What's Awry With ICOs?

As the blockchain community operates hard to gain more common allure, there's still one main obstacle that they've yet to conquer: its Wild West track record.

This reckless track record has scared off more conservative investors, and for very good reason. The previous rush of ICOs was riddled with empty assurances and misinformation with nearly 80% of the ICOs in 2017 were downright shams. What's more, too many of the genuine ventures weren't practical in that they weren't created to fix issues, but instead influence blockchain modern technology into an app which in turn only a number of users would find beneficial.

Blockchain Draws In the Wrong People
Preventing the obvious scams, there has been too much focus on up-front funds. Let's think about this for a moment. Does a 28-year-old Chief Executive Officer of a blockchain project, with no experience in investing or running a business, really need $20 million in financial investments to greenlight a venture? Rather simply, the answer is no. Unfortunately, this scenario happens time and again promoting, and possibly even encouraging the Wild West subculture which in turn believes ICOs lead to "Lambos" and five-star resorts.

Typically, this type of attitude is being heavily associated with ICOs and crypto investing which in turn can drive away traditional investors; the folks who actually have the capital to take blockchain innovation to the next level.

Focusing on all the Amiss Things
The blockchain online community has been struggling to find direction for some time now. Instead of focusing on creating innovative solutions which solve real-world complications, many start-ups have been trying to bring in whales interested in sinking big financial investments as part of their get-rich-quick strategy.

This leads to a number of troubles, including:

• No real support. Investors are looking to get in on the ground floor and sell when there's an opportunity to make cash.
• Increased speculation on the strength of the venture and its tokens. It's hard to tell which in turn investors actually believe in the venture versus which in turn ones want to make a quick million.
• No real long-term strategy. Instead of planning a project roadmap, many startups focus on launching their ICOs as quickly as possible to maximize funds coming in.

We Need a Better Solution
At the moment, many blockchain ventures are struggling to get mainstream support because of the community's lawless image. We must build credibility to reverse this negative image within the blockchain and crypto societies. Here's how:

• Somewhat than focus on whales looking to buy low and sell high, startups need to captivate investors who are interested in the actual innovation.
• There needs to be a greater push to identify and remove scammers from the blockchain community.
• Projects need to focus on solving real-world troubles that average people experience in their day-to-day lives.

One of the biggest barriers blockchain startups face is practicality. Too many ventures are providing services which in turn an average person has no use for. Mainstream blockchain adoption needs more ventures like

SuchApp , which uses the power of blockchain innovation to enhance popular applications like messenger services and e-commerce.

Want to see how we can take blockchain from the Wild West to the modern era? Stick around for our next blog post! In the meantime, have a look at the ICOSuccess website to learn more about creating an ICO campaign that's perfect for you and your project.

Learn more about how you can use distributed ICOs to grow your platform by visiting the ICO Success website today.