Many of ICOs allocate some of the tokens to participants in bounty campaigns. Don't you think it is better to give bounty participnats reward in ETH?
1-2% of the money raised is not so much and bounty participants deserve that. Also, it can cause more investors to attract. Because they are no longer worry about the price fall after bounties are paid.
You're right that paying bounty participants in eth will lessen the event of early dumping of the tokens. Additionally, we bounty members will be happy since we won't need to pay for the conversion of tokens to eth in exchanges. But I think it is favorable for the team to pay with their own tokens rather than spending part of the funds raised for the project. There are lots of cases that they did not reached even their targeted soft cap so every single penny they raised in ico should be utilized for the project's expenses. But I'd love to be paid in eth if it's possible.