How To Avoid Train-Wreck ICO’s

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FinanceX

4 min readSep 13, 2018

A recent article on Bitcoin.com — Fomo Then Failure: A Post-Mortem of 2018’s Worst ICOs — written by Kai Sedgwick, explores the 5 worst ICO’s of 2018.

Although a grueling bear market has taken the wind out of the sails of many ICO’s, Sedgwick rightly points out that this excuse is often just scratching the surface.

“For many of this year’s worst performing ICOs, the bear market is an all too-convenient excuse for destruction. Some ICOs are born bad, while others achieve badness through a series of inexplicable decisions, poor communication, lack of marketing, no MVP and downright greed.”

It’s not so obvious when bad intentions and greed are at play. A well-orchestrated scam can fool almost anyone, therefore transparency is critically important. In hindsight, perhaps Gems keeping 75% of their tokens for founders should have raised a red flag.

Decision-making skills are also tough to gauge in the early days as it’s unlikely they were seriously tested up to that point. On the contrary, sometimes it’s obvious from the start. How did the Iungo (pronounced ‘yungo’ and in certain fonts looks like ‘lungo’) founders settle for that name?

No matter how great the idea/product, inadequate marketing means no one knows about it. Investors claim Rentberry suffered this fate, as well as the lack of an MVP.

So, how do you know you’re not flushing your investment down the methaphorical toilet?

Do your research.

It’s easy to jump on-board a hype-train, but in the words of one Simon Cowell, you can “create the hype, but don’t ever believe it,”

You may want to ask yourself the following questions:

Does the company have a clear vision? Does their roadmap reflect their vision? Is it realistic/achievable?

Who are the founders? What are their backgrounds?

Are they pitching on an idea or a product? Does the idea fit in the market? Is the product proven and established?

What are the avenues of marketing? How active are they in the space? Are their answers to questions transparent or shady?

Many investors definitely learned the hard way in the seond quarter of 2018. There’s no doubt this will discourage future ICO investments. Some legitimate products and ideas will suffer in the aftermath of these catastrophic campaigns.

On a more positive note, the future ICO’s, more delicately chosen and thoroughly analyzed, could bring diligent investors unfathomable results.

The safest investment option is one that already has a functioning and validated product. One with a team who are fully accessible in the community, who answer questions transparently, and who have the relevant expertise. And one that has clear goals and a pathway to achieve them.

FinanceX

FinanceX is a brand new, real-time, automatic crypto-trading platform which launched in Vietnam in August.

FinanceX will conduct an ICO starting November 21st, introducing FNX token, the official token of FinanceX exchange. FNX will create an attractive playground for traders generating high liquidity.

As FinanceX opens new cryptoexchanges in Southeast Asia, the value of FNX will respond positively with new market adopters and the creation of an interexchange network.

Unlike most other ICO’s who pitch on an idea with nothing more than a White Paper, FinanceX has an operating and proven product built on the trading core of the Hanoi Stock Exchange.

#FinanceX #FNX

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How To Avoid Train-Wreck ICO’s

So, how do you know you’re not flushing your investment down the methaphorical toilet?

FinanceX

FinanceX — Exchange Made Simple.

Written by FinanceX