Initial Coin Offering (ICO) users dugout guidelines

WHAT IS ICO?

ICO is an initial coin offering which is outlined as one of the safest and secure methods of earning money for new crypto-currencies. The initial coin offered is primarily a one or two weeks event where people around the world is granted the opportunity to sell their crypto tokens in exchange for some digital currency such as (Bitcoin, ETHEREUM, XRP and more). What is set down is that the investors transfer lot of stocks to a smart contract, which will order collects them and delivers something which is worth an equal value. ICO is a way to startup firms to raise enough capital that can be use to build up a startup for millions through crowdfunding focused around cryptocurrency.
An initial coin offering (ICO) is a kind of fund used to utilize cryptocurrencies. It also appear as a method which is often executed by crowdfunding but as for private ICO’s, they are becoming more popular every day by day.
In an ICO, a measure of cryptocurrency is traded in the form of some “tokens” to some stockholders or investors, in exchange for legal tender or other cryptocurrencies such as Bitcoin ,Ethereum or any digital money of choice. The tokens which are successfully exchanged are raised as planned practicalize units of currency when the ICO’s funding purpose is reached and the project is kicked off.

SHORT HISTORY

The first ICO was conducted by Mastercoin in the year 2013. In the year 2014, Ethereum raised $2.3 Million in the first 12 hours with a token sale. In 2016, 54 major ICOs raised almost $103 Million and this number is continuously increasing every day by day.

MARKET NEWS AND TRENDS

The legitimacy, price, volume and total market cap of cryptocurrencies depend on any country’s leading provider of banking systems. There are several factors such as approvals of various sections like SEC and what regulators think. Crypto market tends to react rapidly to any decisions regarding cryptocurrency regulation. Following image is displaying the impact of news and trends on ICOs.
ICO Market News and Trends
In the month of June 2018, Google had stopped cryptocurrency related ads but now it has lifted this ban. There are countries like South Korea, China, and India which have banned ICOs. Investors in the United States have been witnessing the regulators sending mixed signals, even though the Securities Exchange Commission (SEC) has been fairly quiet on cryptocurrency regulation, they have been rejecting countless ETF applications citing reasons of “market manipulation” and volatility. There are scams and hacks such as DADI ICO customers were targeted by hackers.source

BLOCKCHAIN PLATFORM MARKET-SHARE

ICO projects are mostly classified into a based on the blockchain technology where the project’s tokens are formed. The center is always on the token blockchain and not on the blockchain technology itself on which the project platform is run.

SIGNS THAT IT IS A GOOD ICO

• A whitepaper is always presented and its up for a accurate, good-structured and easy paper to learn.
• It has a good hype on the crypto communities and the ICO is tend to be scalable.
• It has an index showing the available supply and also a active presence on 90% of the social media platforms which is known around the global world.
• The token price and a list of exchanges present.
• Consist of an experienced developers in the team,who are capable or strengthen the defined product.
• The product should be able to answers a true problem that exists or will exist in the future.

SIGNS OF A BAD ICO

• It is mostly an unachievable goals and a huge and expensive market cap.
• It has an unclear descriptions and unstructured whitepaper.
• Any exchange is not looking to list the ICO’s tokens.
• It has an undefined and inexperienced team.
• Trust and transparency issue such as improper team token handling.

Looking at it a good ICOs are always open to public so that people can help shape the future of the cryptocurrency ecosystem.

Initial Coin Offering (ICO) is reasearched to be one of the most successful and quickest way for the blockchain-based projects to to raise funds, and it may definately be an attractive possibility for investors to obtain a considered project and to invest in most subsequent cryptocurrency at an initial token sales platforms, most of these are normally accompanied by mentioned high-grade deals and giveback rewards.

Note: The majority of ICO investors are enthusiasts and ICOs maybe not regulated.

ICO AND SCAMS

According to a study, more than 80 percent of initial coin offerings (ICOs) in 2017 were scams. Report also said that in 2013, the market was comprised of 14 cryptoassets that were largely similar to Bitcoin. Now, there are more than 1,500 cryptoassets with over half being tokens created on top of other networks.The total funding of tokens in 2017 was $11.9 billion out of which $1.3 billion of ICO funding went to scams. 1/10th of all ICO fundraising went to identified scams and the vast majority of the $1.2B was from just two projects, Pincoin ($660M) and Arisebank ($600M).source

ICO PREDICTIONS FOR 2018

Clearly 2017 was the artistic year, nevertheless, the year was not without some severe imperfections in the crypto market. Tezos, the popular uncapped ICO which raised over $200M when Bitcoin was $2,500 is now almost dead with lawsuits and disputes between founders, stockholders of the company, and plaintiff lawyers representing troubled investors. So what will 2018 look like?source

In the year 2018, the blockchain will start to interoperate.

• There will surely be public and private blockchains.
• The crypto market will continue to grow because of the trust and transparency that is been earned due to regulations and experienced investors.
• There will be investion of new platforms that will try to solve the scalability issue.
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