Steemit Crypto Academy Season 2, week 1 Homework Task for @imagen
Hello steemians, I am very delighted to write my homework post for this week and also using this opportunity to say a very big thank you to prof @imagen for this wonderful lecture this week.
ICO
An initial coin offering (ICO) is as the same as an initial public offering in the cryptocurrency world. Also is simple terms the path to raise funds for projects. That’s in the cryptocurrency world, we call it the Initial Public Offering (IPO).
For instance, investors or buys can buy the offering and receive a new cryptocurrency token issued by the company.
In other words ICO are commonly way of raising fund mainly used by new businesses setting up a plan to offer good products and services that are crypto and blockchain related.
Difference between ICO and IEO
ICO
1.There is no presence of an intermediary
2.Does not disclose the information about the owners
3.There is less transparency
4.Provides funds for new cryptocurencies
IEO
1.Presence of intermediary(middle man)
2.It involves the disclose of the information about the owners
3.There is much transparency
4.Provides exchange
Advantages and disadvantages of ICOs
Advantages
1.Strong fund raising tool to cryptocurrency
2.Superiors in ICOs provides tokens according to terms of the ICO
- There are no shares of stock in a company but provides a blockchain
Disadvantages
1.Do not requires compliance with any framework and l
2.Chances of fraud cases
3.There are no rules in governing ICOs
IOTA
IOTA is a cryptocurrency which is an open-source distributed ledger and designed for internet things. In other words, it stores transactions on its ledger by using directed acyclic graph.
The directed acyclic graphs can be used as a ledger to track transactions without the blocks and chains. IOTA does not use miners to verified transactions, instead of users to issue new transactions.
It was created in 11 July 2016. In 2017, that is during the early times investors of this token gave out 5% of the total token supply for the continuation of the development. That was the IOTA foundation. This foundation was a board member of the international Association for Trusted Blockchain Applications (INATBA).
IOTA users have undergone bad days in January 2018, where about 10 million USD worth of the IOTA tokens. This was a largest fraud in the history of IOTA currencies.
CONCLUSION
In conclusion, I will like to thank the professor for his wonderful lecture this week and I really enjoy his lecture and also I have learn a lot from ICOs and what ICOs are all about. I hope my homework task will be accepted and review thank you!!!
Hello @tymes2
Thank you for participating in the Steemit Crypto Academy.
Gracias por tu esfuerzo, tienes que investigar más. Aprovecha esta oportunidad que brinda la academia para aprender más acerca de este increíble y amplío mundo de criptomonedas ¡Espero ver más dedicación en tu próxima tarea!