon the project because there would be no money to fund it successfully.

I agree, especially if the project totally depends on raising funds via their ICO. The outcome is only one - abandon the project. Those who fortunately reached their soft cap can still continue their project but a lot of times the development is so slow giving so many reasons not to do their job.

But that's not the main reason. There are dozens of platform that didn't even raised a lot of money an still build a proper product. If the team has a lot of knowledge about that and it will so easy for them to build it.
Byteball evene created by a single developer and it doesn't need any team

Nwankwobtt

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Softcap is way of setting a fund goal by Developers. After every feasibility study on the project, they map out a particular amount of money required to develop it. It is the minimum fund required

Twinkledoe

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★Bitvest.io★ Play Plinko or Invest!

Quote from: Aiberg on November 06, 2018, 04:56:07 AM

I think this question is self explanatory, the aim of ICO in the first place is to raise money to fund their project, if they could already fund the project then why would they do ICO? The softcap is usually the minimum amount required to do the funding successfully so if they do not reach this amount, they usually just abandon the project because there would be no money to fund it successfully.

I agree, especially if the project totally depends on raising funds via their ICO. The outcome is only one - abandon the project. Those who fortunately reached their soft cap can still continue their project but a lot of times the development is so slow giving so many reasons not to do their job.

Omega Weapon

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Quote from: xOdiumNostrumx on November 01, 2018, 02:07:15 PM

Well the answer is pretty self evident. Most or at least a lot of the ICOs are simply a money grab, where the team lacks the actual passion to go forward with the development of the project. Couple of years ago teams were able to create great products with half a million of dollars, now they are complaining when they are unable to reach their 5 million soft cap. Give me a break.

And it is not like the projects have gotten more complex, they just want to get rich without doing nothing but scamming dumb investors, I know that this may sound harsh but people need to learn their lesson most icos are a scam and there is not a point in investing in them, you are going to waste your time and your money and it is not a nice sensation to lose either of them.

Aiberg

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CCECOIN

I think this question is self explanatory, the aim of ICO in the first place is to raise money to fund their project, if they could already fund the project then why would they do ICO? The softcap is usually the minimum amount required to do the funding successfully so if they do not reach this amount, they usually just abandon the project because there would be no money to fund it successfully.

stoxalpha

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Quite simply, the world is cruel, no matter how good the project and the best team, if you don't get everyone's support, you will fail. A junk project can succeed if it is favored by many people. This is reality and cannot be avoided.

castiloros

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Quote from: longergou on November 06, 2018, 03:12:50 AM

Many projects are doomed to fail from the start, because their purpose is simply to raise funds, they don't have any plans or products!

Indeed it is emerging at this time. many projects simply search results without concepts and products that are good for the future. would certainly be reasonable when many find the project failed and did not reach soft cap they are targeting. the investor will certainly be able to assess which projects well and not. When it's too bad then surely will also be reluctant to support.

waser12

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Soft cap is the minimum venture capital for launching the project. If soft cap is no raised it is obvious that project will die, costs will not be covered.

Colan Zolo

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https://saturn.black

The project failed and was unable to reach the softcap was indeed sad, this is a lot of factors that cannot support, such as a less solid team, lack of knowledge, team cohesiveness does not exist. Unclear project objectives, less interesting ideas, it is difficult to convince investors so they fail to raise funds.

longergou

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Many projects are doomed to fail from the start, because their purpose is simply to raise funds, they don't have any plans or products!

zacad

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Projects with insufficient start-up capital are bound to fail. Usually, the ICO's softest is the minimum budget of the development team. If the price is lower than the soft project, it will disappear. No one will be responsible for this. This phenomenon occurs in many projects. Now is not a good time to participate in ICO investment, perhaps the myth of ICO will never come back.

igor.vanyutin.83

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The lack of motivation and I can understand it. I think almost every project died after failing an ICO. It has shown that people are not interested in their idea and it won't be useful in the future. Maybe it was the fault of the devs or marketing team but the result is the same.

BogdanGFTP

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You are totally right! There are a lot of projects which team members are not professionals, they do not have an experience in any high-tech field. Therefore the quality of projects is very low and the majority will be scammed.

kipozer

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The only thing is how all the developers do their work, because very often people just try to steal money and nothing more, but it even happens that people themselves carry their money to give to developers, this also happens

nik009

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Most ICO is fraud with the purpose of personal enrichment and without the purpose of subsequent work on the project. That is why project teams do not want to invest their own money in a deliberately stillborn project. If the soft cap is not reached, then the fraud attempt has failed.

bitcoin31

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In the first place once the project are potential they will meet the soft cap because many people will invest to the project. For me soft cap is really need to achieve because sometimes I invest to one project once they reach soft cap. But they have project even did not reach soft cap on time they reach hard cap.

crenfrosck

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ICOs are run by many people who have never been in such position before. It is absolutely normal they will make a misstep which will postpone the whole timetable. But your first question surprised me. Startups are basically nothing but an idea and a bunch of passionate developers who would like to fulfill their dreams and pockets as well. No wonder the project is dead without financial support- they had a reason not to start with their own savings Wink

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Galley

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If the project does not reach Softcap, there is no point in continuing to develop it even for your own savings. Investors do not believe in the idea of the project, and do not show their interest in it. So he is not viable.

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