76% of This Year’s ICOs Are Already Under Water.

Do you think ICOs are now too risky to invest in?

2018 has been a tough year for the cryptocurrency markets, and crowdsales have borne the brunt of it.

ICOs launching in the first quarter of this year have struggled to turn a profit, with the majority of exchange listed tokens trading at a loss, both in USD and ETH terms. As a consequence, pre-sales provide the only means of turning a profit.

76% of ICOs Are in the Red....

At MIT Bitcoin Expo on Saturday, Christian Catalini claimed that “40% to 50% of ICOs are currently underwater – trading at a price lower than the initial offering price”. Having examined the data for 2018, using Tokendata and ICO Stats, news.Bitcoin.com can confirm this to be a reasonable estimate. In fact, 76% of 74 ICOs completed this year are in the red, posting an average dollar return of 0.9x.

The 56 exchange listed ICOs that are trading at a loss have an average USD return of 0.45x. (ICO Stats calculates its ROI based on the token’s pre-sale price, rather than the public sale, so the average return for all 76 ICOs is in fact slightly lower than stated.)news.Bitcoin.com can confirm this to be a reasonable estimate. In fact, 76% of 74 ICOs completed this year are in the red, posting an average dollar return of 0.9x.

The 56 exchange listed ICOs that are trading at a loss have an average USD return of 0.45x. (ICO Stats calculates its ROI based on the token’s pre-sale price, rather than the public sale, so the average return for all 76 ICOs is in fact slightly lower than stated.)

Of the 22 ICOs that are in the green this year, just two (9%) are for app tokens.

Source https://news.bitcoin.com/76-of-this-years-icos-are-already-under-water/