4 ms·
as far as I can tell, we're in the grip of a mania and the main purpose of most coin offerings is speculation bait. There seem to be some coins that are targeti
by beaconstudios 9y ago
as far as I can tell, we're in the grip of a mania and the main purpose of most coin offerings is speculation bait. There seem to be some coins that are targeting legitimate long-term use (such as those in the telephony market, and those trying to democratise markets like storage) but by and large, it seems to be a cash grab.
- jerf 9y ago"Most coin offerings" I'd agree with you with, but I'm specifically curious about what these relatively established companies think they are doing. I have a bit of a hard time imagining a well-lawyered company coming up with the plan to just say magic swoon words to boost the stock price, then all the inside stock owners sell, because that's at best perilously close to inside trading, if not obviously on the wrong side of the line. (And remember, "raise the stock price" on its own isn't really a motivation. There has to be a plan to sell the stock on the news, or to avoid a take over bid by making the company too expensive, or placate a board of directors, or get new investment at the higher valuation, or something else for which "make the stock price higher" is a tool, because it isn't really a terminal goal on its own.)