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Cryptocurrency Products

An ICO is a recently emerged concept of crowdfunding projects in the cryptocurrency and Blockchain industries.

ICO stands for Initial Coin Offering. It’s an event, sometimes referred to as ‘crowdsale’, when a company releases its own cryptocurrency with a purpose of funding. It usually releases a certain number of crypto-tokens and then sells those tokens to its intended audience, most commonly in exchange for Bitcoins, but it can be fiat money as well.

As a result, the company gets the capital to fund the product development and the audience members get their crypto tokens’ shares. Plus, they have complete ownership of these shares.

We are here to help you understand and develop your own cryptocurrency coin or token. Blockchain Global can offer ICO consulting on several areas:

  • Whitepaper construct
  • Technical blockchain application development
  • Crowd sale process and realisation
  • Pre and after ICO& project marketing
  • PR and social media marketing
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We are here to help you understand and develop your own cryptocurrency coin or token.

HOW ICOS WORK

All ICOs begin with an idea. A startup comes up with an idea for a blockchain related project and proposes it to the community.

If the startup finds traction, they go ahead and formally draft a white paper that provides all the details — from the team working behind the project to its technical aspects and future plans.

Other particulars are decided then, including the number of tokens that will be distributed, the price of each token and how the tokens will be used in the project’s ecosystem.

Marketing campaigns are launched after this to gain momentum and an ICO date is unveiled when the token sale is scheduled to begin. There is usually a defined time period to raise the required funds, after which the sale closes.

Investors then start receiving their tokens and plans are made for them to go live on exchanges for trading.

Obviously, this is a simplified summary and a lot of work goes behind the scenes, but the end result is a pool of early investors getting tokens from a promising startup with hopes of future profits.

ICOS BY CATEGORY 2018

Underneath an overview of the top 15 ICO categories published in 2018.

  • Infrastructure ($4,875,317,069)
  • Finance ($2,192,492,694)
  • Communications ($2,058,181,399)
  • Trading & Investing ($1,458,675,808
  • Payments ($776,197,135)
  • Governance ($767,300,000)
  • Gaming & VR ($654,716,908)
  • Events & Entertainment ($648,854,175)
  • Commerce & Advertising ($592,822,394)
  • Privacy & Security ($447,664,538)
  • Marketplace ($392,968,083)
  • Supply & Logistics ($365,192,593)
  • Machine Learning & AI ($336,431,728)
  • Energy & Utilities ($309,661,843)
  • Social Network ($303,212,500)

DIFFERENCES BETWEEN IPOS & ICOS

The main differences between the two are that:

  • Possible to raise more money with ICOs than you would through venture capitalists or capital markets.
  • Most of the projects behind ICOs have not a real product in completion or in some cases only a whitepaper
  • A company’s shares, released during an IPO, always denote a share of ownership in the respective company. This is not, by default, a case with crypto-tokens that are sold to the public in an ICO. Most of the tokens or coins are used as units of currency that you can send to other users and exchange for other currencies.
  • IPO’s are heavily regulated by the government. This requires a partaking company to prepare large amounts of paperwork before releasing its shares. It also implies severe consequences in the case of non-compliance. Conversely, cryptocurrency crowdfunding is a new scene, largely untouched by government regulation. That means that any project can launch an ICO at any time with little preparation and any person can take part in it and contribute their money, no matter what country they are from. This liberal environment carries both new opportunities and risks when compared to the more conservative IPO’s.

Published ICOs

The following graph shows the number of ICOs published in the first five months of 2018.