The price of IG Token (IG) suffered in the past day, losing more than half its value in Bitcoin terms, from 8 to around 3 Satoshi. The token, which is extremely low-priced, also slid in dollar terms, from $0.0005 to $0.0001 and even below that.
The immediate reason, as explained by the team on social media, was a rogue team member who sold a big holding of IG, and additionally spread a negative message about the project. The IG team tweeted:
IG Token is a newly traded ICO asset, having launched on the markets this August 12. The token is still in a price discovery stage, and has shown significant volatility. Still, even the sub-penny asset marked significant losses.
More than 93% of IG trading happens on Hotbit, where the price slid to $0.000158. On IDEX, the decentralized exchange, IG traded at $0.00151, and Mercatox saw a price premium in the ETH pair, with a price of $0.000285. The crash in prices happened on significant volumes above $1.6 million in 24 hours, which is a robust sum for a newly traded, relatively unknown token.
In the past few days, IG had a relatively good run, especially during the recent bear market and drop in ETH prices:
The IG Token project falls into the category of prediction market projects, which is a form of betting on event outcomes, or competitions. IG is somewhat similar to Augur (REP), which recently launched its app and a handful of marketplaces.
Right now, IG token sparks great optimism, despite the one-off selling event. The reason is that IG is looking forward to more exchange listings, and its market capitalization is still under $300,000, which allows for a big potential upside to growth. But the sub-penny price also holds a high risk for volatility and speculation, despite the optimism.
IG Token was a project severely affected by the withdrawal of potential backers for token sales. The team switched from the attempt at a crowdsale and instead distributed the IG tokens in an airdrop, in an attempt to reach more investors. IG Token returned the Ethereum raised in the failed crowdsale.
Neither the author nor the publication assumes any responsibility or liability for any investments, profits, or losses made as a result of this information. Cryptocurrency trading and investing are risky propositions, and market participants are advised to always conduct thorough research.