890 companies involved in the initial offer of coins, did not receive funding at all
Research and consulting firm GreySpark Partners has published the results of a study of the market of primary offerings of coins and found that almost half of the projects from the beginning of 2017 has failed to raise funds. With more than 40% of the ICO projects managed to raise over $1 million, according to CoinDesk.
It is reported that 890 of the companies involved in the initial offer of coins, did not receive funding at all. On the other hand, 733 project has reached the fundraising of $1 million.
The researchers stressed that many successful companies at first, eventually turned out to be unprofitable.
Representatives from GreySpark Partners believe that in the future the large number of ICO projects will decline. They attribute this to “lack of effort, disillusionment of the public with technical development of projects, fraud, problems in execution and flaws in marketing”.
It is noteworthy that the success predicted cryptocurrency hedge funds. The researchers stressed that despite the January decline in the number of such funds, by September the number of such companies rose to 146. For comparison, in 2012 there were only nine cryptocurrency hedge funds.
According to the report, unlike traditional hedge funds, cryptocurrency companies, in their majority, hold long positions, which involve significant risks.
Analysts expect that by the end of the year the number of cryptocurrency hedge funds will reach 160-170.
Previously members of the European Parliament discussed a variety of proposals that can form the basis of a regulatory framework for the regulation of primary offerings of coins (ICO).
We will remind, Alibaba and IBM topped the rating of the biggest inventors in the field of blockchain.
As reported, the international banking firm Standard Chartered has signed an agreement with the financial wing of the industrial giant Siemens in the framework of a pilot project on using the blockchain to issue Bank guarantees in the sphere of international trade settlement operations.
Recall that a quarter of large companies willing to invest in the blockchain up to $ 10 million in 2019.