I personally don't like referral system. This is for me a serious red flag. Referrals is not really a clean strategy, well at least it generates something dirty actually. Networking and ponzi schemes are what come to my mind when this referral thing is taken on topic. ICOs in its form right now is much better off without referral systems.
ICo with referral system, Stay away from that ICO. That;s a kind of shit. WHy do you want to take a part in ICO like that. If you not sell you earn nothing. There are many bounty ICos that give away the participants for facebook and twitter campaign even don't make a sales. WHy still many people get involved in referal system. There are many program out there from referal and affiliate and for me. I never make money from that program. Many ICos are succesful without referral system. So why so greedy scammy developers want to exploit bitcointalk members. I think bitcointalk members are not stupid working for scammy and greedy developers or fake developers. 
Topic: ICOs with a referral system = red flag? (Read 469 times)
There are WAY more important things to look for than a referral program:
LakeBanker's ICO is running a referral program as part of a wider bounty campaign, but we're a spinoff of a major exchange LakeBTC. We trade 10s of millions of dollars a day. We're a big business. There's no way we'd risk the reputation of our LakeBTC exchange by running a scam ICO.
Referral program means nothing. Every project needs to find ways to get the community incentivized. Check existing business, resources, potential corporate partners, the developmental stage of the project etc. These are all MUCH more important than a referral.
If you’d like to know more about our project, check out our ANN thread and formal whitepaper
LakeBanker's ICO is running a referral program as part of a wider bounty campaign, but we're a spinoff of a major exchange LakeBTC. We trade 10s of millions of dollars a day. We're a big business. There's no way we'd risk the reputation of our LakeBTC exchange by running a scam ICO.
Referral program means nothing. Every project needs to find ways to get the community incentivized. Check existing business, resources, potential corporate partners, the developmental stage of the project etc. These are all MUCH more important than a referral.
If you’d like to know more about our project, check out our ANN thread and formal whitepaper
Authorship Bounty has a referral program. Do you really think it doesnt help to the project?
Honestly i think there are more important aspects to look at than if they have a referral system. such as:-
- Strong team - Both in development team and also the CEO's / marketing (People focus too much on the developers which is important but not everything. no point having a great team to create something, if nobody can advertise it and push the startup in the right direction.)
- Realistic vision - not aiming too high or if they do not reach their target everyone who invested will be disappointed
- Solid whitepaper - Well thought out, shows realistic goals, a strong good vision and a plan of action
- Strong social media presence - A social media that shows they are connected with everyone
- Good customer support - Shows they care, and they have invested time and money into making sure the average investor can ask questions
- Good website - A business who is willing to throw time and effort into a good website are less likely to be a scam
- finite supply - ICO's with no cap can be dangerous and can simply just damage their own coin by releasing more for more investment.
-Market they are getting involved with - Is this a new market? or a dying one? who controls the market?
At the end of the day ICO's are there to generate as many investments as possible, so that the currency grows in value (both great for the investors and the startup) and they have capital to create what they have stated in their whitepaper.
I am unbiased towards having them or not, If it matches the criteria above and i am able to make commission on a solid concept (which in turns increases the value of the tokens i have invested in) what is so bad about that? or maybe i want to share a great ICO with friends?
But i agree it does depend on the strategy and how it is used. Picking on people who have little knowledge of ICO's isn't the moral thing to do.
- Strong team - Both in development team and also the CEO's / marketing (People focus too much on the developers which is important but not everything. no point having a great team to create something, if nobody can advertise it and push the startup in the right direction.)
- Realistic vision - not aiming too high or if they do not reach their target everyone who invested will be disappointed
- Solid whitepaper - Well thought out, shows realistic goals, a strong good vision and a plan of action
- Strong social media presence - A social media that shows they are connected with everyone
- Good customer support - Shows they care, and they have invested time and money into making sure the average investor can ask questions
- Good website - A business who is willing to throw time and effort into a good website are less likely to be a scam
- finite supply - ICO's with no cap can be dangerous and can simply just damage their own coin by releasing more for more investment.
-Market they are getting involved with - Is this a new market? or a dying one? who controls the market?
At the end of the day ICO's are there to generate as many investments as possible, so that the currency grows in value (both great for the investors and the startup) and they have capital to create what they have stated in their whitepaper.
I am unbiased towards having them or not, If it matches the criteria above and i am able to make commission on a solid concept (which in turns increases the value of the tokens i have invested in) what is so bad about that? or maybe i want to share a great ICO with friends?
But i agree it does depend on the strategy and how it is used. Picking on people who have little knowledge of ICO's isn't the moral thing to do.
I personally don't like referral system. This is for me a serious red flag. Referrals is not really a clean strategy, well at least it generates something dirty actually. Networking and ponzi schemes are what come to my mind when this referral thing is taken on topic. ICOs in its form right now is much better off without referral systems.
ya. referral system is a bad marketing strategy. People try to spam their link everywhere I don't have anything against referrals in principle, but from some ICOs I have seen, such are more likely to be a scam. It incentivizes reviewers to write positively about the project. Therefor I suggest to be very critical about such ICOs and do a check on the team as well as looking for some completed work. If a project with a referral system can offer just a site + WP, something likely isn't right.
Generally the principle of referrals in ICO is to bring more investors, but in the same time it turns it more towards a scheme or pyramid operation. I been writing for quite some ICO project and being unbiased towards any parties should be the best for everyone
I personally don't like referral system. This is for me a serious red flag. Referrals is not really a clean strategy, well at least it generates something dirty actually. Networking and ponzi schemes are what come to my mind when this referral thing is taken on topic. ICOs in its form right now is much better off without referral systems.
I don't have anything against referrals in principle, but from some ICOs I have seen, such are more likely to be a scam. It incentivizes reviewers to write positively about the project. Therefor I suggest to be very critical about such ICOs and do a check on the team as well as looking for some completed work. If a project with a referral system can offer just a site + WP, something likely isn't right.
I have registered in about 10-12 ICQs with referral (affiliate) programs. Let's wait a little and I will write here the results. To the current moment only two from all of them have disappeared completely, others are still actively promoting projects.
An ICO should be able to stand on its own merits instead of relying on reviews. Ox Fina had articles written about it and the devs disappeared after the ICO ended, or at least they stopped responding to all emails and social media the day after their ICO ended.
I don't have anything against referrals in principle, but from some ICOs I have seen, such are more likely to be a scam. It incentivizes reviewers to write positively about the project. Therefor I suggest to be very critical about such ICOs and do a check on the team as well as looking for some completed work. If a project with a referral system can offer just a site + WP, something likely isn't right.
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