ICO Investment, Initial Coin Offering Will Replace IPO

in #cryptocurrency6 years ago

Initial Coin Offering (ICO) is an initial coin offering as a Crowdfunding tool used to create cryptocurrency capital.

This source of capital is very influential for startup companies who want to start making coins. In ICO, some crypto has been allocated to investors in the form of tokens in return for the tender.

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This token then becomes a functional currency unit if ICO investment targets are met and the project rollout succeeds. Almost the same as the IPO (Initial Public Offering) which is registered to the stock and sells the percentage of share ownership to the public.

This is intended to get funds for business continuity. So also ICO, fundraising is done to make new coins can take place. ICOs may be outside existing regulations, or may need to be regulated and dependent on the nature of the project. It could be that ICO investment is strictly prohibited in some jurisdictions, such as China and South Korea.

ICO Investment, Initian Coin Offering ICO can be used for various activities such as corporate finance, to charity fundraising. In fact it is not impossible ICO used as a scam or scam that is also rife in cyberspace. The US Securities and Exchange Commission (SEC) has warned investors to be cautious of scammers / scams who use ICO.

Usually they use the Pump and Dump scheme as a way to generate interest and increase the value of the coin. Not long after, this coin disappears and is considered unprofitable. But the SEC has also acknowledged that true ICO can be an investment opportunity and legitimate.

Crypto is basically developed on a distributed ledger technology that allows one to transact. Can be used to buy or transfer ownership of crypto / token to others without the need for an intermediary. Cryptocurrencies can be transferred easily without knowing limits and jurisdictions.

This makes it difficult for the government to control, monitor ownership, and the movement of ownership of crypto. There are two main types of crypts, which are token utilities and asset-backed tokens.

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The utility tokens have value because the holder can exchange tokens for future goods or services, such as Bitcoin. Asset-backed tokens have a value, because there is a fundamental asset that the token holder has.

According to some practitioners, the future of ICO investment may at any time replace the IPO. Blockchain technology seems to have started to develop and enter the international market. There are currently several companies that choose ICO and are expected to grow steadily.

Some advantages in ICO and blockchain creation plans will make a company grow and serve online transactions with ease.

ICO is a proof of ownership of a number of Digital Tokens that can be redeemed with a crypto currency asset. This token is a cryptocurrency asset that was first produced and distributed to the public.

ICO buyers can directly contact or direct interaction with the developer in the purchase of tokens. So it can reduce the cost without any broker or brokerage agent.

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Slowly, conventional systems will be displaced by a blockchain system that carries transparency of transactions and data privacy.

Where can I buy ICO investment value with high potential?

We recommend that you first learn the paper offered by the developer. You can find ICO listings in exchangers like HitsBTC with a relatively cheap price.

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