So if I understand this right, they get thousands of micro investments to fund the deal. Sounds great but how are the developers accountable to the investors? Who makes sure everything is on the up and up?
It’s pretty much like any other investment deal. You have to do your diligence and decide.
This will be a major funding model in the future. Companies that do right by their investors will have continued success tokenizing projects. Those that don’t, won’t.
The difficult thing is when a company tokenizes a project for the first time. There is no past performance to base your investment decision on. So you have to go to the white paper and maybe base it on past performance of key execs.