ICO [Initial Coin Offering]
ICO is standing for Initial coin offering or initial currency offering and this is a type of funding using cryptocurrencies. This ICO format is a very common and used by most of the crowdfunding processes. In an ICO, the tokens sold as the future functional form of currency or when the funding goal of ICO met at some point the project launches. Let’s look at the ICO Statistics for 2018.
Top 20 ICO Statistics for 2018
Before listing out the top 20 ICO Statistics for the current year, I would like you to have a look over the Project Evaluation of ICO, which will let you know the way and processing of every project since the ICO Launch.
ICO Statistics: Project Evaluation
The project assessment tool basically developed for ICO statistics intends to help potential investors decide whether to buy tokens of startups staging an ICO/Token sale
ICO Statistics: Risk Score
The Risk-score is always aimed at assessing the risk of potentially fraudulent activities. The more the risk-score, the fewer information details will be there of the ICO campaign, product development, the team and the documentation, which calls into question the possibility for success of the startup and the ICO/Token sale.
Projects are evaluated against characteristics such as:
Smart Contract (for ICOs)
Risk-score is planned to give an investor the initial impression of a project and address any possible fraudulent intentions about the project founders, highlight the level of the project’s readiness and the presence or absence of a product.
The other, objective of the parameter is to demonstrate the startup’s chances for a successful ICO and further growth.
ICO Statistics: Hype-score
It shows investors’ level of interest in the project. The highest the score, the more people may consider the project for future investments.
The parameter accounts for the following
1. The number of users on the main social media pages of the project.
2. The number of mentions in the press.
3. Mentions in mainstream technology media and in prominent finance publications.
4. The number of search engine results.
5. Traffic on the main website.
Among important financial publications, as well as the mainstream editions devoted to technology, we refer such resources as Techcrunch, VentureBeat, Forbes, WSJ, Reuters, etc. The Project details which is mentions in the publications outside of the crypto industry’s scope increase exposure, making the project more visible and broadening the audience of potential investors. Besides, mentions in established IT and financial media reduce the risk of fraud.
While launching these products on the basis of distributed ledger technology as follows:
- Decentralized application platforms (Ethereum, EOS, NEO, etc.)
- Interoperability (Polkadot, Cosmos, ICON, etc.)
- Oracles (Oracles Network, etc.)
- Decentralized Exchange Protocols (0x, SWAP, etc.)
- User controlled Internet (Blockstack, Status, etc.)
- Smart Contracts (Etherparty, Blockcat, Agrello.)
- DApps (the important categories — Financial services, Business Services, Value Exchange.)
Evaluating projects which create developer tools, such as smart contracts and Dapp (NEO, Ethereum) or startups that provide interoperability (Polkadot, Cosmos), requires an individual approach because of the greater scaling and potential facts of the token (this factor can affect the price growth of the token).
These projects analyzed differently: With a strong emphasis on the technological component and the ability to solve the existing problems with the blockchain ecosystem. Now this area has a high potential due to the market readiness, the existing need for change and development and a lesser influence of external forces during the project implementation.
Besides, we divide the overall approach of project evaluation into two area – qualitative and quantitative components.
ICO Statistics: Qualitative characteristics
1. Technological operation environment — assessment of a project’s impact on the blockchain infrastructure and its development, solution of current problems, the possibility of integration with other products or use as a starting point for building new products (reduction of technological risks).Market positions – assessment of the current market segment, its growth rate, competitive analysis (reduction of market risk).
2. Legal preparation of the project — compliance with regulatory frameworks, support from the government, the existence of a legal entity, necessary and sufficient documentation, KYC, AML procedures (reduction of legal risks).
3. Project management — whether the team has the required competence to implement the project (reducing the risk of non-execution).
4. The probability of support (analysis of early investments
ICO Statistics: Post –ICO Rating
When examining projects of the Post-ICO stage, pay attention to the following points:
1. Product development: The state of the product at any stage (prototype, code, etc.) and the progress during the period under consideration relative to the roadmap.
2. Secondary market: Token performance on the secondary market, analysis of historical liquidity and volatility of the token, traders’ interest in the tokens, reaction of the token holders upon product releases, etc. Evaluation of token performance vs competition (if any) and vs the market.
3. Finance: Post-ICO analytics and the ways of storing and managing money by the project team. Analyzing the real expenses incurred by types vs planned, analyzing of flows of revenue (if any) of the project (analysis of financial performance is possible if the necessary financial information is provided by the team).
4. Market dynamics: Analysis of market changes and the competitive environment of the project. Evaluation of milestones reached by the competitors and their potential effect on the token under consideration. Evaluation of new player into the market (new ICOs in the same niche, etc).
5. Legal: Analysis of stated obligations, activities of legal bodies related to the project, reactions to changes in legislation, and availability of licenses, if necessary.
6. Other matters: We may draw attention to other significant matters and issues which we believe are important for the stakeholders of the project