Existing companies run ICO just to raise fund.
They can use the raised funds for the further improvement of their project and extensive marketing. Buy every established company won't do like this exactly there is also some probability that will feed for their pockets in the name of ICO. We must be very careful when selecting ICOs for investing else we are making them to retire early. 
Topic: Why Do Existing Companies run ICO? (Read 1837 times)
Existing companies run ICO just to raise fund.
Becuase t is more or less a free money, they have no obligation to their token holders, the way it is being designed is like a token you need to access their platform, I believe we will see more of these incoming year
This is the new way to raise their funds than the traditional IPO's. Using icos for existing companies is a big help in cryptocurrency since they give more opportunity to those who started crypto.
ICO are the way through which you can promote your project and also earn a very big amount of money.People will take interest only in your ICO if you have clear justification and you have a real and interested idea in your ICO so that it attract people to yourself otherwise people are very fast and they will never invest in your ICO.
Most companies are trying to running their ICO because it’s a tax free and cheap that’s why china has banned ICO in their country.
That's a very good question you have asked. There are only two possible answers I think of for the given question.
1. The companies want to make money form the ICOs and that's why they want to introduce a new coin in order for the people to invest in it.
2. The companies want to create a name for themselves and introducing a new coin on their name is the only thing they could do as investing in an existing coin won't give them fame.
1. The companies want to make money form the ICOs and that's why they want to introduce a new coin in order for the people to invest in it.
2. The companies want to create a name for themselves and introducing a new coin on their name is the only thing they could do as investing in an existing coin won't give them fame.
ICO has been found as the most easiest and profitable way to raise huge funds from the public in a small duration of time,say even two or three months.They could independently do this without waiting for any one's approval.That's why lots of reputable companies are running ICO nowadays.
After raising the funds successfully,they just release their coins in to the market.
But,its also nowadays used by many scam companies.That's why,china and south africa have now started to ban ICOs totally.
After raising the funds successfully,they just release their coins in to the market.
But,its also nowadays used by many scam companies.That's why,china and south africa have now started to ban ICOs totally.
Existing companies are running ico for fund raising its similar to normal crowdfunding where people where getting contracts in a form digital or paper. Even angel investors investing on the good project and idea. Now most of the companies running crowdfunding because easy to attract investors in the community like bitcointalk even easy promotion more over that the contracts given by company in the form of crypto tokens where high transperancy and trustability.most of the companies running Ico based on erc20 tokens which is highly acceptable in the community . Some waves and some in nem. In nem platform I have seen dimcoin was only the successfull project.
Earn more investment
and trial for their business model.
I think this is the sand box for the company.
and trial for their business model.
I think this is the sand box for the company.
It's fast, profitable and makes for good PR to do an ICO if you're a well established company.
Maybe us in the crypto world see ICO's differently but for someone who's not familiar with what goes around on a daily (or hourly) basis and just heard about how this and that ICO raised hundreds on millions of $ in hours, the prospect of a well established company to announce an ICO, is quite interesting I'd imagine.
Maybe us in the crypto world see ICO's differently but for someone who's not familiar with what goes around on a daily (or hourly) basis and just heard about how this and that ICO raised hundreds on millions of $ in hours, the prospect of a well established company to announce an ICO, is quite interesting I'd imagine.
There are things that have no meaning in the token situation. Why is it a bit coin? There is also one. If the issued token clearly does not play any role, it will be worthless. I would like to do my best to make it a valuable token.
It may be for the company if he uses ICO in his company to get the offer of help from the developers so that he can speed up the fundraising that will be used for the project he is currently developing so that the company's project will run smoothly without funding shortfalls.
Some existing companies are beginning to launch their own ICOs because they are able to retain a portion of the new coins and utilize them at a later stage for payments or other corporate needs as they build their ecosystem. This is fair as they bet their existing brand name and reputation on the coin success. I expect that this new trend will pick up steam in the future.
I don't think I'm gonna say something that hasn't been already mentioned here but yes - the major advantage of the ICO right now is the fact that in most countries it's not regulated at all, and yes again - it's the easiest way to make money on the initial stages of a project. It's going to stay like this for a while, not for long though, I'm afraid, so anybody who's smart enough to start up something in this growing market, be it an already existing company or an absolutely new one, they really don't have any better option.
Lately, we have seen a mass inflow of startups into the cryptocurrency world, running ICOs as a way of generating capital. However, I have also noticed that some existing companies are beginning to launch their own ICOs.
My question is, why do these companies run ICO? Is there any need for it actually? Why don't they use bitcoin if they want to enter the cryptocurrency world?
My question is, why do these companies run ICO? Is there any need for it actually? Why don't they use bitcoin if they want to enter the cryptocurrency world?
This is obviously because it is very easy to try to rise funds with ICOS compared to getting listed in stock exchange, it takes at least 100 000$ just to get there. And I personally like this way of using ICOs.
On side note, is there some kind of webpage which is taking track of ICO s even those whihc has scammed people before?
Lately, we have seen a mass inflow of startups into the cryptocurrency world, running ICOs as a way of generating capital. However, I have also noticed that some existing companies are beginning to launch their own ICOs.
My question is, why do these companies run ICO? Is there any need for it actually? Why don't they use bitcoin if they want to enter the cryptocurrency world?
My question is, why do these companies run ICO? Is there any need for it actually? Why don't they use bitcoin if they want to enter the cryptocurrency world?
Its obviously to raise more funds for their company. Maybe they have come up with a new project and they need fundings and the best way to raised more funds is through ICO. Even gambling sites, who have a lot of funds also go to this route. So its normal and it doesn't impact the credibility of their company.
And currently, cryptocurrency is on the boom right now and people are going crazy on cryptos. So if you have a good roadmap and new unique ideas to add to your existing company, then ICO is the best way to get your project out on the public and generate investment on it.
Simply just because everyone and new companies are able to raise millions why don't we also try to get as many funds and will issue some shitty tokens whose price will easily go below ico price most of the time the only way to recover is hold ico for few months if the coin has no value forget it
Lately, we have seen a mass inflow of startups into the cryptocurrency world, running ICOs as a way of generating capital. However, I have also noticed that some existing companies are beginning to launch their own ICOs.
My question is, why do these companies run ICO? Is there any need for it actually? Why don't they use bitcoin if they want to enter the cryptocurrency world?
My question is, why do these companies run ICO? Is there any need for it actually? Why don't they use bitcoin if they want to enter the cryptocurrency world?
Actually ICOs are widely used for fundraising, and if the existing companies don't have sufficient funds to start and keep any project alive, ICOs become a helpful method in this case.
They enable companies to reach a global audience and acquire fundraising from individual investors who under general venture capital conditions would not have an opportunity to invest.
Lately, we have seen a mass inflow of startups into the cryptocurrency world, running ICOs as a way of generating capital. However, I have also noticed that some existing companies are beginning to launch their own ICOs.
My question is, why do these companies run ICO? Is there any need for it actually? Why don't they use bitcoin if they want to enter the cryptocurrency world?
My question is, why do these companies run ICO? Is there any need for it actually? Why don't they use bitcoin if they want to enter the cryptocurrency world?
Actually, ICOs are the latest method to raise funding for a business. To me, all these huge ICOs that are NOT existing companies or businesses have really no justification to launch million-dollar ICOs to collect so much money for such loose ideas on some whitepaper that may have takens days to write, with marketing stuff taking hours to write, and with an ANN post that someone else took 15 minutes to write.
REAL companies and REAL businesses have justification to launch, to raise more funds to expand and grow. They have a running operation and need more funds to move into the next level.
Then I suppose it is advisable for one to invest in existing companies rather than startups. Not that startups are not good, but its risky in the sense that what's the assurance that they will not run away with investors' money if the project didn't work out?
Actually they got bitcoin for their altcoins. But in some projects altcoins are not just currency, its like a fuel that users should use to operate on the particular platform
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