Yes that is true but this kind of news is kind of expired by now.
Those scammers have done it a year ago and they had been successful.
Now, there is not much people who really want to risk a lot to new projects and it is hurting them. But the old ones are still on going. Bitcoin is one example of it.
Not all will be affected by it anymore.
Its indeed has a huge impact on people, it makes them more afraid because of what they had experienced and we can't blame them because it happens on most of us too. Most of them are not willing anymore because they think they are falling again into some sort of scam, you can literally find them everywhere and that is the reason why we need to be very aware and careful.
Yes, scam projects scared many, alarmed, many lost a lot of money, someone even took loans, all this was postponed, and also leaves a mark in the minds of investors
Every scam project damages investor confidence and of course this is bad for the cryptocurrency market in the future. Trust is important in the investment world, many scam projects hinder the entry of new investors and will certainly affect the price and market cap value