Tuesday, 21 November 2017

The warning and the fail, ICO investor cash vanishes.

Investing in new areas of complex technology is perilous even for serious knowledgeable investors. A recent round of crypto currency launches known as ICO initial coin offerings caused the UK financial conduct authority to issue this warning.
The term ICO refers to a digital way of raising funds from the public using a virtual currency, also known as cryptocurrency. An ICO can also be known as ‘token sale’ or ‘coin sale’.
ICO issuers accept a cryptocurrency, like Bitcoin or Ether, in exchange for a proprietary ‘coin’ or ‘token’ that is related to a specific firm or project. ICOs vary widely in design. The digital token issued may represent a share in a firm, a prepayment voucher for future services or in some cases offer no discernible value at all. Often ICO projects are in a very early stage of development.
ICOs are very high-risk, speculative investments.
From : Financial conduct authority announcement

No sooner said than done. 
Confido tokens had a market cap of $10 million last week, before the company disappeared, but now the tokens are worthless. And investors are crying foul.
Apparently the company pulled the shutters down by deleting all their social media accounts and leaving their backend administrators "Tokenlot" holding the empty bucket. A disappointing state of affairs but such occasional events are unsurprising considering the wild west frontier that underlines underlies bitcoin and similar technologies. Previously stories of stolen millions, closed exchanges and lack of global regulation also dent confidence in this in emerging technology.

Personally I like my investments, transparent, regulated and income producing.

Update : 21 Nov 2017 31 Million $ lifted from Bitcoin operator Tether

See this Hufpost article for information re this complex area. 

Facebook Meem nails this. From Programming Jokes group.

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