A recent research by BitMEX and TokenAnalyst has revealed that although cryptocurrencies have shed a considerable value, the ETH raised during ICOs was minimally affected. The research findings released today indicate the Ethereum balances of the ICO projects over time – from 2017.
“We look at the amount of Ethereum raised and the US$ value of the gains and losses caused by the changes in the ethereum price,” noted the opening paragraph of the report.
The report gives a macro analysis of Ethereum raised by 222 Initial Coin Offerings amounting to slightly over 15 million ETH worth close to 5.5 billion U.S dollars. The single largest contributor, according to the report, is the EOS ICO which raised 7,211,776 ETH worth $3.8 billion. Other ICOs managed to raise 7,972,003 ETH worth $1.6 billion. The report calculated the dollar equivalents from the value of ETH during the ICO period.
EOS has already sold all of its ETH coins to a tune of 3.892 billion U.S dollars. However, the accounts of other ICO projects have only sold 4,113,345 ETH implying that the accounts still hold an additional 3,858,121 ETH coins valued at 830 million U.S dollars.
From the report, EOS project gains stand at 68 million U.S dollars while the gross realized ETH gains by other ICO project are at 692 million U.S dollars. Unrealized gains are valued at 403 million U.S dollars while the unrealized (gross) is valued at 311 million U.S dollars. Therefore, the net unrealized gains by other ICOs are 93 million U.S dollars.
One biggest shortcoming for this research is that some ICO projects’ ETH values, like TRON’s, are not included since the researchers did not identify “a treasury address or an address cluster”
During the analysis of unrealized gains, ETH was equated to 215 U.S dollars. With the researchers concentrating on all ICOs as a cluster, the report cautions that an individual view of these projects can reveal different results.
As the report has revealed, the Ethereum balances of the ICO projects over time indicates that the projects did not suffer any loses even when ETH shed almost 85 percent of its value since December last year.
Let us know your thoughts on whether the remaining unrealized ETH can have negative effects if dumped in the market.