ICO - News, Opinion & Analysis

ICO - Initial Coin Offering

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Initial coin offerings (ICOs) is a fundraising mechanism for Decentralized Ledger Technology (DLTs) projects. They have proven to be extremely successful in helping projects raise funds quickly and conveniently. In 2018, ICOs raised roughly $6.3 billion, with most ICOs being centered in the United States. 

But this has been something of a double-edged sword. ICOs have come under the scanner for their tendency to be exploited by disingenuous individuals or groups, who purportedly launch a project and a corresponding token during an ICO, only to stop development or go dark once having raised money. This has led to investigations in several nations and, in some instances, an outright ban on ICOs.

Studies have shown that a vast majority of ICOs are indeed scams. Naturally, concern about investor protection is high, which explains the intense scrutiny placed on efforts that make use of ICOs, if not banning it outright. Furthermore, several ICOs have failed to meet their fundraising goals or alter their initial vision. 

Having said this, a change in the regulatory approach has offered some hope for believers in ICOs. The blockchain space, being so nascent, has not had reasonable regulation yet be established, which has no doubt contributed to the wild west reputation of the cryptocurrency market. However, as regulation steadily forms, both the ICO facet and general use of cryptocurrencies are expected to safer for investors.


Block.one Litigation: Lessons for Promoters?

22 Jun 2020 5 minute read 1 comment JamesIrving

Block.one, the promoter of the EOS token, is currently facing two class-action lawsuits. There have been a number of lawsuits in the US against promoters of ICOs, security tokens (STOs), and the operators of trading exchanges. Some of these cases ar...

Liquidity Fundraising: An Alternative DeFi-based to the ICO/IEO Model

31 Jan 2020 3 minute read 0 comments rhyzom

David Iach has just recently proposed a rather interesting and, in my opinion, very sensible alternative to the ICO/IEO models for crowdfunding/fundraising in launching a project or a startup. ICOs have already demonstrated to be far from ideal a way...

SE Digital rebranded their website ahead of next months first Tezos-based ICO launch.

9 May 2020 1 minute read 0 comments Allen Walters

SE Digital specializes in the tokenization of assets and has announced that its first ICO will be launched next month. This will be a regulated ICO in full compliance with all necessary regulations. SE Digital focuses on the Asia-Pacific region and "...

Ripple Faces a Lawsuit over $1.1B XRP Sale

7 May 2020 1 minute read 2 comments Jeremy Wall

Bitcoin Manipulation Abatement (BMA), a mysterious Puerto Rico-based company, filed a lawsuit last Friday (May 1, 2020) in San Francisco, against Ripple and its CEO Brad Garlinghouse, over Ripple’s $1.1B XRP token sale in 2013. The lawsuit alleges th...

Mayweather Backed ICO Founder Pleads Guilty

17 Jun 2020 1 minute read 0 comments Abhimanyu Krishnan

Robert Farkas, the co-founder of Centra Tech, has pleaded guilty to committing securities and wire fraud, the United States Justice Department announced in a press release published on June 16. Centra Tech is most well known for having professional b...

Facebook and YouTube are Facing a $600M Lawsuit for Crypto Ad Bans in 2018

14 Aug 2020 1 minute read 1 comment Abhimanyu Krishnan

On August 13, Australian law firm Law firm JPB Liberty filed a class action lawsuit against Facebook and YouTube for the banning of cryptocurrency advertisements on their platforms in 2018. Case has been filed in the Federal Court of New South Wales...

Ripple Unlocks Another 100M From Escrow Wallet

9 Feb 2020 1 minute read 2 comments Tokenhell.com

According to the report of Whale Alert, Ripple has unlocked another 100M worth $27.9 million from its escrow wallet. Fear of sell-off among XRP holders Ripple’s this move shocked the community and the reactions from the community members and Twitter...

Is Tezos (XTZ) a Good Investment? In-depth Analysis and Near to Longer-Term Expectations

18 Dec 2019 7 minute read 4 comments CryptoBoomer

Many projects have injected with life following the ICO year of 2017. That was when blockchain technology really started to take off in the public’s eye and people began seeing potential for all sorts of applications. They also saw potential in impro...

Blockstack Token Gives Hands Million STX Tokens to Stacks Foundation as Decentralization Plans Come Into Place

11 Aug 2020 1 minute read 0 comments Abhimanyu Krishnan

Blockstack PBC filed a notice with the United States Securities and Exchange Commission (SEC) on August 10 that explains how it plans to decentralize the network. The notice was accompanied by a blog post explaining the effort. Blockstack was the fi...

Kik Ends Lawsuit with $5M Settlement

21 Oct 2020 1 minute read 1 comment Abhimanyu Krishnan

Kik has ended a lawsuit with the United States Securities and Exchange Commission (SEC), having paid $5 million to settle the case, according to court documents published on October 20. The two parties have “reached agreement on a proposed judgment”...