In beginning of 2018 there were a lot of alcoins was launched in market, Most of them was just to scam people with typically referral method by social influencers.
This was also a flaw of Ethereum blockchain where any single person can create his own coin with his desired supply and name by costing very low fee.
As with the help of Ethereum blockchain where it was super easy to generate any coin it was easy to launch any ico with high promising goals and convince people to make their money multiple x.
Those scam or ordinary platform make alt market dirty game. And this impact very badly on the genion project where many traders lost their interest.
In my opinion, the number of tokens that die is not the ethereum network error. Ethereum only provides a blockchain and everyone can use it to make tokens for business or other purposes. It all depends on the developer team in producing the product, if the developer team is able to produce a good product, I think investors will actively trade it