ICO was revived in the form of IEO, and to receive funding, developers are now presenting a full-fledged product, analysts from Outlier Ventures found out.
Blockchain startups raised $ 822 million in the first half of 2019, according to Outlier Ventures. Analysts published a report according to which over the past six months, 279 transactions involving venture capital were concluded in the digital money industry, of which 159 belong to the initial financing stage, writes The Block.
Since the beginning of the year, EY, JP Morgan and Target have submitted the code for their projects. According to experts, this suggests that now developers show full-featured products, and do not create evidence of the feasibility of their concepts.
“Despite the increasing control of regulators, the exchange remains a favorite for investors. Bithumb alone raised $ 200 million,” said Outlier Ventures partner Lawrence Lundy-Bryan.
He added that large venture capital deals became less frequent. According to the specialist, the revival of ICO took place in the form of IEO in early 2019, and the main difference of the new type of financing is that the exchange offer provides instant liquidity to the holders of tokens through listing.