Crypto Academy Season2 Week1 Homework Post For Professor @Imagen by @Nikoyana
ICO is actually a way to create newcoin,it is a funding inwhich funds are being raised to stabilize or fund a particular coin.
Here tokens of the coin are being issued to investors in exchange for a more stabilized coin this is done with the hope of attracting many investors because the investors hope the price of the coin will increase for more profit to be made and the coin will be competitive in the market.
Furthermore with these process the currency are being publicly made known and at the same time capital is being raised to fund the coin.
Most atimes in ico the investors buy the coin before they become available in the market since it involves transaction between the launching coin company(ico) and investors.
In ico not all information of the projects are disclosed.
1.In ico you create your white paper which serves as manual or documentary about your coin then launch the coin and start selling no supervision but
in ieo the crypto exchange platform will examine the credibility of the coin about to be launched before it will be hosted.
2.Ico does not involve third-party only between the investor and launching company
but
ieo involves investors,launching company and third parties such as
binance,OKEx,poloniex etc.
3.In ieo only members of the exchange platform inwhich the coin is hosted can participate in investing but in ico everybody can participate in investing.
4.In ieo the launching company has to pay some fees to the exchange platform.but in ico launching companies does not pay any fees.
5.In ieo all information about the project is disclosed but in ico not all information about the project is disclosed which brings about scamming.
1.Decentralisation: transactions are purely between investors and launching companies with no third party involved.
2.No fees are being paid by ico companies when launching thier coin.
1.There is no trust because there is no supervision or checkmating organ.
2.Less faster because is not performing on any popular exchange such as binance which has more users.
3.Ico more work has to be done to attract investors because they are anonymous.
Ethereum projection is to increase transactions to tens of thousands transactions per second in order to keep the blockchain growing thereby processing new transactions.
Ethereum brings a blockchain that can perform any computation as part of transaction,that is bringing all the computations to the blockchain.
Smart contracts scripts of ethereum can run any computation.
Ethereum motive is to ensure a blockchain with a built in fully fledged turing complete programming language that can be used to innovate contracts that can be used to encode arbitrary state transition roles.
Ethereum is the second largest crypto currency by market capitalization with these it will serve as information of interest to investors.