So what exactly is an ICO (initial release)?
Imagine this: You are a startup with a great idea for a new cryptocurrency system. Perhaps you want to fund your own Blockchain development through digital currency and uncompleted cryptography. What a good idea! Call it EarnCoin. The only problem is that you need people to invest you money so you can get this digital currency to work. Now, you can go to the bank or try to receive capital from venture capitalists, or the community to receive the EarnCoin … that you can distribute EarnCoin to everyone? That’s how you conduct an ICO. Investors expect your Coin value to increase in the future and they profit from it (ROI return on investment)
This is how it works. You create a document that details exactly how the system works (often called a whitepaper), creates a beautiful website and explains why it’s a great idea that can be so useful. benefits, potential investments. Then, you ask people to send money to you (usually Bitcoin or Ether, but you can also receive fiat) and in return, you send them some EarnCoin. They hope that EarnCoin will be heavily used and highly circulated, which will enhance the value of the currency.
So who can start the ICO?
Who is literally! Currently, there are very few ICO rules in countries, meaning that as long as you can set up Blockchain platform technology, you are free to try and receive money investments from investors and sponsors. . Currently cryptocurrencies are generally like free lands; There is real gold there and its laws are relatively few and unclear. This could work in your favor or it could lead to information being not transparent. Of all the ways to raise funds, conducting an ICO is probably one of the easiest ways to attract investment, and there are few commitments and commitments on the ICO law.
This means that if you want to start investing in a new ICO that your friend who is working with told you. The first thing to do is to make sure that people who provide ICO information from reputable sources. Some things to look for: What is the history and potential of that cryptocurrency or blockchain?
KEY KEY OF THE ISSUANCE OF ICO
- Entrepreneurs looking to launch a new cryptocurrency can do so through initial coin offerings (ICOs).
- How? Create a whitepaper commitment roadmap or create a website or application that describes how it works and the potentials, and then seek funding.
- Advertising is key because there are so many competing currencies on the market, so it’s important to find a way to attract a target whitepaper.
How to start ICO your coins?
The most important thing you want to do is make sure that you or someone (possibly many people) involved has worked and is knowledgeable about cryptocurrencies and blockchain . You need to be able to answer on-site questions about all the small details regarding your ICO coin to investors and the community.
You should also ask yourself if you think your business will benefit from ICOs. Basically, after reading this article, you should consult with experts who can view your specific ideas and tell you how to be able to perform ICO jobs in detail. .
If you are determined to move forward, you need a whitepaper , which is a document that identifies exactly what your money has to offer that has never been done before, or how you do it. will implement an established idea better than anyone else. This document must be compelling, informative and very, very detailed, like the Whitepaper for Ethereum , one of the most successful ICO coins.
Like any business, you need to connect your buyers through learning Whitepaper. Ethereum’s whitepaper meticulously explains what blockchain is, and then goes into details of how they plan to build on the process Satoshi Nakamoto has done and create something interesting and the process to follow. where. Now, does the whitepaper include a roadmap for your coin to be completed like the roadmap for making a pizza.
ICOs are hardly regulated, especially compared to an IPO for a stock, so be diligent before you jump in to invest.
Marketing your ICO
Once you have an impressive whitepaper, you need to advertise it. You have two target audiences that will have to try to reach: one who is knowledgeable about cryptocurrencies and ICOs and the other two who are uninformed. You will need to reach out and identify those who will be most excited about your ICO venture investment call because, that means you need to get close to an investment attraction deal of theirs. for your project. In the case of EarnCoin (hypothetical), you may have difficulty promoting your approach to investors.Please contact Earncointip, we have a large network of communities interested in cryptocurrencies and technology. Blockchain.
Great! So, with information about future EarnCoin and people waiting for you to issue it, all that’s left to do is determine the price and distribution of your Token. You can also show the evidence that has been developed to show people what you have committed to the roadmap on the whitepaper.
ICOs and celebrities?
If you love any actors and entertainers like Jamie Fox and Ghostface Killah, you want to encourage investors to invest in your ICO project, so that it gets hotter, you can invite them as representatives. pictures for your project.
How to determine which ICO is good?
Since ICOs are hardly imposed by specific rules, you need to be more careful than when investing in a securities IPO. Read the Whitepaper, research team members and make sure they have a good history, credibility, and experience with cryptocurrencies.
You can also use trusted sites like Coinschedule.com , select only the ICOs that they have reviewed and considered legitimate and potential. Although you don’t completely trust any sites that provide listings, they can be quite helpful for you and me.
The bottom line
Finally, ICOs are an extremely new way of raising money and everyone is trying to adapt and get used to it.
Since each individual is unique in his or her decision, consult a qualified industry expert for advice before making any financial investment decisions.