Initial Coin Offerings (ICO's)
What are Initial Coin Offerings (ICO's) ?
An initial coin offering (ICO) is a means of crowdfunding centered around cryptocurrency, which can be a source of capital for startup companies.
In an ICO, some quantity of the crowdfunded cryptocurrency is preallocated to investors in the form of "tokens," in exchange for legal tender or other cryptocurrencies such as Bitcoin or Ethereum. These tokens become functional units of currency if or when the ICO's funding goal is met and the project launches.
ICO stands for “Initial Coin Offering”. Some even call ICOs “Initial Public Coin Offerings” (aka IPCO). It’s the same.
Some of you might be thinking that this sounds similar to IPOs (aka Initial Public Offerings).
And yes, it’s true that IPOs and ICOs have some similarities, but not much. ICOs are a modern way of accumulating funds for kick-starting and developing of new blockchain-based ventures and start-ups.
Through ICOs, blockchain start-ups distribute a portion of their new cryptocurrencies (or crypto-tokens) to early concept enthusiasts in exchange for their investment. These funds collected through the ICO act like crowd-funded seed money for the start-ups to develop, market, and promote their proof-of-concept (POC) and/or product.
How To Participate In ICOs
If you want to get involved in an ICO, follow the steps below:
1. Stay Updated – The first and foremost thing in this space is being updated and agile. Join the Bitcoin talk forum ( https://bitcointalk.org/) or follow popular sites on cryptos and Decentralized Applications (DApps). Once you get to know about a new blockchain project, join their Slack or Telegram channel for specific ICO details. Also, follow them on Twitter and other social media sites.
2. Select a Wallet – Thoroughly read the ICO details and other technical requirements like which wallet should be used for the ICO. Most ICOs launched on Ethereum’s blockchain require you to use smart contract enabled wallets where you can vary your gas limit and gas price. You also need to check which currency they are accepting for the ICO (BTC, ETH, USD, etc.).
3. Top-up Your Wallet – Now, once you have identified a suitable wallet, top-up your wallet with the amount you wish to invest. If the ICO supported currency is BTC, then top-up your wallet at least one day before with enough mining fees, otherwise at the time of ICO, you will have nothing to invest. This might happen because BTC transactions take hours (sometimes days) to get confirmed because of the blockchain’s congestion. ETH top-up happens with seconds/minutes, but sometimes if an ICO is already going on Ethereum’s blockchain, then it can take up to 3 hours.
4. Time Factor – Different ICOs list different timings according to various time zones. Check your time zone and be on time. Some ICOs in the past have finished in less than a few minutes, so you have to be really quick and punctual.
There is no doubt that ICOs are an excellent way of generating initial seed funds for kick-starting a start-up from anywhere in the world. And it is also a modern way of raising venture capital as an alternative to traditional venture capitalization of projects.
ICOs are also a good way of finding and investing in the future tech infrastructure of the world. And I don’t see anything wrong in doing so, as you are contributing to the building of a product, and in return, you are getting your fair share of that project.
But as I said before, you need to be updated and agile if you want to do so.
And definitely, some ICOs or blockchain projects are here to stay for the long term because they are genuinely solving some of the key problems of the world.
Lastly, like the advent of the computer and the internet, this new crypto industry of ICOs has a bright future. It will definitely become more mature and secure with proper regulations (which are being discussed).
Conduct your Own research. Use Common Sense. Check Multiple Sources and Verify.
Click on These Sites to Find the Information on the Latest ICO's & Pre-ICO's
JSEcoin Cryptocurrency Platform
The JSEcoin platform was only launched publicly in August 2017 and we expect to list on exchanges in 2018, until that time there will not be any liquidity and you will not be able to sell coins you purchase pre-ICO.
Please take the time to read our Whitepaper and Terms before making an investment.
Pre-ICO funding will be used primarily for exchange listing fees and marketing.
Currently JSE coins are tied to the USD, but when JSEcoin is launched on public exchanges the price will be determined by the open market. The current market price is set at 1 USD = 1 JSE.