Explanation of ICO (initial coin Offering)

What is an ICO?

When you want to finance a blockchain or create a new crypto, we will call for a fundraiser.
Crowdsales are a cost-effective solution for companies to develop their projects.
Investors buy tokens at a low rate and hope when going out on the market make a big profit.

Is there a risk with ICO?

Yes, ICOs are risky fundraising, the investor has no guarantee of recovering his capital.
There are also a lot of scams, false fundraising.

Do not buy any more?

No, ICOs in some cases are a really interesting investment, but before you have to inquire.
Read the whitepaper (explanation of the project in detail).
Watch the team on the project
Wondering if the ICO you are interested in will bring some new things, or improve already existing projects.

Conclusion

ICOs are a very volatile but existing market because they can make you rich in a very short time.
A well-known example of successful ICO is Ethereum with a capitalization of more than 4 billion dollars.

Photo source: http://www.ethercours.com/