{"id":20587,"date":"2018-09-19T03:23:35","date_gmt":"2018-09-19T02:23:35","guid":{"rendered":"https:\/\/ethereumworldnews.com\/?p=20587"},"modified":"2020-04-23T20:56:46","modified_gmt":"2020-04-23T19:56:46","slug":"china-central-bank-icos-2018","status":"publish","type":"post","link":"https:\/\/ethereumworldnews.com\/china-central-bank-icos-2018\/","title":{"rendered":"China’s Central Bank Issues Public Notice on ICO Risks"},"content":{"rendered":"
Initial Coin Offerings (ICOs), Cryptocurrency–<\/b>As the cryptomarkets approach the tenth month of a prolonged bear cycle to characterize 2018, it seems hardly a week goes by without more negative press towards ICOs. Initial Coin Offerings, the controversial method for raising investment capital into new blockchain and cryptocurrency projects, have had an up and down ride throughout 2018, one that is beginning to reflect the negative sentiment of the ongoing downtrend in crypto valuation. <\/span><\/p>\n While we have previously reported that ICOs thrived throughout the first half of 2018, with the total amount of capital and volume of launched projects eclipsing that of all of 2017, the last few months have taken a decidedly negative tone towards the industry of raising funds and issuing new coins. In addition to several research papers which found not only that <\/span>80 percent<\/b><\/a> of ICO endeavors in 2017 could be classified as scams but that the majority of issued token projects were considered \u201cdead\u201d within four months of launch. The end result was pressure on initial investors to sell their coins from nearly the outset of being issued in order to lock-in the greatest amount of return, thereby shedding light on an industry that offers anything but security and a high amount of risk. <\/span><\/p>\n Last month Jihan Wu, CEO of soon to IPO crypto-goliath Bitmain, came out in an <\/span>interview<\/b><\/a>\u00a0 stating that the ICO market is not one that will likely last. Despite being bullish on the benefits of cryptocurrency and the looming adoption of established currencies, Wu claimed that the ICO market constituted an \u201cunsustainable financial bubble,\u201d<\/span><\/p>\n\n