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Was there a bubble in the ICO market?

Author

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  • Mikhail Stolbov

    (Moscow State Institute of International Relations (MGIMO-University))

Abstract

The paper aims to detect and date-stamp explosive behavior in the initial coin offering (ICO) market since its inception until February 2019. To this end, I conduct a 2x2 empirical exercise by applying two well-established statistical tests for speculative bubbles, the generalized supremum ADF test (Phillips et al., 2015) and the technique proposed by Franses (2016), to two authoritative datasets on monthly ICO dynamics. Bubble patterns are found for this market during May-June 2017 and December 2017-January 2018.

Suggested Citation

  • Mikhail Stolbov, 2019. "Was there a bubble in the ICO market?," Economics Bulletin, AccessEcon, vol. 39(4), pages 2448-2456.
    • Handle: RePEc:ebl:ecbull:eb-19-00673
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    References listed on IDEAS

    as
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    7. Caspi, Itamar, 2013. "Rtadf: Testing for Bubbles with EViews," MPRA Paper 58791, University Library of Munich, Germany, revised 06 Sep 2014.
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    Cited by:

    1. Jacopo Temperini & Marcella Corsi, 2023. "Democratizing money? The role of cryptocurrencies," PSL Quarterly Review, Economia civile, vol. 76(304), pages 51-66.

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    More about this item

    Keywords

    bubble; cryptocurrency; explosive process; ICO;
    All these keywords.

    JEL classification:

    • C5 - Mathematical and Quantitative Methods - - Econometric Modeling
    • G1 - Financial Economics - - General Financial Markets

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