Can ICOs Do to the Price of Steem What It Did to Etherum's Price?
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To this very moment, there is a popular school of thought in the crypto industry that believes that the parabolic run that took Etherum to an all-time high of $1,389 was greatly driven by only one thing - the madness of ICos on the ETH blockchain.
While I consider the said school of thought to be quite extreme because other altcoins that had no ICOs features also reached their all-time high during the same period, there is no gainsaying the fact that ICOs did have a positive impact on the price of ETH and its dominance on the CoinMarketCap's rankings.
So, the question here is whether the forthcoming release of the SMTs, which has superb ICO features, according to a recent blog post authored by @Steemitblog will have the same positive impact on the price of Steem and perhaps improve it's ranking on CoinMarketCap.
In answering the above question, one needs to first explain what a blockchain-based ICO means in a layman's language. A blockchain-based ICOs means decentralized fundraising for a project. In the case of Steem, an ICO could be much more - it could mean the start of a new Steem-based token economy and the redistribution of wealth based on certain parameters.
That said, ICOs provides existing businesses and start ups with the rare opportunity of raising funds from users around the world. And for the users, ICOs present a fresh investment opportunity for what could break the jaws of wealth in the years ahead.
So what's the point here? ICOs involves fundraising and fundraising, as the name clearly suggests, involves money. This means that the advent of ICOs on the Steem blockchain, if successful, will bring massive new money into Steem.
As a matter of fact, business owners, investors, and developers will all converge here to take Steem to a new level. And of course, that should have some positive impacts on the price of STEEM and its rankings on the CoinMarketCap. We have seen this happen before and it could happen again.
On February 15th 2019, following the launch of Steem-Engine tokens, we saw some great improvements in the price of Steem. By the following month, STEEM had rallied from a low of $0.26 to a high of $0.54. However, the rally was short-lived perhaps because investors were skeptical of SE tokens because unlike SMTs they are built on a sidechain.
Hopefully, the launch of the long-awaited SMTs will significantly impact the price of STEEM, bring it to top 50 on CoinMarketCap, and herald the unleashing of its full potential. Truly, the possibilities are boundless and the odds are in the favour of Steem.
Until I come your way again, I wish you a full STEEM head.
They are all aiming for a "professional" "business" product quality. So, I am really going to expect a great thing... and that's the level they deliver, then yes... we should expect STEEM to rise a bit while the ICO market on STEEM attracts businesses with the same ease (or even higher easier processes) you currently have if using other crypto chains (not just ETH).
It all depends a bit on what laws of the country you are hosting your company will interpret from STEEM and the SMT technology.
Maybe this will be a 2020 reality. I expect that throughout the entire year, lot's will change on STEEM. Maybe I should start planning my SteemFest 5 trip in advance.
Hahaha 2020 looks good for Steem. Hopefully, we will get there. Cheers!
Dear @forykw
I can only hope so.
Surely target group changed. Instead of trying to follow idea of "mass adoption" Steem is aiming businesses with money.
Obviously I believe that SMT (assuming this won't be a failure and dissapointment) will bring more value into STEEM blockchain. But I would expect growth to be very slow.
Upvoted already,
Yours, Piotr
@gandhibaba, All new Financial Booster steps boosts the Ecosystem. But when it comes to Cryptocurrency the whole picture is so dynamic and we can only hope that ICO will bring big moves in Prices.
Let's wait and watch. Stay blessed.
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Hi dear friend @gandhibaba.
We must remain hopeful in the growth and evolution of the Steem Blockchain.
Those of us who have remained here despite low prices, know that we are on a successful platform. Since March 24, 2016 Steem Blockchain has not stopped in its evolution. We have experienced several HF, steem-engine and now SMTs.
It is possible, but remember what happened with the ICOs boom and its subsequent fall. It was like a fleeting crypto-burbúja.
The important thing is that the next SMT ICOs are honest, real, feasible and sustainable projects over time. Otherwise, if we experience massive fraud this would be the total and absolute end to the STEEM blockchain.
Your friend, Juan.
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I hope so too!It would really bring our community to the next level if that happens.
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I share your sentiments too. We'll get there.
Hi @gandhibaba, I featured your article as one of the top 5 articles I reviewed, curated by @project.hope. Here is the link to the article review:
https://steemit.com/community/@focusnow/articles-curated-by-project-hope-review-of-my-top-5-selections
I have upvoted the post. Thanks for featuring my work - grateful.
Dear @gandhibaba
I found this post thanks to @focusnow (he nominated you in his latest post).
It's a really interesting question to ask: Can ICOs Do to the Price of Steem What It Did to Etherum's Price?
Are circumstances similar now to those when ETH went into the moon?
In the past lack of regulations has been main drive of those who wanted to invest into crypto.
Right now lack of regulations is what is stopping investors.
Obviously I believe that SMT (assuming this won't be a failure and dissapointment) will bring more value into STEEM blockchain. But I would expect growth to be very slow.
Upvoted already,
Yours, Piotr