Opinion by: Hatu Sheikh, founder of terminal corner
The crypto has largely failed retail investors. Initiates and institutions bring together lucrative opportunities before hitting the open markets. Samecoins and purely speculative games are the only means for retail investors to recover their participation in The Pie.
They remain exposed to a “crime supercycle” which started with initial offers of parts (ICO) not regulated in 2017-2018. At the time, the first DEX (IDOS) offers emerged to provide retail investors with open access to projects at an early stage. Little by little, however, high threshold requirements, long acquisition periods and information asymmetry put most limits for retail investors.
Idos died in principle. But they will prosper – live longer than ever – by ensuring long -term growth and a generation of sustainable income for retail investors. In addition, Idos will become the most viable and essential path for basic users to create generational wealth.
Loss of retail investors of a dream
Transactions without authorization to the fractional property, retail investors came to Crypto with a dream. Unwavering and outsiders had a real chance of financial freedom for the first time in world economic history.
However, they faced a constant series of fraudulent projects and fundraising scams. During the so-called ICO craze, they lost more than $ 16 billion while trying to buy “the next best thing”.
Idos has promised a fix. They obtained cryptographic fundraising with measures to protect robust investors such as rigorous and pre-registered reasonable diligence. Solid teams and realistic roadmaps have become a must for projects.
More importantly, Idos has introduced tokens to ensure more skin in the game for projects and investors. He offered cryptocurrency security against pump and rescue scams. But from a setback, higher references of stimulus have won the chances in favor of institutions. Retail investors have been left out. Again.
In relation: Ido Magic Square platform supported by Binance to democratize access to retail investors
The token milestone has a negative effect twice on the Idos. Limited opportunity for retail investors and a cold start -up problem from the point of view of liquidity. And with 64% of retail investors arranged to pay liquidity in projects at an early stage, it is a vicious circle.
The crypto prosperous with crowdfunding for a reason. Whales can only take industry so far. If IDOs do not hold the promise of ascending financial empowerment on a large scale, they will inevitably run away in non-all. The crypto, as a whole, will also drop.
Democratization will restart idos
It is not too late. Idos can turn around and have a brilliant future. What Matters is to remain faithful to their origin first in detail. Ensuring fair launch and fair opportunities is the key.
The change has already started. Launchpads IDO New-Age do not oblige investors to lock funds. Anyone can start to finance start -up projects with as little as $ 100 (or even less), opening the ground for small and medium investor as well as institutions.
By going a little further, innovative winners offer unprecedented features such as reimbursements so that investors can withdraw from their positions if they wish – because the choice is one of the most critical aspects of freedom, after all.
In addition to putting investors in control of their funds, emerging launch pads guarantee transparent and rigorous verification. Only high quality projects are listed accordingly, which gives investors access to long -term growth opportunities with low risk and even obstacles to entry.
This user -friendly approach effectively solves safety and liquidity in a single stroke. Emphasis is also placed on fundamental principles at an early stage, prioritizing the real value compared to simple speculation. It also creates a level playground where new investors and institutions can thrive.
The Idos have entered their next evolutionary phase. Investing in crypto projects at an early stage is no longer a zero -sum game, where those who have deep pockets produce excessive and unfair gains.
With increasing democratization – and the desire to facilitate real meritocracies – space is finally aligned with the fundamental principles of cryptography.
Holistic assessment of projects based on market account, adjustment of the product market, income distribution channels, usefulness of token and community growth becomes the standard. Flashy white buses and pitch terraces no longer cut it. The scam barriers are higher. The obstacles to investment in such well assessed projects are much lower.
The sides of demand and supply reach a balance. This too, without compromising the intrinsic value. It is a return to fundamental principles in the most authentic and broadest sense of the term.
Innovative launchpads exchange idos. They increase the bar and establish new standards for fundraising in detail in crypto. The next step, although the most important, is to compete in the platforms in space to register and subscribe to a quarter of work in general.
IDOs are never closer to the realization of their promise, justifying their philosophy to retail investors. However, they have never been more distant. This is an inflection point.
From there, retail investors will decide the future of Idos and the Crypto. They will join numbers or sign for good. Innovators have work to do – this time for real.
Opinion of: Hatu Sheikh, founder of terminal corner.
This article is for general information purposes and is not intended to be and must not be considered as legal or investment advice. The points of view, the thoughts and opinions expressed here are the only of the author and do not reflect or do not necessarily represent the opinions and opinions of Cointellegraph.
