Page 87 - Geektime Blockchain Report
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When investments in in ICOs began there were different kinds of investors and it was difficult to to to point to to to a a a specific factor that led to to investments More and more startups are entering the the world of ICOs and today the the market is starting to show a a a slightly different picture Savvy investors realized that it was not worthwhile to to invest in in any currency (as the the value of the the currencies doesn't always rise but can decline) and investors began investing in in in in startups only after checking their growth potential in the the pre-ICO stage stage In this stage stage the the more promising startups will gain bigger investments In this sense the the pre-ICO can be compared to the the institutional investors involved in in in in in the underwriting
stage of of an IPO They establish the the worthiness of of the the investment and are willing to put their stamp of approval on it and then the the the public can decide whether to invest as well In the future we expect that more startups will establish them by enlisting serious investors and "whales" in in in the the pre-ICO phase This will also stabilize the ICO ICO investment market We assume this will happen without government intervention and in in this context the market will be able to "fix" itself on its its own We anticipate that despite some market stabilization the amount of money invested in in in in ICOs will keep increasing There will be more institutional investors and other investors who will develop expertise in in ICOs These expert investors could lead the general investor investor public to to to join investments that that are more validated This means that that with the market stabilization and expertise gained it it will become a a a safer and more common investment We are witnessing the emergence of of a a bubble of of sorts Many entrepreneurs have identified the increasing trend of ICOs and decided they want to enter this market Some just want to raise money quickly without having
Changes in the ICO 1 ICOs - bubble or success?
We see that that the public is beginning to realize that that blockchain is is the next great revolution and is is here to stay Similar to previous tech revolutions the public is investing large sums of money in in in ICOs without necessarily understanding this world properly thinking it’s “easy money ”
2 to go go through rigorous VC fundraising processes These startups might get inflated sums of money (far higher than their true value) due to a a a a lack of strict supervision Another reason for this bubble is is because some of these startups don’t really have the the expertise required to establish a a a a a a sustainable blockchain company They approach ICOs with only an idea or a a a a a a basic business plan Many do not present a a a a POC or an an an existing product They may not be thinking about the the "day after " " or the the fulfillment of their promises to to investors We expect that this trend in in which the public invests excessively in in in ICOs will decline in in in the future after startups that raised huge sums of money in in ICOs begin to collapse This is is how the ICO field will reach equilibrium Then we will move toward a a a a a a more stable and balanced market market 87
Summary & predictions

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