ALERT: Impending cryptocarnage for EOS buyers. Why 61 million is too high
Many investors believe that EOS will be a gamebreaking technology, but is the $61 million dollar buy pool too high?
The EOS ICO has put together over 61 million dollars worth of ETH with several days still available for more funds to pour in. Here's why I think that the $61 million dollar buy in window is oversaturated.
1.) 61 million divided between 200 million EOS is approximately $0.30/EOS. I don't think that EOS will consistently trade above above $0.30 for the next year. My very limited funds I think will be much better served on the Bitfinex exchange on July 1st. Yes July first I hope to catch some investors with fresh crap in their pants who have lost tons on ETH / EOS in a short two weeks... and purchase their expensive yet undeveloped ERC20 tokens for much less.
2.) The sale was setup to be extremely "fair" in the context of transparency. However alot of people have allowed their FOMO to drive their decisions, and some of these people might have limited understanding of the distribution mechanics and/or the nature of the technology. It's FAIR but its gone into the tulip craze zone. Since you can see right into the Fund pool - why make an irrational decision to buy-in at inflated value?
3.) The rewards pool could continue to grow, driving the price up and nullifying the potential to get a high performing trade.
4.) You're not going to miss out! The Bitfinex exchange will be trading EOS July 1st, and there's a 23 hour window of EOS selling goodness every 24 hours for the next year. Anything that scares investors at this point is going to be a major boon to the little investors like me.
Feel free to take a look at the ICO wallet address on the blockchain https://etherscan.io/address/0xd0a6e6c54dbc68db5db3a091b171a77407ff7ccf
The post that closely represents how I feel is by @lukestokes right here : https://steemit.com/eos/@lukestokes/say-no-to-fomo-eos-ico-a-call-to-rationality
Thanks for tuning in remember to upvote follow resteem and comment! Stargarden out <3
Most people from US gonna be playing it like what u said:
I know I am. It is a Year long crowdsale ICO
I agree that the ICO investors in the first 5 days won't make a profit on this one. But, the 30 cents price doesn't seem that bad actually. That's a total valuation of $300 million. Seems reasonable for a potential Ethereum killer with an undeveloped product. I mean, look at coinmarketcap, it's littered with undeveloped products at or higher than 300M in market cap.
EOS at any price today is <<<<< EOS one year from now. Buy, hodl, profit. So goes crypto. Disclosure: I am putting everything I can into first 5 day period and holding for at least 18 months.
I would take that bet. I think EOS one year from now will be cheaper than the initial 5 day ICO price. The demand isn't as high as supply in this case because of the uncapped ICOs for an entire year.
Thats definitely not a bad strategy, its similiar to my strategy only I want to buy in over the next 10 days of hysteria over low prices for individual window payouts (maybe) or buyers remorse as well as watching the initial price and market reconciliation.
Presumably it was a massive panic sell that drove the price of ETH on the GDAX to headline news as a flash crash.
Let's expand on points 1 & 4 a little more.
For the record I thought the same for Google and Facebook after the IPO.
@stargarden are you a believer in the long run in the EOS ICO?
Appreciate the thought provoking investment opportunity. Now let's wait it out and look for the best price entry.
For the record I am converting all of my ETH to Steem and powering up. I am a believer in this platform!
2 million eos will be sold each day for the next year- through the ICO - BItfinex will ALSO be trading them
Lost my interest at using Ethereum as the ICO. Should have used steem or BTS. If you aren't loyal to you own platforms/producst why would I buy in to new ones.
Interesting sentiment I think theres a real network architecture rationale behind their choice but thats my opinion
When you create a platform to compete with Ethereum, which is what steem is, not steemit, the actual steem technology, and then you go and make your direct competition better instead of your own platform, it just seems strange to me.
Maybe they thought it would congest the ETH network.
LOL, who knows. We'll see what they do with it and we can all make our decisions then. As far as I'm concerned, like you, I didn't invest yet and won't be any time soon.
good theres no rush anyone rushing is going to lose out =-p
It does seem strange I am just not quite 100% certain either
When it will hits the exchange in bitfinex, you can use other altcoins to get that token.
Who is supposed to be loyal to Steem and BTS? If you mean Dan Larimer he is only one member of the Block.one team. Everyone working on EOS has an obligation to act in the best interest of EOS itself and not act in the interests of former projects.
Feel free to feel however you want, so will I :)
I don't mean to be antagonisitc. The EOS ICO is odd in my opinion, but accusing developers of disloyalty to their past projects is also extreme.
Is it extreme to see a developing pattern? BTS get's left with no devs and while I can use it, most average users look at it and just scratch their heads or mess up and send funds to the wrong wallets etc. Steem is finally gaining traction and while we have extremely fast block times and huge transactions numbers, what could possibly motivate someone to leave the platform they designed to go and make their primary competitor stronger? The only thing I can imagine is money or power, but who knows, time will tell.
Perhaps the strategy is to become a sort of activist investor. If Block.one holds enough ether from their ICO they can have some say in the decisions made by the ethereum community.
Two reasons. First, Steem is not a smart contract platform to start with. BTS is thinly traded. The money is in Ethereum right now, and ETH holders want to diversify, so ERC20 auction makes sense.
There for sure are going to be ICOs that botch their launches and this one honestly seems to be one of them. This one has good backing and support along with data but it just seems way over hyped compared to all of the others launching and ones already established.
heh the 5 day buy in window looks pretty saturated. I think you'll see it trade over 0.30 6-12 monthes from now certainly - but there may only be windows of exposure @ $.30 before then
sounds like a reasonable call
Can Americans use Bitfinex?
You can always get quite a few in the first 5 days and then dump them on the market on day six...no?
I think yours is the best take i've seen so far.. Upvoted and sub'd.
thank you I really appreciate that =-)
You're quite welcome!
Yeah, I'm also confused as to how it's already being listed on an exchange when I thought it was supposed to be released over time?
The (ERC-20 EOS) tokens will be exchanged freely until June 2018 and then they will get "locked" and you'll have to redeem actual (EOS) tokens for your (ERC-20 EOS) tokens after that presumably
The ERC 20 are like placeholder tokens specifically so that they can be locked into the smart contract from the beginning with the rule that they get locked june 2018 when EOS blockchains will become available