Funding for ICO’s (Initial Coin Offerings) has seen its hardest dip since after the all time high prices. Research from Autonomousanalysisshows that in the month of August, startups raised $326 Mln’s,whichis theminimum amountsinceMay2017.
According to Autonomousanalysis, Ethereum ‘ETH’ blockchain-based ICO’sarerecognizedbecause thespark for the ETHprice hikein the year 2017. However,they’representlytheonlyreason for the currency’spricedownfall, as someICO’s cash out for the related expenses amidconsidering the market.
The new analysis comes as legislators and regulators globally are having increased concernsrelated to the ICO’s. Last week, Members oftheParliamentin Europe along with theblockchainconsultantsconsideredattainablelawsfor the ICO’s. One member pointed to the “dramatic increase” of ICO volumes in 2018, despite the increasingnumber of fraud cases being filed.
Chairman of thethe EuropeanCommission’s ‘Peter Kerstens,.’aforementionedthatthe actual factthat ICO tokensaren’t“intermediated,”which means thatthere’sno third party between issuers and investors and is also themainfocused pointof concern from aregulativeperspective.
Another recent report from Belgianmentioning that ‘Think Tank Bruegel’ last weekmeeting withunified European Union legislation on digital currencies, ICO’s, anda lot ofscrutiny onhowcrypto’s is distributed to investors.Bruegelreportedly notes that the virtual nature of digital currencies limitsthe events of laws, whereas entities operating digital trading platforms may face stricter rules which even includes a complete ban.
The Australian Securities and Investments Commission ‘ASIC’also disclosedits plansto extendscrutiny of digital currency exchanges and ICO’s in its “Corporate Plan” as revealedlast week. Additionally, the agency is planingto ensureany “threats of harm” from thenascentbusinessmigratedasa part ofitsregulativeremit.