Are Constant Frauds Making People Lose Interest In ICO?

ICO is one of the most trending and hottest topics of the current investment world. It is convenient, successful and can help entities reach to a wider audience base. But lately, the reason for ICO being in trend is not its innovation or effectiveness, but the scams and frauds have been committed. For every investor, it is very important to distinguish safe ICO from a fraudulent one.

If reports are to be believed that about 81 percent of the ICO are frauds. With less than 20 percent of all ICO being legit investors are slowly turning their backs towards this innovation. The number of frauds and scams made the organization to bring some kind of regulation to reduce the fraud ICO and attract more investors.

ICO is still not a complete lost cause as in 2017 there was invest of about US$ 7 billion for crypto. Considering the kind of variety this platform offers which becomes challenging and difficult to create an eco-system regulation over ICO. Safe ICO is something which every investor should look for before making any kind of investments.

The main problem which makes it difficult to crack small ICO is the fact that they are very difficult to track. Distinguishing between fraud and safe ICO becomes even more difficult.

According to a report published in Busines times, process of ICO is similar to stocks where many companies provide the opportunity to buy direct stocks in which investors can buy stocks directly from the issuer without paying feed. But this kind of process is not very popular as the investor can start account of each of the company and sell one stock purchase another one. This is the reason most of the investors prefer to have a single brokerage account to handle all their shares. Crypto is similar but a lot more faster and cheaper.

[The views and opinions expressed in this article are those of the authors and do not necessarily reflect the views and/or the official policy of the website. ]

Aditya is a content writer with four years of experience. His passion to deliver top trending news drives him to work hard every day.

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