ICOs represent the world’s biggest fundraiser market. In June 2017, they made history by raising more money than both Angel & Seed stage VC funding. Even though this is an amazing time to be a part of the blockchain-crypto-community, we should remember that there is an ugly side to this ICO-craze, one accompanied by scammers, hype and FOMO. Additionally, there are impending regulations from the SEC and lots of uncertainty. Buckle up kids we are in for one wild ride!

In July 2017, The SEC released a notice regarding crypto currencies. The notice stated that some digital coins will be considered securities, and (eventually) will be treated as such. No one really knows what the repercussions will be, or when they will happen, but the uncertainty is daunting. Read about what CoinDesk had to say about the SECs notice here.

The amount of money being raised has piqued the interest of many shady characters. Known scammers are launching coins because no one is stopping them. It is the wild, wild, west and the bad guys are among us. Because the market is unregulated it gives ample room for malicious actors to host phishing schemes and other thievery tactics, with seemingly no repercussions.

My findings on evaluating ICOs are that a large majority offer no real value and have poorly defined, or no use case(s), but are still raising extraordinary sums of money. This is the result of the hype around anything blockchain — causing investors t0 spray (crypto coins) on these ICOs and pray they that will bring in high returns.

There are quite a few investors that have FOMO because they passed on the early opportunity to get-in on the bitcoin market. When you couple FOMO with hype you get a frenzy of eager investors blindly throwing crypto coins at anything tokenized which can, and ultimately will, end badly for the them and the market.

Checkout coin schedule and judge these ICOs for yourself.