people are afraid because of market condition, these days almost all ICO that got listed on the exchanges are below their ICO price and people are losing their money, so it is even better to buy at exchanges than the ICO, it's only hype project that gives some x upon exchange listing.
Sadly, a lot of ICOs are just mostly hype but I can't deny that there are a few legit tokens out there that deserve funding and in turn are profitable for us investors. That said, ICOs are still worth investing in if we know which ones to pick by doing proper research and staying active in social platforms for possible hints of red flags from fellow members. In addition, there is an upcoming token sale for a decentralized token marketplace project called Menlo.one this coming July. According an interview with their CEO, this platform would help identify good tokens, and most especially fraudulent ones. Link to whitepaper:
https://www.menlo.one