Russia Takes the Lead in the World’s ICO MarketApril 4, 2018
In an international research conducted by ICO Bench and EWDN, the results of “The Token Spring of Central and Eastern Europe” revealed Russia to be the number one country in the ICO market in the world. The said research mainly dealt with authentic and real cases of ICO and blockchain projects in Eastern Europe.
An Initial Coin Offering, popularly known as ICO, is gaining so much popularity these days. It is a new, essential trend that provides a chance to purchase into new tokens or cryptocurrencies built on Blockchain. Today, the number of startups wanting to raise funds through ICO investment mechanisms continues to attract so much attention from regulations from all corners of the world.
Russia, in particular, and Eastern Europe in general, have delivered amazing results in the ICO market, in spite of the modest scale of venture capital activity. There are not less than two-hundred thirty-seven companies coming from the region that were accountable for seventeen percent of pre-ICOs and ICOs launched in 2017 worldwide. Such projects have accumulated twenty-two percent or more than 1.2 billion dollars of the total amount raised worldwide in the market.
Twenty-two of the companies came from Estonia, another twenty-two from Slovenia, thirteen from Ukraine and 130 from Russia. This makes Russia an undisputed leader among the countries around the world, while also contesting the leaders of the world. It was also noted that Eastern Europe, as well as Russia host the second largest blockchain community in the world after the United States of America. It also ranks 3rd in the list of top bitcoin mining regions. This is due to the 8.2 percent of cryptocurrency mining centers, as well as the considerable shares of the world’s investments into ICO being concentrated in the region.
Even though the outstanding abilities of developers in Russia have not been sufficient to attract the attention of many venture investors, they were already sufficient to ensure the leading position of the country in the ICO market in the world. In the recent years, many have seen the venture capital become pricey and problematically accessible in Russia. A lot of founders of startups consider ICOs as a more reliable and convenient way to raise funds given the circumstances.
However, there are different difficulties that are now being faced by the market. As noted by professionals, a high percentage of scam among a variety of ICO projects, along with the general vagueness of the market of ICO as a whole, have lead to the responsible actions on the part of several authorities. These result in explicit prohibitions issued by some particular banks in the United Kingdom and the United States.
However, it is important to note that regulations do not just limits, but also protect many honest investors. This is just an indication that the industry of cryptocurrency is becoming even more mature each day. Therefore, it is safe to say that there is a bright future for the crypto sphere.