Massachusetts is stopping 5 ICO´s in one single day
What is happening to the ICO´s and why is that a good sign?
The world of cryptocurrencies for a long time has been a world of anonymity. This has now changed with the increased market and the blockchain technology. It is now used wide spread in lots of industries. Anonymity is still a topic but will it seems in the long run be controlled.
Society is working because we all contribute with taxes to what is the so called public space. Roads, Parks, Public transport, Schools, Health Services etc. are mostly paid for by taxes or at least organised by governments. In countries where it does not function as well as in others the reason is mostly because of corruption. While Blockchain has the potential to get rid of all the corruption in the mean time taxes need still to be paid.
While the idea of Bitcoin is to disrupt the financial world and take the power of the financial world back from the few very rich people, companies who are coming up with ICO´s are using blockchain to improve their own service. With missing regulations anyone has been able to start an ICO to raise some money just for fun or for a real project. Now with more and more regulation companies have to comply with laws and regulation. This brings the whole system closer to the traditional businesses where it gets more challenging to launch a new project due to KYC (Know your Customer) and AML (AntiMoneyLaundering) but also with more security for the investor.
Is it getting better or is it getting worse?
Limiting the freedom of starting an ICO might sound like all is getting worse and more difficult but it also has an upside. Having all the necessary data and documents in order before launching an ICO makes sure that there is not going to be a problem later. This way the company as well as the investors will have more clarity and security that all will work out.
Massachusett is not very crypto friendly and very strict with applying law this results in strong controls of all ongoing and new projects. While this might be hard for some real and serious projects at the moment it is a move that is expected and hopefully applied all over the world.
What is happening in Switzerland, Singapore and Malta
The three leading countries in the world acknowledge the power of blockchain, cryptocurrencies and their ICO´s and embrace the opportunity to welcome companies in the industry. At the same time they are opening the doors they are also making sure KYC, AML and customer protection as far as possible are in place.
Future of ICO`s
All looks great for new projects and every day the market is maturing in its own way. While speculation is fading a bit away real value will become more and more important.