> why are people dumping so much more money into ICOs than into Kickstarter projects?
Because most of it is "free" money. It's not a coincidence that the great altcoin explosion happened after Bitcoin value had increased by several orders of magnitude, and the ICO explosion happened after Ether had.
Some people bought what they considered a lottery ticket for a few grand, found themselves with a jackpot, and decided to buy another lottery ticket with (parts of) the winnings. It doesn't feel like real money to them.
I don't know if we should feel better about it because of that, but at least it explains why so many of the altcoins and ICOs which are so clearly scams/ponzis can attract so much capital.
This is exactly why altcoins are popping now- investors are dumping their free Bitcoin Cash which materialized out of thin air into NEO and a bunch of other coins
Because most of it is "free" money. It's not a coincidence that the great altcoin explosion happened after Bitcoin value had increased by several orders of magnitude, and the ICO explosion happened after Ether had.
Some people bought what they considered a lottery ticket for a few grand, found themselves with a jackpot, and decided to buy another lottery ticket with (parts of) the winnings. It doesn't feel like real money to them.
I don't know if we should feel better about it because of that, but at least it explains why so many of the altcoins and ICOs which are so clearly scams/ponzis can attract so much capital.