Over the past couple of years the Initial Coin Offerings (ICOs) have become a very popular way to raise funds for cryptocurrency-related projects. Having a groundbreaking idea often isn’t enough, as money is needed to implement it and reach broader audience.
With an increasing popularity of cryptocurrencies, ICOs gained popularity as well. And that resulted in an explosion of ICOs in 2017 with over $4 billion raised throughout the year. ICOs helped many blockchain and cryptocurrency-based projects to crowdfund their ideas by issuing their digital tokens to the public.
During the crazy Bitcoin price run of 2017, people were literally jumping onto each an every ICO, which sounded promising in any way. That, in turn, resulted in many scams created to pray on the inexperienced investors looking to make quick money.
According to a study conducted by the Statis Group in July 2018, over 80% of ICOs launched in 2017 were identified as scams.
Despite many fraudulent projects and the prices of most cryptocurrencies declining in 2018 the popularity of ICO, as a way to acquire funding, remained high.
That trend started to visibly change in Q3 2018. This could be due to a declining value of many successful 2017 projects. A significant decrease of returns for ICO participants, the lack of transparency, the ICO regulations and the fact that many investors gained market experience over the past year, also played their role.
Geon Network is an example of a project seemingly unaffected by the market trend. With over $700,000 raised in the 1st round of private sale alone, it really stands out from the 597 projects announced in Q3, 57% of which failing to raise more than $100,000.
If we take into account that the total ICO funding fell by a whopping 78% between May and September 2018, the above numbers become even more impressive.
The fact that only 54,4% of ICOs had a developed product before their ICO campaigns began, had a lot to do with it. Also — only as little as 4% of all projects had alpha versions of their products ready.
Geon Network not only had its Minimum Viable Product (MVP) ready at the ICO launch, but also launched the Alpha version of its application a short while later.
The Alpha release was a huge success. The application was downloaded over 10,000 times in just a short few weeks and thousands of Geon beacons were created globally. The overall community’s reaction has so far been nothing short of amazing.
It seems that many investors learned their lesson from many scam projects introduced over the past couple of years. People became a lot more careful when selecting projects to back. Due diligence, often overlooked during the hype of 2017, is something that became a must nowadays.
Geon Network was always aiming to become the one ICO you can trust. Only 24% of all 2017 ICOs were registered legal entities. Geon Network is not only an established and registered company with a legal bank account, but it is the first fully licensed ICO, compliant with European law.
Many ICOs failed to raise enough funds to stick around for longer. Many disappeared together with their social media accounts and all is left of them, are information and statistics recorded in various corners of the internet.
Not every good idea is executed well enough to achieve success.
And that makes the Geon Network stand out above the ICO crowd even more.