Hackernoon logoStay away from ICOs which… by@te_food

Stay away from ICOs which…

TE-FOOD Hacker Noon profile picture


Food & Beverages

  1. don’t have a ready product, and paying customers,
  2. don’t require KYC/AML registration process,
  3. don’t release the tokens immediately, and you can not use your token immediately,
  4. try to convince you that the token’s value will rise as they grow, and you will profit just from holding it,
  5. use the words: “investor”, “investment”, “profit”, “share”, etc. in their communication (unless they speak about themselves),
  6. promise that the token will be available on cryptocurrency exchanges, especially if it’s tradeable before the token being usable for its intended purpose,
  7. don’t advertise to their solution’s intended core user base, only to crypto enthusiasts,
  8. state that they will realize developments to make demand for the tokens,
  9. don’t have a deliberate token economy which creates real value for its users.

Such ICO projects won’t be able to build a sustainable business.

As more and more people want a share from the crypto-success, authorities become more strict with the unregulated projects. SEC started it, but soon FCA, BaFin and others will follow.

ICO projects with the above mentioned characteristics will find themselves in the center of attention. Investigations will be started, followed by class-action lawsuits, frozen bank accounts, panic selling, and valueless tokens. 2018 will be the year when the old ICO rules don’t work anymore.

We have to find the way to comply with the regulations.

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