2017 was not only a boom for crypto prices but Initial Coin Offerings (ICO) as well. As the projects prepared for the highest crypto prices ever recorded to date, thousands of projects were introducing their tokens in what would revolutionize the world of crypto.
Today, most of these projects are long gone. But there are others still trying to get to the spotlight. A significant majority of crypto enthusiasts were made to believe that ICO projects were a complete sham. Well, some of them were, and investors lost their investments to the swindlers. But apart from that, there are other lessons worthy of noting before investing in ICOs.
Not All ICO Projects Are Dead
The past year has had quite some interesting statistics involving ICOs. Not only are several ICO projects scam but some are not sustainable. In addition to that, the SEC and similar government agencies in the world have frowned at these token sales as some have violated the rules at the expense of the investor.
This year alone has seen several ICO projects struggling to survive. Some projects have managed to develop the technology and infrastructure they promised, although minor delays may have come along the way. For the investors who cared enough to research the initial coin offerings in 2017, then their investment should be at the break-even point.
Token Prices Are Volatile
Since Etherscan introduced analytical tools and detailed stats for user balances, exciting correlations have been observed. But it also depends on how you want to look at things; it’s not necessarily bad. With ETH, for example, things may have fallen quite a bit, but in USD, they are not that bleak.
Crypto experts have been able to review some of their portfolios and have come up with some interesting observations. For instance, one expert notices that two of his eight ICO investments have risen in value. Three of the projects have had their value reduced to nearly nothing, probably because no significant development has occurred in the past one and a half years. His final investments are at break-even point, and it’s acceptable under the current market circumstances.
Selling In 2017 Wasn’t Always Possible
The best time to sell ICO tokens, in a profit-making point of view, was 2017. Although projects didn’t gain any value, it was the best time to liquidate holdings. A turnaround is still possible, even if low valued tokens will not witness any significant changes. The projects that built infrastructure as promised may see interesting rides in the months and years to come.
Don’t Get Your Emotions Attached
It’s easy to cry over the missed opportunity of capitalizing on ICO holding’s value in 2017, especially if the portfolio is valued at around $1m or more. But one never knows what the future holds in the long term perspective. Now, as most projects have been cast away as not worth the salt, the remaining projects now have their own time to shine in the future. There is no need to be bitter over the missed opportunity.
A new day always has its opportunities, so let’s take advantage. For those who still own tokens that have teams actively working on them, there is no need to sell at a loss. It should be an exciting 18 month period for various cryptos, tokens, and assets. We never know what the future brings.