What's ICO ?

in #bitcoin6 years ago

ICO (Initial Coin Offerings) can be thought of as an alternative mass fund that emerged differently from the traditional financial system. This model has helped many successful projects and companies have the capital they need to get started. In 2013, when the mass fund reached $ 5.1 billion, this number increased to $ 16 billion in 2014 and to $ 34 billion in 2015.

ICO is the crypto money version of the mass fund, and apparently the crypto will continue to be used in the money world. It is one of the easiest and most effective ways of investing in projects that capitalize on the projects of companies and individuals and who think that ordinary users are valuable. ICOs are an activity that usually takes place for a week or more and can be bought from newly released tokens on the market for people's already known crypto money (Bitcoin, etc.).

There may be a certain limit or intent to support a project in ICOs, ie each token has a pre-designed fee and will not change during the ICO period. As a result of this, a constant number of tokens is supplied.

Fixed procurement can also be your dynamic investment objective, that is, the distribution of tokens depends on the investments received. This means: The more investment a project takes, the higher the token price.

Otherwise, you may have a dynamic token supply determined according to the number of investments received, ie the price of each token is fixed (eg 1 BTC = 1 token), but whenever a new BTC is sent, a new token is created. A limit can be set according to the targets.

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