ICOs in September froze to almost nothing, with around $31 million raised until September 27. Based on data from icodata.io, the month saw $163,888,925 in funds raised, with 279 projects raising funds in September, based on data from ICO Bench. The number is down from 339 ICOs in August 2018.
ICO funding visibly dwindled in August, with around $330 million raised. The sinking Ethereum (ETH) prices also caused some projects to delay their launch. Additionally, data from Sentiment shows that ICOs speeded up the spending of Ethereum in September, just as the prices were crashing, but later, the spending of ETH slowed down.
The behavior of the ICO market is indicative of the general mood of crypto investments, as new tokens are no longer seen as tickets to high-level returns.
Yet despite the slide in ETH prices, older ICOs managed to get together a decent amount of funding. Based on data by Bitmex Research, startups that chose the token sale model realized $692 million until now from selling ETH on the open markets at various prices. Even with the ETH losses since the peak, ICOs still have the equivalent of $93 million in unrealized net gains. But this number is misleading, as some projects have seen deeper losses.
Not all ICO projects were equally lucky. The Filecoin ICO has managed to realize more than $135 million, while others saw their Ethereum haul dwindle to nothing, as in the case of Sirin Labs, with unrealized losses of the equivalent of $40 million.
EOS remains the biggest ICO so far, raising more than 7.21 million ETH, while realizing about $60 million in gains.
Bitmex concludes that in the longer run, token sales and the ICO model were successful for a multitude of startups. While it is difficult to estimate which projects were honest, there were ICOs that managed significant gains, and the funding helped them secure good developer talent. Also, Bitmex notes that ICOs are, for now, not panic-selling as much as expected, and many projects are holding onto their ETH balances, despite the unrealized gains.