ICO has proven to be a revolutionary way to raise money for many companies and projects. ICO can be said as a mixture of traditional methods and advanced techniques. The primary thing to consider here is that investors investing in ICO will be free from 100% risk due to the technology used.
So far, most ICO Funds have been collected through Bitcoin (BTC) or Ether (ETH). While displaying the ICO, the project produces a bitcoin or ether address to obtain the fund and then, it shows it on the respective web page. The process is similar to opening a bank account, and then it is shown to a particular web page so that they can send money.
The initial coin offer (ICO) is basically an illegal way of gathering crowdfunding through various cryptokurrence (in some cases, Fiat currencies) and is used by cryptocurancity organizations to obtain the required capital money to execute the project. is. In ICO, a special part of recent release of cryptourrency is being sold to investors in lieu of any legal tender or any other cryptourrency. It can be said in the form of tokens sale or congestion sales, in which the investor takes the investment amount from the investors and providing certain features related to the project to be launched.
The IPO, i.e. Initial Public Offering, is a process related to ICO in which some investors get shares in the company’s ownership. While living in ICO, investors buy coins of that company which can increase in value if trade increases.
The first token sale, ie an ICO was organized by Mastercoin in July 2013. Iterium collected money through ICO in 2014. ICO has taken a completely new definition in the past years. In May 2017, there were almost. 20 offerings, and recently ICO of Web Browser Brave generated about $ 35 million in just 30 seconds. By the end of August 2017, total sales of 89 ICO coins of $ 1.1 billion were started from January 2017.
Investors send them to Bitcoin, Ethereum or any other cryptocyurrency at the given address, and then in return, they get new tokens which can greatly benefit them when the project hits.
ICO is basically organized for cryptocurrency based projects that rely on decentralized technology. Therefore, such projects only naturally compromise those who have a keen interest in the concept of cryptoconference and they are suited to the technology used.
The document that is related to an investor, is actually in the form of a webpage, whitepaper or web post. Some of these documents show accurate details about the project, do some other people have actually duplicated its features to mislead the interested people? Therefore, before relying on any white paper or electronic document, check for better quality.
Hope this article has provided you clear insight on what is an ICO? And how does an ICO function? Do let us know if you have any more queries, in the comment section below. We would be happy to help you out with this. Also, make sure to bookmark our blog for future updates.