According to @milesdeutscher, the original ICO cycle failed because many teams raised large sums without delivering usable products and because regulators increasingly deemed token offerings to be securities, which pressured builders, source: https://twitter.com/milesdeutscher/status/1998116731634766162. For traders, this underscores higher downside and headline risk in token sales with weak product delivery and clear securities-law exposure, as highlighted by @milesdeutscher, source: https://twitter.com/milesdeutscher/status/1998116731634766162.

According to Compounding Quality, historical analysis from 1968 to 2000 shows that a buy-and-hold strategy on IPOs underperformed the main stock market index in 29 out of 33 years, suggesting that IPOs are often overpriced at launch. This underperformance signals to crypto traders that similar hype cycles and overvaluation risks can exist in token launches and new coin offerings. Traders should exercise caution and prioritize fundamental value over hype when considering new asset entries, whether in traditional IPOs or trending cryptocurrency launches (Source: Compounding Quality on Twitter).