Why ICOs impose a minimum amount on investors? - page 5.

khoapham89

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Quote from: ahmadakbari on December 12, 2018, 04:13:03 PM

Better to consider a maximum amount instead of a minimum and do not let the whales manipulate the price.

In my opinion, imposing a minimum amount is needed. What do you think if someone wants to break your ICO with thousands of transactions but only 1 token purchased for each transaction? However, the minimum have to be appropriate. Too high requirement is also bad to attract small investors.

On the other hand, they want the real investors to get involved in their project. It will be better while they are deloying project.

bananaunana

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Quote from: ahmadakbari on December 12, 2018, 04:13:03 PM

I am not talking about the private sales and pre-sales. I am talking about the main sales.

Maybe it's to avoid very small transations and this will lead to more traffic or issues regarding to all users. And more questions to clear. Means more expenses. But it's only my guess.

Quote from: ahmadakbari on December 12, 2018, 04:13:03 PM

Don't you think ICOs should allow people to invest any amount of money they want? It will cause the tokens to be distributed among more people.

I'm a friend of low entry barriers. Maybe 50$ should be enough. In many countries 50$ can be very much money.

Quote from: ahmadakbari on December 12, 2018, 04:13:03 PM

Assume that 1000 people are participating in an ICO and each of them is investing only 1 dollar. Don't you think they are more helpful than a person who is investing 1000 dollar?

As said above, 1000 investors will cause more question and possible issue than one investor.

Quote from: ahmadakbari on December 12, 2018, 04:13:03 PM

Better to consider a maximum amount instead of a minimum and do not let the whales manipulate the price.

To be fair, I agree here, I don't like projects where many rich people hold most tokens or coins, like Ripple. Such projects are not good ones. Wink

kerzhake

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this is a very competent decision, because in this way they raise the amount that they can collect from investors and the project will develop faster

carrigan

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In my opinion, the reason why there is a minimum nominal is that they have had the numbers of the investors that they will gain. In my opinion, so far, the minimum number to invest in an ICO is also small so we can make it as the consideration. It also depends on how they can distribute the token or coin to the investors if they only buy very small coins.

Endikadija

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Quote from: ahmadakbari on December 12, 2018, 04:13:03 PM

I am not talking about the private sales and pre-sales. I am talking about the main sales.
Don't you think ICOs should allow people to invest any amount of money they want? It will cause the tokens to be distributed among more people.
Assume that 1000 people are participating in an ICO and each of them is investing only 1 dollar. Don't you think they are more helpful than a person who is investing 1000 dollar?
Better to consider a maximum amount instead of a minimum and do not let the whales manipulate the price.

What will happen if these stakes will be held by a single or a few people only? there will be a lot of manipulation in the market because it has distributed in a few token holders only. A few holders can manipulate the price of coin.

makadaka

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I do not support this decision as I think that people should be able to invest any amount

Aleh777

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This is crowd sourcing and they should not put a minimum on how much an investor should invest in a project. Putting a minimum is like a discrimination to people who want to invest but have only small amount of money on hand.

mightwalker

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I see most ICOs limit the amount that investors can invest in. It's necessary for the project who don't want a single investor to hold too many coins.

batang_bitcoin

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They want to assure that they will reach even the soft cap.

They can't just allow any person to invest with any amount. That's like an hybrid type of distribution, they have a model which they follow so they impose a minimum amount of investment.

Checkoi

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I think that because in this way they screen out potentially weak investors who don’t donate anything to the project

Perfect35

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I have seen a lot of ICOs, where fixed and minimum amounts are asked for. For instance, an ICO might ask for $100 as the minimum amount anyone can invest and there are some that sometimes ask for huge amount of money. This can result into investors not wanting to invest into the project, because they are being care of not investing what they cannot afford to loose.

BTCgrinders.com

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It could be technical issues, if they allow really same sales, it could clog up the transactions on the ETH network (or other network if they ICO on some other smart-contract platform) and slow down their system.

It does seem that it would be better to have things be more distributed, hence, why Bitcoin has such a higher price than all altcoins. Bitcoin is more distributed, there is gamblers who have it, drug dealers, politicians, libertarians, crazy woods people, gun holders, people in every country in the world. It is extremely distributed, and continuing to be even more so because the ability to mine is open to everyone. Anyone can get in the mining game and fabricate chips to attempt to do proof-of-work.

This is why Bitcoin is a phenomenon, and ICOs have been a flash-in-the-pan, using gimmicky techniques and silly restrictions like you mention. They don't want to help people. They want to help themselves, the people ICOing.

ahmadakbari

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I am not talking about the private sales and pre-sales. I am talking about the main sales.
Don't you think ICOs should allow people to invest any amount of money they want? It will cause the tokens to be distributed among more people.
Assume that 1000 people are participating in an ICO and each of them is investing only 1 dollar. Don't you think they are more helpful than a person who is investing 1000 dollar?
Better to consider a maximum amount instead of a minimum and do not let the whales manipulate the price.

Topic: Why ICOs impose a minimum amount on investors? - page 5. (Read 592 times)