ICOs, or Initial Coin Offerings, have become a popular way for cryptocurrencies to raise funds from the public. However, they have also become an easy way to prey on the vulnerable, and the financial regulator recently warned customers about what it calls “these very high risk, speculative investments”. It warns that there’s little consumer protection and high potential for fraud, as well as high volatility. Some ICOs are regulated by the FCA, but this is on a case-by-case basis, depending on how they are structured.
As the FCA says, you should fully research any ICO before handing over your money. “You should only invest in an ICO project if you are an experienced investor, confident in the quality of the ICO project itself,” a spokesman says. Alternatively, consider investing or trading with a regulated provider.
That is really what you say. Although I have joined the crypto currency for quite a long time but I still need research and analysis when I will join the new ICO project. I will spend more time exploring the project from various media in the ICO, especially from the whitepaper. I am better patient than I fall into the wrong ICO. I usually take one week to finish analyzing the ICO if I'm really busy. Many aspects that I consider trusting an ICO project. Some of what I consider include, the development team, the advisory team, the project plan, the reality of the project, the project objectives, and much more. After I explore through the whitepaper, then I will analyze the challenges faced by the ICO and the chances of success from the ICO. It did take a long time but I was satisfied with the ICO.
