In a move that confirms that the market for ICOs has hit a severe low, investment platform Fast Invest has announced a refund to its ICO investors. The company operates a peer-to-peer investment platform that is open for global participation.
Fast Invest made the announcement via its Telegram channel and has also notified its ICO participants via email. This is the latest clue that shows that the all-comers ICO market is perhaps gone for good.
See the link to the announcement here: https://preview.mailerlite.com/p8w1o6/1089029813231949514/p5v1/
What Was the Plan?
Having launched its ICO last year, the company was intending to sell its FIT (Fast Invest Tokens) for $0.015 USD in order to raise money to build a global investment bank. The platform allows users to hold, borrow and invest cryptocurrency as well as fiat.
The company has now shelved its ICO plans and shown a commitment to focus on its P2P investment platform. Participants in its P2P investment have shown a preference for the platform to the cryptocurrency operation.
After the yearly Board meeting, a conclusion was made that full commitment to the current P2P Investment platform would be a better strategic move, this is why a decision was made to end the ICO project. This choice was influenced by the rapid growth of FASTINVEST P2P investment platform in 2018, as well as all Global FinTech industry combined. According to our data, customers showed more interest in the P2P investment platform than in the cryptocurrency investment project.
A New Strategy?
One of the highlights of the company’s announcement was that the global Fintech outlook is positive and that it intends to focus on that frontier. Fast Invest appear to have taken a smart step as many ICOs have failed in the past year with many promoters disappearing into thin air.
The bulk of criticisms hurled against ICOs to date are focused on the lack of an underlying use case for many of the projects. While some had a standout objective, most were at best contrived as a get-rich-quick platform or a clone of an existing project.
The lack of a strong team behind many ICO projects meant that when the hype of the market faded, they had to fall by the wayside.
The Way Forward
Fast Invest has indicated a rethink of its operational direction and this is the clear path that operators of cryptocurrency projects and linked fintech initiatives must explore.
Again, for optimists who envisioned a consolidated cryptocurrency scene going forward, this could be a test case to evaluate. In the absence of strong regulation, many ICO promoters disappeared with depositors’ money and were unable to be traced.
Fast Invest has however shown a worthy example that might assuage some frayed nerves over the predominantly fraudulent schemes of the past year.