Crypto Academy Season 2 Week 1 homeWork Post For Prof @imagen - ICO (Initial Coin Offering) @ chinto1

Hello Everyone,

My regards to everyone on this community, im glad to present my first crypto academy home work for this week.

##What is an ICO?

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In cryptocurrency, ICOs simple stand for initial coin offering. ICOs are popular in the blockchain which is mainly made for raising funds for startups of business in order to carter for their products and services in the blockchain and cryptocurrency world. ICOs, just like stock, however ICOs have utility for software products offered. Initial participants in ICOs need to purchase a digital currency for basic understanding and how to use cryptocurrency wallets for exchange of services and products. There are two types of initial coin offerings[ICO] which are; private initial coin offering and the public initial coin offering. I will like to also throw more light on the different types of ICOs mentioned. For the private initial coin offering, only investors with credibility are allow to participate in this type of ICOs. While in the public initial coin offering, every individual is allowed participation irrespective of their credibility.

##Differences between ICOs and IEOs

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*ICOs and IEOs in the blockchain are both similar cryptocurrency. But still got some slight differences which i will like to talk about. I will like to contrast their differences in this form; *

- Their third party or middleman in their business process.
- Transparency between the two.
**- Either centralized or decentralized.
**

• to begin IEOs, in the use of IEO there’s always involve an intermediary partner called the middleman in the exchange of the tokens. IEOs does not offer direct tokens to the investor. But in ICOs there is nothing like third party or a middleman. They offer token directly to the investor.

• to throw more to the point listed above, IEOs ensure transparency between the company and the investor. Because, they make cryptocurrency exchange complete in simple process. They show the investor the details of the projects and verify the identities to the investor before business. But, in ICOs they lack transparency in the process. In ICOs token issuers are not allowed to disclose the company information. They launch a website and publish a whitepaper, so through this platforms and websites they sell tokens to the people.

• IEOS count more on centralization of crypto exchanges in the process. They sell the tokens on their platforms and websites. These means that the more people use the platform, the more customer’s sales they get than others. As they raise more fund through this sales than others. Beside, people turn to believe exchange companies with high reputation. They become more popular and get more users. On the other hand, ICOs also, are the decentralized system types in the cryptocurrency exchange this simple because, in ICOs, no third party or a middleman is hosted.

##Advantages of ICOs

Let’s try to look some merits of ICOs that cannot overlooked when it comes to blockchain and cryptocurrency.

• ICOs grant easy access to their tokens, since no third party or middleman process will be involved.

• It is decentralized system, so it is not controlled by any government agency; ICOs is controlled or regulated by any government organization so the government does not have the authority to interfere in its affairs.

• Also, there is no intermediator or middleman in the exchange of token process. This make its buying and selling of tokens easy and fast.

##Disadvantages of ICOs

*As I have made some time to talk about the merits of ICOs, I will like take the same chance to also talk about the demerits of ICOs in brief;

• Hackers or fraudsters finds it more easily to trap into the ICO system and either cause damage to it or steal from the company. This is so because of their weak security systems.

• In ICOs exchange of cryptocurrency, risk of loss is unpredictable. This is also as the result of their security decentralized system.

• This system has less reputation. So investors have a fear of fraud in the exchange process.

##ARK

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Is a decentralized global focus ICO. ARK is a secured ICO platform that deliver services and products, consumers and developers need. It is design with high technology to provide developers, users, startups with innovative blockchain technology. ARK has created an entire

ecosystem with virtual spider webs of endless use-cases. It is highly adoptable, flexible and scalable.

##History of ARK;

• ARK ICOs started the period of: 2016-11-07 00:00:00

• ARK ICOs ended at the period of: 2016-12-11 00:00:00

• ARK ICOs started trading on: 2017-03-22

• Currency accepted in the ARK ICOs: BTC, LSK, shapeshift.

• It started with an initial of 0.01USD.

It started with initial tokens of 0.04$ during ICO. At the highest level, one ARK token raise rapidly to nearly $11, but now trades at $2.59, at April 15, 2021. The digital cryptocurrency platform allows for quick integration into its own blockchain.
I’m glad to summit my first crypto academy assignment to our able crypto professor @imagen. for such putting together such an educative topic as our assignment for week.
Thanks for the opportunity.