DeFi is almost certainly the future, but that future may not be today.
An initial coin offering, or ICO, is a controversial fundraising method for launching blockchain and cryptocurrency networks that involves the sale and distribution of a new crypto asset in exchange for other tokens, commonly Bitcoin (BTC) and Ether (ETH).
During the “ICO mania” of 2017 to 2018, projects collectively raised billions of dollars in capital, largely through nonaccredited investors.
This funding method has since lost most of its legitimacy, both inside and outside the industry. Many ICOs were clearly frauds or, at best, operating in regulatory gray areas. Over the past few years, regulatory agencies such as the United States Securities and Exchange Commission,or SEC, have brought legal action to past and present ICOs, slowly creating legal precedent and guidelines for future ventures.
While the ICO is now a precarious fundraising method for projects and investors alike, it did showcase a powerful use case of blockchain in permissionless fundraising at incredible scale. Over time, the launch methods of cryptocurrency networks will become more sophisticated, safe and, perhaps, regulatorily sound.
Another remnant of 2017 gets hit by regulation.4623
Widespread crypto adoption by enterprises has the potential to become a self-perpetuating mechanism for public blockchains, creating bigger, stronger networks.3822
With regulators unlikely to change old-fashioned rules in favor of the emerging market, DeFi might be burdened under fraud and new portions of restrictions.5554
Like the ICO boom of 2017, DeFi plays to our desire to get rich fast without any responsibilities.7931
The man is known for his predictions, but is he right about this one?4487
The only way you can protect yourself and analyze crypto tokens properly is by exercising caution to the best of your ability.16927
After three long years, the class-action lawsuit alleging that Tezos violated securities laws through its 2017 ICO has concluded.6330
Sworn in for her second term today, SEC Commissioner Hester Peirce tells Cointelegraph about the commission’s work on crypto and new tech in investing.8784
New muscle from law enforcement investigating crypto suggests that government innovation may be slow but the government gets what it wants.4640
The long arm of the law comes for another ICO.4640
ETC quickly sidelines an interesting offer from Charles Hoskinson.14024
Adam Back admitted that some ICOs might have funded useful research, but still contends that they are deeply unethical.6726
Plaintiffs as the court to authorize communication via email and Twitter to Status co-founders as part of a class-action lawsuit over SNT’s ICO.2308
The collapse of the initial coin offerings provided invaluable lessons on how to avoid a similar fate, MEW’s Kosala Hemachandra says.1670