Steemit Crypto Academy - Season II Week I by @imagen | ICO |
Introduction to ICOs
ICO week in this opportunity we will talk a little about what are the icos give a small example define what they are used for how to buy and demonstrate some advantages and disadvantages they have thanks to Professor @imagen for making such a beautiful conference very important to read it to understand more about the ico.
Explain in your own words what is an ICO.
They are before cryptocurrency projects that are based on fundraising for the development of digital projects are usually related to the blockchain or its own blockchain, to attract investors must generate an incentive which is the currency (token) that is distributed equally depending on the amount of money given by each investor before this is given all the information through a (WHITEPAPER) here describes all the development that will take in the course of the predetermined years for full development
if the investors like it, they give their contribution and in exchange they are given the equivalent in coins of the ICO, the following process always tends to be the enlistment in an Exchange for its launching, which would be the second stage.
These ICOs are accompanied by innovative ideas so many people or organizations will be attracted or not depending on their purpose and who are behind all these methods are only possible with the support of decentralized digital investors because with a centralized system could never reach that purpose.
Mention the differences between ICO and IEO
IEO VS ICO
The differences of an IEO is that they allow through an Exchange to sell the tokens but in turn regulate sales through a process called KYC for verification and validation of identity both entrepreneurs and individuals must do so to participate in the ICO that this has, also this Exchange is encangara to manage all the capital obtained through the ICO and is fully responsible for what happens with it, developers must pay a commission for their ICO can be sold on the Exchange.
In the ICO, the developers are responsible for what happens with the capital and have the duty to distribute the tokens to each investor does not participate any intermediary and these are responsible for listing the token in an Exchange to then be traded in the ICO no KYC verification process is needed.
What are the advantages and disadvantages of ICOs?
ICOs do not require KYC validation, anyone can contribute.
There is no intermediary involved in the process so it is much faster to go to market.
They usually work with blockchain technology which makes it much faster and more efficient.
Usually the icos are always sold undervalued and when they go to market they take their real price you can multiply by several X your capital.
ICOs are not regulated by any governmental body so if you are scammed no one can do anything.
as for their exit to the market they always tend to collapse as many are waiting for them to come out to see everything and multiply their capital.
Mention at least 1 ICO that is going to start, is in development or has been completed. Explain the project of the developer team and add information of interest.
IOTA is a cryptocurrency that works on the Tangle network (DLT) an original technology, unlike bitcoin this network allows scalable solutions but without giving up financial transactions like any other cryptocurrency always seeking to focus on its purpose the internet (iot).
this great idea came from David Sønstebø, Dominik Schiener, Sergey Ivancheglo, and Serguei Popov this idea seeks the solution of blackchain errors on April 3, 2016 was shown the Whitepaper presenting tangle the Iota network currently
being in its ICO phase many investors bought tokens to raise 500 thousand US dollars the developers immediately distributed the tokens to the investors who supported the initial project.
what are the benefits of IOTA for users and digital cryptocurrencies?
IOTA's goal is to create an acceptable scalability that allows users to connect devices to a p2p network in order to make the step to decentralized interconnection. what IOTA wants is to create this system so that the whole process is fast, secure and without intermediaries.
IOTA currently trades at $ 1.94 per token its peak has reached over $ 5 per token in 2018 being ranked # 27 currently with a marketcap of $ 5.4 billion. currently.
Check out IOTA https://www.coingecko.com/coins/iota
Twitter - https://twitter.com/iota?s=11
ICOs will always be present in new projects that will be in the future great tokens like the one we saw before IOTA, and others that will be scams or will be forgotten and buried in the past. that said I want to thank the professor @imagen for such a valuable topic I learned a lot especially with IOTA network that I had no idea it was Tangle (DLT) an original IOTA network.
Just could warn that investing in an ICO can make you Rich if you are prudent enough and like to research the project from the root but beware not all that glitters is GOLD.