ICOs are very good mechanism to raise funds in crypto but many has turn it to something else by defrauding people of their hard earn money , this has nade many labeling crypto as scam and that has give government little power by trying to regulate the ico and if the government should intervene the the crypto world might have issues because it is called decentralized not centralized , ICOs really help in building ideas of many that has no funds to initiate it.
Yes that is a good way of collecting fund for developing and running a project, but some people are using this mechanism only for collecting money for their own interest and then they escape and run taking away the collected money. So it is too much important to do study about the project before investing money there.
Topic: Initial Coin Offering and its advantages (Read 126 times)
ICO (Initial Coin Offer) is the term used to define a process of raising funding for some particular project. Only instead of traditional shares, the participants get coins for their contribution — certain electronic tokens (blockchain entries), confirming the investor’s stake in the project and consequently the investor’s share in the profit from the project. In other words, A-coins are issued for Project A, B-coins are issued for Project B, and so on. Coins, have value only within the scope of a certain project. So, coins for Project A do not affect coins for Project B.
Well done, very interesting. Continue in the same spirit and you will succeed, develop, advance. You are expecting big profits. 
How tired these scammers are when they already stop doing it. If there is a global something, then we can lose a lot of coins. This is very bad.
How tired these scammers are when they already stop doing it. If there is a global something, then we can lose a lot of coins. This is very bad.
ICOs are very good mechanism to raise funds in crypto but many has turn it to something else by defrauding people of their hard earn money , this has nade many labeling crypto as scam and that has give government little power by trying to regulate the ico and if the government should intervene the the crypto world might have issues because it is called decentralized not centralized , ICOs really help in building ideas of many that has no funds to initiate it.
The benefit of ICO, what i like to explain in two way as two different group meet to create one new project success. One group is ICO creator which may be a community or group another one is ICO investor.
Benefit of ICO for ICO creator:
Initial Coin Offering or ICO is a great mean to raise fund so quickly, some ICO even reached to hardcap with in one day. So it opens a huge fund towards the startup business. These fund can fulfill one’s dream project and help a new innovation.
Benefit of ICO for ICO Investor:
Since ICOs are in promising state and not many people like to invest on a startup business, ICO sale going on with huge bonus offer and also price is cheap at the time of ICO (exception is also there). People are always search for new crypto currency that will give them more return than bitcoin or ethereum holding. Their hope may success or not but a successful project may give you huge profit. I like to share one experience which is with Cappasity token, the price of cappasity token from ICO(since two month) to now it is 10 times more. So who are holding Cappasity on ICO period they are getting 10 times increase of there bitcoin holdings. But not all project will be successful, many companies are creating ICO and implementing blockchain but not all are profitable, do full research before investing in any ICO. You can follow coinkhoj - initial coin offering list to find one best ICO to invest.
Benefit of ICO for ICO creator:
Initial Coin Offering or ICO is a great mean to raise fund so quickly, some ICO even reached to hardcap with in one day. So it opens a huge fund towards the startup business. These fund can fulfill one’s dream project and help a new innovation.
Benefit of ICO for ICO Investor:
Since ICOs are in promising state and not many people like to invest on a startup business, ICO sale going on with huge bonus offer and also price is cheap at the time of ICO (exception is also there). People are always search for new crypto currency that will give them more return than bitcoin or ethereum holding. Their hope may success or not but a successful project may give you huge profit. I like to share one experience which is with Cappasity token, the price of cappasity token from ICO(since two month) to now it is 10 times more. So who are holding Cappasity on ICO period they are getting 10 times increase of there bitcoin holdings. But not all project will be successful, many companies are creating ICO and implementing blockchain but not all are profitable, do full research before investing in any ICO. You can follow coinkhoj - initial coin offering list to find one best ICO to invest.
Move this thread on Altcoin Discussion.
This section is only for Bitcoin related topics.
This section is only for Bitcoin related topics.
ICOs have a lot of advantages when it comes to investing in them. You can have a quick turnover with them. On the condition that the project is a credible one.
ICOs are fundraising mechanism where in new projects sell their underlying tokens in exchange for bitcoin or ether. We all are familiar with the term Initial Public Offering (IPO), wherein companies shares are purchased by investors. And ICOs are kind off similar to IPOs. Within the [Suspicious link removed]munity even though ICOs were a new thing, within no time it became a dominant topic to discuss. A huge number of people look at ICOs as a project that is unregulated or not controlled which allows the founders to raise unjustified amount of capital. Others view it as an innovation in the traditional venture-funding model. Recently, the U.S. Securities and Exchange Commission (SEC) has reached a decision regarding the status of tokens issued in the infamous DAO ICO which has forced many projects and investors to re-examine the funding models of many ICOs. The passing or not passing the Howey Test by the token is the main criteria that is considered. If the token passes the test and is considered as a security then it is subjected to certain restrictions imposed by the SEC. The structuring of the ICO is an easy job as the technologies like the ERC20 Token Standard exist. the ERC20 Token Standard abstracts a lot of the development process necessary to create a new cryptographic asset. Mostly investors send funds in the form of bitcoin or ether to a smart contract that stores the funds and distributes an equivalent value in the new token at a later point in time, this is how ICOs usually work.
When a token is classified as a security there can be a few restrictions imposed. The capital raised in ICOs can be astronomical, as investors from all around the world are investing. The fact that most of the ICOs raise funds pre-product and this a fundamental issue with ICOs. This makes the investments very risky. On the contrary, this style of raising funds is useful and somewhat necessary in order to incentivize protocol development.
Some of the merits of ICOs are as foolows:
1. ICO’s (for now) have little regulatory oversight.
As we read before, currently ICOs are unregulated. There is no central authority controlling it. The founder can raise millions of fund without any central authority restricting them.
2. ICO’s are short in duration
ICOs are short duration as compared to IPOs, which are of much longer duration. It is comparitively better as you don’t have to wait for long period of time.
3. ICO’s are open to anyone.
Another great advantage of ICO is that they are open to anyone and everyone. As compared to IPOs which are exclusive in nature. Because ICOs are open to everyone, it helps to raise funds for a project from different parts of the world.
4. ICO’s promote adoption of the company and its associated services/platform.
Promoting the adoption of the company and the platform or services associated is done by ICOs. Unlike IPOs that only aim to collect dividend. Promoting the company and the platform helps to gain more investors.
Visit at https://www.digixhub.com to know more and get a blockchain network developed along with secure smart contracts.
When a token is classified as a security there can be a few restrictions imposed. The capital raised in ICOs can be astronomical, as investors from all around the world are investing. The fact that most of the ICOs raise funds pre-product and this a fundamental issue with ICOs. This makes the investments very risky. On the contrary, this style of raising funds is useful and somewhat necessary in order to incentivize protocol development.
Some of the merits of ICOs are as foolows:
1. ICO’s (for now) have little regulatory oversight.
As we read before, currently ICOs are unregulated. There is no central authority controlling it. The founder can raise millions of fund without any central authority restricting them.
2. ICO’s are short in duration
ICOs are short duration as compared to IPOs, which are of much longer duration. It is comparitively better as you don’t have to wait for long period of time.
3. ICO’s are open to anyone.
Another great advantage of ICO is that they are open to anyone and everyone. As compared to IPOs which are exclusive in nature. Because ICOs are open to everyone, it helps to raise funds for a project from different parts of the world.
4. ICO’s promote adoption of the company and its associated services/platform.
Promoting the adoption of the company and the platform or services associated is done by ICOs. Unlike IPOs that only aim to collect dividend. Promoting the company and the platform helps to gain more investors.
Visit at https://www.digixhub.com to know more and get a blockchain network developed along with secure smart contracts.
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