Some people in the industry will say all these ICOs are great for Ethereum and the more exposure the Ethereum blockchain receives the better. In a recent interview, Charles Hoskinson seems to feel quite differently about it.
People say ICOs are great for ethereum because, look at the price, but it’s a ticking time-bomb,” – Charles Hoskinson
Charles spent a year with the Ethereum founding team in 2013 but left in 2014 after not being able to agree on whether Ethereum should be run as a for-profit or kept as a not-for-profit. He feels, like many other that companies through their ICOs are flooding the market with these tokens when the tasks can already be achieved with existing blockchains.
People are hungry to be involved in these ICOs and are investing in them at a far greater pace than last year. Some companies are raising millions of dollars in a matter of minutes. With a lack of regulation, companies are able to operate without consequence and its making for a situation that could be a ticking time bomb.
People are blinded by fast and easy money.”
The market so far in 2018 has not done well at all and seems to validate the comments made by Charles. Bitcoin hit its lowest mark in almost three years and many of the coins I follow have not fared much better. Ethereum, for the most part, has been the exception and has shown further, but minimal growth.
What will this all mean in 2018 for the market and cryptocurrency moving forward? Only time will tell on that one. The current ICO bubble will eventually deflate and there should be some market correction after that. There is no doubt that’s it’s only a matter of time before regulation is put in place for countries like Canada and the US. This will not stop the ICOs but it should put in place steps that will not allow them to bypass the same regulations that securities must follow.
The Ethereum blockchain will continue to suffer further trading outages due to the flood of transactions these ICOs create and they will not be going away anytime soon. I feel Ethereum will overcome this problem and improve ether trading to where it was.
This year cryptocurrency will see massive growth as more people enter the market. The exchanges in Canada are getting better and experiencing more volume daily. It has never been easier to buy and sell Ether, Bitcoin or Litecoin on great exchanges like QuadrigaCX and Coinbase.
It should be a great year for investing but just be careful in what you choose to invest in with so many current coins out there and the increasing amount of ICOs all fighting for exposure and dollars.