Most of us here wants to take advantage of the opportunity that cryptocurrency gives, there's a lot of ways in doing that such as working with your skills, trading, gambling, investing, etc. there's a lot of ways.
But I will focus on Investing to ICO's. Most of us here are investors and some are new, I will just share to you how are we going to earn through investing to ICO's, well we have different ways or strategies how are we going to earn through Investing.
So how does ICO works?So basically this is how does ICO works based in my own perspective.
1. They will open to public about their project including website, whitepaper, team, etc.
2. They will run a bounty campaign in order to increase the projects exposure.
3. Investors (We) are going to invest to project in exchange they will give you their tokens.
4. The investment they've acquired will use to develop their project.
5. If the project was a success there will be a lot of investors.
6. You can use the token to the project or you can sell it but if there are many investors to the project the value of the token increases.
So in this way we have 2 options.1. Short term investment
2. Long Term investment
SHORT TERM INVESTMENTA short term investment is a kind of investment where in you're going to sell your tokens immediately if it hits the exchange or you're going to sell it immediately when the price in market is above the ICO price.
Advantage:• Fast income
• Easy profit
• A little bit safe (because some project are failing afterwards)
Disadvantage:• Most of the ICO's runs a bounty campaign and of course the bounty hunters will sell their tokens immediately after distribution which results of decreasing the price so bad.
• You will not earn that much.
LONG TERM INVESTMENTA long term investment is one of the most profitable way to earn in ICO however it will take some time before you can earn from it, If you believe in the project and in the team of the ICO you will do a long term.
Advantage:• Max profit
• You can earn 5-10x the ICO price (Depends on the project)
Disadvantage:• You need to wait for a long time probably a year or so
• Most of the project are failing in the run
First of all you should know that one of the riskiest place in cryptos rather than trading are investing to ICO's, most of the ICO's now are ended up being a scam so you should know and study the project/ICO first before investing to them. I've made a thread about Avoiding being scammed there's a links there about tips on choosing the ICO's as well as the different kinds of scams in this industry so you will be aware of the different scams. Here's the link:
https://bitcointalksearch.org/topic/m.33152916PS. All of this are according to my perspective and opinion it may be right or wrong to others, the purpose of this thread is to share some of my knowledge and strategies. If you have something to share please feel free to reply so all of us will benefit.