An ICO ‘Initial Coin Offering’ is a movement that usually takes place prior to the launch of a cryptocurrency blockchain and involves the public sale of a certain percentage of the coin’s initial supply in order to raise funds for DEVELOPMENT.
An alternative name for this is an ‘Initial Token Offering’ or ‘ITO’.
ICOs are meant to raise funds for development of projects, they’re also often called crowdsales ICO which makes it just like an initial public offering. You see in the real life when a company’s shares are first listed on the stock market. People tends to buy it at a discounted price. For instance Coca-Cola is a company, at some point Coca-Cola sold it’s shares at a pre-sale price, Apple did the same, Unilever and all other big companies you see out there did IPO ( Initial public offering)
Whoever participate in this movement tends to buy the shares of this companies so cheap Now imagine someone who bought a 50$ shares in Coca-Cola few years ago when they started Or apple They’d be rich by now. That’s the idea behind ICO Now let’s relate this to the cryptocurrency world.
Now, this ICO phenomenon has started to play a significant role in the crypto-startup world. Lately, more and more experts are looking to decentralized crowd-funding method. There aren’t any physical presence as all ICO starts-up are virtual companies and at such , SCAM ICO are quite easy to come by also accompanied with the fact that ICO in the crypto world have no legal guidance or layout procedure, thereby making it unregulated and open to scam.
But with right guidance you should be able to identify good ICO you can partake in and in-return make good money from. There are lots of successful ICO you can partake in. I prefer to term ICO as very lucrative and long term investment. Imagine you participated in an ICO with just $50 and when the coin hit exchanger you could sell for 1000% profit
Lets talk about Identifying a geniune ICO, This few tips should help
- One way to avoid scams is to know the team behind the ICO.
- The cryptosphere is full of information and knowing what you are venturing into is a big deal in spoting a good ICO
- Check through the white paper and road map to see what the coin as to offer before you invest into it.
- If a developer seem to be hiding his identity, then you stop and giev it a second though as to whether to invest on an anomolyous program or not.
- Follow up their project on almost all social platforms like telegram, reddit, medium, stack and bitcoin forums.
Also follow up ICO alert about upcoming and ongoing ICOs through the following website