The Wall Street Journal published the results of their analysis of nearly 1,500 ICO projects. According to the study, 18.6% of all projects raise serious concerns.
From 1450 ICO projects, 271 used what the authors call “deceptive or even fraudulent tactics”.
Tactics ranging from hiding to giving false information about the location, project team, financial status, and sometimes white books are copied from other projects.
Suspicious of 271 projects, some already closed, and investors suffered losses in the amount of approximately 273 million U.S. dollars.
Authorities worldwide continue to struggle with ICO technology, and the Commission on securities and exchange Commission (SEC) closely monitors the market to identify bad actors.
Both inside and outside of the cryptocurrency industry views on the ICO differ.
For example, the Director General of the British platform CoinShares Danny masters said that the improvement of the ICO market was an important step in the development of the entire cryptocurrency market.
Earlier this month, Zhao Chanpen, CEO of the world’s largest cryptocurrency exchanges Binance, published a separate article, which proves that the ICO, as the investment model is 100 times easier all the traditional ways:
Fraud exists everywhere, in every industry.
I still get phone calls and SMS stating that I won the Grand prize, but first I need to make a Bank transfer. Does this mean that we should stop the use of phones, SMS and the banks?