September 2018 Was A Disastrous Month For ICO

The ICO of many tokens continues throughout the world. However, as experts note, the investing interest in new projects (and, in fact, in well-known one) is drying up slowly. The reasons for this are the undermining of confidence in the initial placement of tokens because the statistics are disappointing: more than 82% of ICO have obvious signs of the scam or even fraud.

According to Autonomous Research analytical team, the total amount of investment in the initial coin offering allocation fell by 90%. So, at the beginning of this year, start-ups were able to get more than $ 2.4 billion, while in September, this amount barely reached $ 300 million. Among the probable reasons for such a sharp reduction in attracted financing is the position of the SEC (Securities and Exchange Commission), which recognizes cryptocurrency only as investment assets.

Also, analysts point to a number of factors, that are behind the fall in investment in ICO. Autonomous Research experts name a decline in investor’s interest in utility tokens, as well as the full-fledged entry into the ICO market of such Fintech companies as Robinhood and Revolut. An additional reason was the preparation of the Chinese manufacturer Bitmain (manufacturer of mining equipment) for the IPO (initial public offering).

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