Light at the end of the Ethereum tunnel
It’s been a rough go for the second-most popular blockchain these days. Once the belle of the ball, facilitating the launch of billions of dollars in ICO investment around the globe, Ethereum has been steadily descending in value for months now.
A recent slide in the larger crypto market caused panic for many young ICO’s who were sitting on piles of Ether since their successful fundraising ventures had begun. A company that may have enjoyed raising 30 million dollars at the market’s peak in early 2018 could have potentially lost nearly 80% of their investment funds, left with a mere 6 million dollars worth of ETH in today’s market.
Of course, one might argue that these companies were insane to keep their funds in ETH and not “cash out” to escape the volatility of the market, but this is precisely why the price of Ether has plummeted. As ICO’s have seen prices of their Ether diminish, many began slowly selling off into cash to avoid such losses. It’s only more recently that more ICO’s have jumped into the panic bandwagon and have moved to liquidate their Ether, as well.
Hindsight, of course, is 20/20. It’s easy to now look back and see that it clearly would have been best to sell at the top back in January and then safely sit on fiat funds to fund all the costs of building a given ICO company. This was not so evident back in...
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