It seems like new ICOs are still coming out of the woodwork I now see some in pre-launch till October! What? Now product no real information just collecting money for a coin that has nothing to back it up and either based on Ethereum, bitcoin or Monero and really offer nothing new other then perhaps what market they want to cater to.
Catering to a market is nice however you have to also realize that limits the population of which would use the coin as well as if there really is any type of need for a coin in that market in the first place besides bitcoin.
We have seen in the past many of these ICOs being areas for scams, pump and dumps and a few with legitimate goals behind them.
When investing in ICOs you also need to understand that tracking is nearly impossible because it is not a regulated industry like your dollars would be when investing in companies via stocks. There is nothing holding back someone from hiding their idenity or using a fake one to pump a coin, collect millions and run away with it.
Do your research and homework and be very careful with your money. The more of this scamming that goes on is going to drastically hurt and perhaps kill the entire crypto currency ( digital currency ) marketplace.
What are some things to look for?
1 Forums are a good place to start there are many which will have honest information and opinions such as background history on the person or persons behind a new coin launch.
2 Review the site and how the ICO is being offered. Are there crazy huge bonuses for first time buyers such as 50% more coins? This often is a sign of a pump and dump coin which has no goal far in the future.
3 Review the site for whitepaper and other information about details of their goals and spend time to read though it. See if there are target dates and if any have pasted do a little research and see if they are on task still.
Keep your head in the game and take the time to research before you start pumping hundreds, thousands or even millions of dollars worth of bitcoin, ethereum, monero casing after what you feel could be the next big thing.
lol, I love it :D
ha ha yes very good joke and won't disappear like crypto
I wish I had taken that advice at least I would have some tubes of tennis balls, even chewed up tennis balls would be more than I have now. #Stradog aka @FHStralow or "Tetra Flake" here on Steemit because I feel like fish food.
Thank you for the advice. My gut feelings tell me that this ICO fever is irrational, and therefore a bubble.
As soon as people saw how much money could be made from slapping up a site and creating a coin that is built on one of the other blockchains everyone started doing it. I believe we are in for months worth of new ICOs many which are fly by night junk coins with no purpose other then a scam or pump and dump.
There are only a couple of sites that deal with bitcoin scams and they don't like to discuss ICO's. BadBitcoins.org and CryptoCrooks.com. I also came across this link you could share https://99bitcoins.com/bitcoin-scam-test/ @FHStralow
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Great and informative post
Thanks for the warnings and for the advices
Keep up the hard work
Your welcome much success to you!
I guess most ICO's are destined to flop, and many of them from the start are scams.
Good advice, however there are likely to be some gems around so don't stop looking or investing, just do lots of research like you suggest.
Good advices, thank you !
It depend on the ICO, just like any investment research is key and there will be some risk.
Balance the risk vs reward and research, research, research.
this is very helpful for new investors who are not well informed and think there's only up sides to icos
Steem is SCam read @ivylifestyle
Nice article.
But what I really like is your animated comment, upvote, resteem etc. Could I get it too somewhere ?
Thanks in advance, @hausbau
Here is my comment I posted to this article on Facebook. I haven't posted my first article yet here on Steemit, but I am working on something, okay I have nothing except a few ideas in my head, but there are so many people making posts it is hard to come up with something original. I mean there are some great content creators out there anyway help me build my confidence by upvoting this fish egg and don't eat me. Here is what I commented to Sean Supplee, "I upvoted you on Steemit, but that doesn't do much because I am not a whale or even a minnow I am still just a fish egg, lol. It is these scams and the bad apples that could ruin a very good idea, but to me to keep government from getting involved, some claim it is the Bankers/Elitists doing so we will beg for their help, but if the "CryptoCurrency" community takes care of it's bad apples or CryptoCrooks itself and we can prove, well have an argument against government intervention. It is getting harder for people to just be anonymous, not to be confused with Anonymous or Anonymous, but to just be an unknown. Most of us have a birth certificate, drivers license, cell phone, bank account, address and social security number and those aren't all bad things are they? It is very difficult to even buy Bitcoin from a reputable exchange without some form of ID and a good place to get screwed is go to a one on one exchange from an unknown person. If you don't believe me just send me some $$$ and I will send you some Bitcoin in the form of ScrewYouGood Coin or YouBeenHad Coin. I feel like a Tetra Flake." @FHStralow
Correct, this hype around ICO's is getting out of hand. The problem is that Ethereum is definitely profiting from this, but at some point, the whole structure will fall apart. Followed!
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