The (significant) downside of limiting early investment to accredited investors is that the early investors are the ones who gain the most profits. They're als

The (significant) downside of limiting early investment to accredited investors is that the early investors are the ones who gain the most profits. They're also the ones who take the most risk of losing the most. People seem to want low-risk high-reward investments and that demanding the appropriate laws will give it to them. The thing that ICOs seem to have not caught onto yet is that early investors are mostly in it for the flip, as evidenced by so many ICOs quickly dropping below ICO price. This is easily solved by restricting delivery of the tokens to a company-benefiting schedule. The difficult decision will be balancing the imposed illiquidity with attracting enough initial capital to be viewed as attractive to later investors.