The future of token exchanges and ICO’s

ICO futureThis is an opinion piece about token exchanges.

When meet ICO industry people there is often chat about a big fall out around ICO’s and the market for them.

The quick answer is that yes there will be a fall out around ICO’s but this will be around hyped up offerings with little or nothing behind them. There will be a new generation of ICO’s coming that have real existing businesses behind them that have users, revenues and profits.

This change is coming due to the massive success that businesses have had in raising money from token offerings which is now attracting more mature businesses.

The reason for the influx of capital is simply because investors prefer the liquidity of tokens over conventional equity that can have very long time to return the capital.

Token Exchanges

There are many exchanges out there as an example here are a couple:

However more traditional exchanges are coming like the new token exchange in Gibraltar.

Screen Shot 2017-11-15 at 2.13.27 PM

This is the new breed of exchange that have licenses and much harder to become listed as a token.

Next generation tokens

The next generation of tokens will be utility tokens, supported by real businesses in and have their tokens listed on regulated exchanges. This will bring more capital to the token markets and more sophisticated investors.

This will mean that many of the existing token offerings with less substance will become less attractive and mean that different tiers of token offerings will open up.

Around these changes more professional organisations will develop to support the ICO industry and move it away from the current “Wild West” that is the current ICO market.




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