It might sound like a crazy number to some of you but after looking into all those ICO's that came up over the last year I just see the number grow and grow over time. I honestly expect most ICO Projects to fail eventually...
The data on the 1000 dead crypto projects is based on the evaluations of Coinopsy and DeadCoins, which are both declaring a project as dead on different criteria, which indicate diverse kinds of inactivity or a scam:
Coinopsy provides daily reviews of various cryptocurrencies, including ones that are already “dead.” It defines a “dead” token as exhibiting at least one of the following: “abandoned, scammed, website dead, no nodes, wallet issues, no social updates, low volume or developers have walked away from the project.
DeadCoins similarly has a 830-item long list of “dead” cryptocurrencies. Among them is the recent Titanium Blockchain Infrastructure Services initial coin offering (ICO) that was shut down by the U.S. Securities and Exchange Commission (SEC) for fraudulent practices.
So like said, I expect this number to go way higher as most ICO's simply got no use case that would make them unique over the major coins. They are further many times just a copy of an old bitcoin protocol and hence even less useful and/or innovative than many think.
I'm not calling out any names here but I guess we all think like that about certain projects and will most likely see them fail in the near future with the result of it's value going down to 0 at some point. Let's just hope none of us invested anything in such a flop coin ;)
( Source - Cointelegraph.com )
A Crypto Startup Revolutionizing Steem! |
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That's great, now we can see some of that capital move back in to the real coins :))
lets hope people will learn from that and not lose more money on other frauds and slowly lose fait in the crypto world :)
It will always happen again and again. As long as there is an opportunity for scammers to get active they'll be there...
Not surprised, many of them are obviously scams
Unfortunately many people just don't get that...
Hmm, this is serious! Why are new crypto projects springing up on a daily basis? Won't it create confusion and distrust in the Cryptocurrency market? Imagine someone losing money to such project, what do you think will be the news such a person will spread about cryptocurrencies? If there's a way such projects can be screened before adoption it would help in reducing the number of dead crypto projects and build users trust on crypto
with the exception of the very few cases of new projects actually bringing something new and worthy to the world, the people launching new projects generally don't give a shit about the crypto market - they're doing it to line their own pockets.
If this continues, it would dampen most people's trust on crypto and this will be very bad for the crypto market.
This is a great post and it's really important for people to understand this.
Unfortunately, ico's allow the easy access to funding an exciting startup, whether or not it needs blockchain. There really are very few projects that separate themselves from the pack and investors who are new to the space have underdeveloped BS detectors.
Fewer people are aware of this but some of the most innovative breakthroughs in blockchain come from independently supported research projects and don't even use a coin. Thanks for bringing attention to what no-one wants to hear.
Thanks for the coinopsy mention. I will be looking at it a lot now.
That's really sad
great for the long term - market still needs to get good at identifying the scams
I can't find the link but I recently read somewhere that there are almost 20,000 startups working on new coins/tokens so there are bound to be some failures , part of the game
Out of the 20.000 there will most likely be 99% failures... It's just ridiculous what's getting tokenized these days...
Already 1,000. I wonder where the most failures and scams are?
1 banks/bankers
2 crypto/ico's
@steembusiness Maybe BitConnect will Bounce Back.........JK
Haha, I wouldn't be surprised and worst of all I think people might fall for it again...
ICO's are a cancer to the crypto world. I've never participated in one, and never will. If a coin launches and it looks good then I will consider buying on an exchange - but usually when they've been through an ICO the principals of the coin are already out of whack (ie. circulating volume way to high, highly centralised, etc)
Bitcoin never had an ICO....