Topic: Understanding (Read 152 times)
Thanks for your helps guys. Much appreciated. Gonna keep digging so to speak.
On top of the whole struggle with new ideas/principal/use case, a good portion of ICOs do not try to completely reinvent the wheel. For example any ERC-20 token piggy backs on the ethereum network. This way they have a stable base and have one less thing they need to sell the public on (a stable blockchain network that has value). All these tokens will just be minted and not mined, as they just need gas to interact with any future smart contract. My understanding is that Eth was minted and did not have mining as such but there were fees from the start in the form of gas.
They program all that stuff in the coding. Research online how to create a cryptocurrency. Following a set of directions online its fairly easy to make a coin, but it will fail im telling you now. The rare ICO that does not fail usually has new technology and principles behind it along with a known team of people or company. Even with all that stuff they still have a high failure rate.
Hi guys,
New to the Crypto scene and was after some information if possible.
Done a fair amount of reading up on crypto but what I'm still struggling with is how it works with ICO's.
So as an example, lets say I created the Denver Coin.
I planned on having 1 billion coins. But I wouldnt want to Instamine as that seems to be a bad idea. How do they PRE mine? Do they just create say 100 millions coins for the ICO first? Raise the money then put the coin on an exchange to make the coin minable? How do you make a coin minable?
I'm sure these are dumb questions but I cant get my head around it.
Cheers in advnace for any help.
D
New to the Crypto scene and was after some information if possible.
Done a fair amount of reading up on crypto but what I'm still struggling with is how it works with ICO's.
So as an example, lets say I created the Denver Coin.
I planned on having 1 billion coins. But I wouldnt want to Instamine as that seems to be a bad idea. How do they PRE mine? Do they just create say 100 millions coins for the ICO first? Raise the money then put the coin on an exchange to make the coin minable? How do you make a coin minable?
I'm sure these are dumb questions but I cant get my head around it.
Cheers in advnace for any help.
D
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