How Does a Lack of Legal Compliance Details Affect an ICO’s Viability?
A lack of clear legal compliance details, such as jurisdiction, regulatory status of the token, and adherence to AML/KYC, severely jeopardizes an ICO's viability. It exposes the project and its investors to significant legal and financial risks, including potential regulatory enforcement actions, fines, or an outright ban on operations.
Projects that ignore compliance are often unable to secure listings on major exchanges or attract institutional investment, which limits their market access and long-term success. Compliance is a prerequisite for mainstream adoption.