What is Initial Coin Offering (ICO)
Initial Coin Offering (ICO) is A way that funds are raised for a new Cryptocurrency project. [ICO] are similar to Initial Public Offerings (IPOs) of stocks. in other word Initial Coin offering [ICO] occur when a Cryptocurrency Company seeking to raise funds [ Money] to develop or create a new coin, service.
How Initial Coin Offering [ICO] Works
Initial coin offering [ICO]works like crowdfunding through the creation, beginning typically by the cryptocurrency company or startup publishing white paper to explain the idea or purpose of raising the funds, Initial coin offering is the process that occur when Cryptocurrency or any company trying to raise money for supporting a new project and rewarding investor with tokens for their support or fiat [money], the process of offering can be structured in different Event, the cryptocurrency company after receiving the funds, can used it for launching a new service.
What is the Difference between ICO an IPO?
The difference between Initial offering [ICO] and Initial Public Offering [IPO] is that when the company or start up raise money on Initial Public Offering [ IPO], the Investor receive a share, while Initial Coin Offering [ICO]operate by giving token to investor.
How to participate in Initial Coin Offering
In order for Cryptocurrency Investor to participate trough Initial coin Offering [ICO], first of all he or [she] will need digital assets, cryptocurrency, like Bitcoin or Ethereum, because no fiat currency is accepted.
What are the Pros and Cons of Participating initial Coin Offering
Pros of Initial Coin Offering [ICO]
- less Paperwork for the investor
- ability for Investor to quickly bought or sell the Asset
- High return of investment, big profit for investor
Cons of Initial Coin Offering [ICO]
- Potential Fraud or Scam for Investing
- Volatility of the Project
- risk for investor to lose all fiat money invest
How to buy Coin [token] first during Initial Coin Offering
The process of buy token or coin During initial coin offering are very simple by doing these step bellow;
- investors need to register trough the Initial Coin Offering Website
- investor must buy bitcoin or Ethereum, depending on project smart contract
- investors got move their digital asset to a wallet
- investor can swap [buy] the Initial Coin Offering
to be clear, for investor to participate in an Initial Coin Offering [ICO], he or [she] will have to send their digital asset to initial coin offering company the process call swap or buy and in return, investors get reward with company tokens.
what are the Best Initial Coin Offering Platform for Investors
in order for Cryptocurrency investors to buys Initial Coin Offering, he or she, will need a platform for facilitate the trade of fiat currency to digital asset below are the list of couple trusted platform, but always do your own research before fomo in.
- Kucoin launchpad
- binance Launchpad
- huobi Prime
- Gate.io startup
- kick.io
How do I Find Initial Coin Offering Project
best way to find a new project or Initial Coin Offering by checking social media or go to coinmarketcap for more information, most of the initial coin offering are available in a Presale before it gets listed to exchange after the funds are raise.
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