SEC ICO Exemption Proposal May Come Too Late for Reviving Fading Market

The U.S. Securities and Exchange Commission (SEC) has proposed an exemption for initial coin offerings (ICOs), aiming to ease fundraising for crypto startups. Under the proposal, companies can raise up to $5 million without SEC registration, with an annual cap of $75 million depending on company size.

Bloomberg News warns that this move may come too late to revive a market that has long lost its momentum. The ICO market peaked in 2018 but has since dwindled, and investors have shifted towards more mature projects.

Crypto trading and investment firm GSR's research analyst Carlos Guzman notes that ICOs are fundamentally different from those of the past, requiring working products, clear token utility, and credible teams to attract investors.