There's a cryptocurrency ICO that I like and want to invest in. What happens if they don't follow through with their plans?
Investor loses confidence in the team → Creates FUD → You get Butthurt.
Butthurt- A slang used in trading. Basically, a description of where you will feel the pain when your shitcoin goes to zero. And I would pray that you are not one of the rekt (short for wrecked, but used in trading when you discover that you were the last person to ever place an order to buy that shitcoin).
An ICO lets you exit before you start
Initial Coin offering (ICOs) are dangerous, way more dangerous than you think. Most ICOs are lacking regulations and to pick a winner out of the sheer number of ICOs being launched daily, it’s pretty much hardcore gambling.
Just to give an example, GOLEM ICO was offered 1,000 GNT against 1 ETH. As of now, GOLEM is traded for $0.35 and ETHEREUM traded for $325 (and there was a time when ETH touched $400 while GNT never been even close to $1).
So, what did those gained? In fact they hurt ETH badly with Pump N Dump.
People don’t read, had those read this, would have never invested.
All this does not mean you should not invest in ICOs. What it means is that, study what you need to know about before jumping into ICOs and above all an exceptional idea. An idea that is unique, widespread, engaging and massy.
Sad to say that I think that "ICO bubble" will burst sooner or later... some people will loose some serious money!
And I believe that 80-90% of those companies will not be able to actually follow and full fill their plans. Generally I am optimist when it comes to cryptoworld, but there are way too much ICOs at the moment. Thats why when I invest my first criteria is: "how that company making money" "what brings buck to that company". And then ofc team behind, and project viability and ability to copy it. When all the criteria tick the boxes, then I am investing some money. Other wise, some projects sound "like dreams" - I agree they are nice, but dreams will stays probably dreams...
You are absolutely right. And there's nothing wrong in dreaming. Dreams are meant to be unrealistic but the problem is that the 'action on dreams, follow up or turning it into reality' is in someone else hands. You are just a passenger waiting on the Bay, hoping against hope that your ride will appear in a while. But all you see is water and a sunset.