ICOs are repeating the mistakes of crowdfunding

Good quality Bitcoin ICOs used to commonly have escrow agents who would distribute funds based on milestones. Now everyone uses automated Ethereum smart contracts and somehow think that because you are guaranteed to get your token you don’t need escrow. But the token is worthless unless the product is built, and any scammer can issue a token anyway — they solve a problem that doesn’t exist while creating a new one. We need to abandon these smart contract ICOs unless they include DAO style control of funds by backers and go back to using escrow.

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