Most ico founder don't even know what blockchain is all about.from your conclusion you are obviously right. Even when they raise funds from their ico they don't know  what to do with. They keep on complaining about market is not stable. The market is not stable , unknowning to that the instability and fluctuation of the market is where long and short crypto traders make their profit from . Until there is regulations on ico there will be trust on investing in ico , although there are few genuine project but because of the rate of scam ico most investors are scared .