> For the complete documentation index, see [llms.txt](https://wefund.gitbook.io/wefund-whitepaper/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://wefund.gitbook.io/wefund-whitepaper/wefund/introduction/problem.md).

# Problem

WeFund believes blockchain technology has numerous applications and can be adopted across various sectors, however, there are many cases in which this promising technology is being used without tangible utility and application. 

In addition to projects with a lack of utility, there are many cases in which projects backed by investors have malicious intent from  the start and do not operate in good faith, therefore, failing investors. The China Academy  of Information and Communications Technology (CAICT) claims that only 8% of the over  80,000 blockchain projects ever launched are still active today. Furthermore, blockchain  projects only average a lifespan of roughly 1.22 years. Additionally, a Wall Street Journal  review of 1,450 documents for digital coin offerings unveiled 271 indicators of fraudulent  tactics — including “plagiarized investor documents, promises of guaranteed returns, and  missing or fake executive teams.”