Vitalik Buterin is upgrading ICO, using smartcontracts.
Vitalik Buterin, creator of Ethereum, is making a second revolution in this market. Ethereum is a smart contract currency, as most of you already know. One of the most important feature of Ethereum is the fact that users can create their own currencies, called ERC20 tokens.
Here come the interesting part. In order to raise funds, currency founders used a model called ICO, standing for Initial Coin Offering. This model was used and abused to create a large part of the actual cryptocurrency market. To sum up, ICO is a model that empowers the founders as soon as the ICO process is over, over every decision, and more important, over fund management. The new model proposed by Vitalik offers the ability to token holders to vote over important decisions. First, they get to vote over fund release, to increase or decrease the amount of funds received by founder every day, week, month... The second feature is the most important. If contributors feels like founders are not meeting their expectations, or trying to fly with the capital, they can call for a vote and get a refund with the remaining funds in the smartcontract.
This new model is called DAICO (Decentralized Autonomous Initial Coin Offering), and i strongly believe that it will soon become the new norm to replace ICOs, where a lot of investors have already lost funds over bad management, or even worst, scam artists.
For a detailed explanation, please refer to this article:
krypt0man