According to a new "TokenData" research, ICO investment volumes in the first quarter of 2019 decreased 58 times compared to the same indicator of the first quarter of 2018.
The researchers note that in the first quarter of this year, in the course of primary placements of tokens (ICO), a total of $ 118 million collected. In the first quarter of last year, ICO projects received investments of $ 6.9 billion.
According to the report, the reasons for such a significant decline in ICO volumes are both the general fall in the cryptocurrency market during 2018 and the fact that the actions of the regulators frightened many investors.
Representatives of TokenData noted that of the 2,500 ICO projects that the company has been tracking since 2017, only 45% of startups were able to successfully host tokens. At the same time, only 15% of tokens issued during a successful fundraising are now trading above the price at the time of ICO.
The researchers stressed that if the ICO market disappears, investors will switch to token offerings (STO). At the same time, investors will receive an increased level of protection of their funds, since tokens-shares are regulated by the government.
Recall that in mid-February, "CoinSchedule" conducted a research that showed that even after a multiple fall in the cryptocurrency market in 2018, the ICO market is still more than it was in 2017.