ICOs Aren’t Cashing Out Their Cryptocurrency Warchests [Yet]: Research

When the ethereum price crashed by nearly 50 percent during the first two weeks of August, some analysts speculated that last year’s initial coin offering (ICO) boom was to blame for the second-largest cryptocurrency’s decline.

During 2017 and early 2018, cryptocurrency startups raised billions of dollars through ICOs, funds which were predominantly denominated in ether (ETH). This was all well and good while the cryptocurrency market was rising, as already-mammoth ether war chests swelled to colossal levels.

With the ethereum price careening down to levels not seen for more than a year, though, and no end in sight for the bear market, there was speculation that ICO-funded startups would capitulate and liquidate their ETH to maintain whatever runway they had left.

However, according to new research from Diar, ICOs continue to hold an average of 38 percent of the initially-raised amounts in their ICO treasury addresses, while the other 62 percent have either been sold or…