Despite a lot of controversy regarding ICOs, regulatory repression, a mass of scammers and a general decline in the crypto market, investors continue to actively invest in startups.
In the first five months of 2018, blockchain projects raised $ 11.8 billion through IPOs, which is more than double the results of the entire last year. The lion’s share of this amount is made up of the two main ICOs Telegram ($ 1.7 billion) and EOS ($ 4 billion). Until June 1, 490 IPOs were successfully completed, which raised an average of $ 24 million, which is $ 14 million compared to 2017.
Although the market is still dominated by American startups, the US position is gradually weakening. Now Switzerland, Malta and a number of other countries have introduced temporary legislation for the crypto industry, which attracts many developers. Increasingly, companies are ditching American companies. In addition, some investors prefer projects that do not require accreditation to participate..
The graph shows the territorial distribution of all ICOs, with the exception of Telegram and EOS
Analysts note that the market is gradually moving away from the model and becoming more private, which leads to its stabilization. Plus, startups are now trying to be more transparent. Despite the increase in activity, crypto funds based on tokens this year have lost an average of 45% of funds due to the market collapse, but since opening their total profitability is still more than 100%.
Recall that only 8% of ICOs are listed and only 3.8% become successful.
text: Ivan Malichenko, graphics: WSJ, photo: Shutterstock
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