The market for initial coin offerings (ICOs) has more than doubled within a year, according to new research from ICORating’s into activity during Q2 2018.
The report reveals that ICOs in 2018 have raised more than $11 billion, and $8 billion of that collected by 827 ICOs in Q2. This dwarfs the figures for 2017 by ten times, and marks a 151 per cent increase on Q1 2018 at $3.3 billion.
That said, half of the ICO projects announced in Q2 2018 did not attract more than $100,000, which is a major increase from the 13 per cent that did not in Q1-Q2 2017. With so many ICOs being launched, it makes sense that there would also be more failures in the space.
Sasha Kamshilov, CEO of ICORating, said in the report: “In Q2, we have observed how the nature of investment in the sector continues to change, and how the amount of money and degree of requirements for projects has multiplied.
“We at ICORating believe that the market should be more transparent and safe for every player and the first step to accomplish this is to create a higher standard of information disclosure for every pre-ICO and especially post-ICO project. Our fundamental aim and mission is to deliver this higher level of transparency to investors and exchanges.”
The report also reveals that just 7 per cent fof all announced ICOs are listed on exchanges, and 55 per cent of all ICOs failed in Q2 2018. Only 15 per cent of projects were attached to an operational business – an increase of 6 per cent.