Roughly 1 out of every 6 dollars raised through ICOs involved a scam where people ran away with retail investor money. We definitely needed a major correction here before it got really nasty.
There needs to be a better model leveraging the best of both worlds. On the one hand, the model should represent the investor’s interests, and on the other, it should use some of the concepts of token sale (ICOs) for liquidity. As a regular equity investor in a company, you’re granted a specific set of privileges such as voting rights and shareholder dividend payouts. When you buy tokens in an ICO, you don’t get any of those except the network, platform, or service utility tokens. And that is now going to change with security token offerings (STOs).