All you need to know about ICO. What is ICO? How to be prepare for the launch of your own coins.

ICO

ICO means the Initial Coin Offering and is a way to make crowdfunding with cryptocurrency. Start-ups use it to finance their business, but it is based on the fact that the start-up in time will grow. ICO is a way to provide a token digital coin. Although ICO is a very new strategy for fundraising, they already have a huge impact. In just over a year this type of business have grown over a billion of dollars, and they popularity continues to grow. Whether it's a normal ICO, an Initial Exchange Offer (IEO) or a Security Token Offering (STO), the launch steps are roughly the same.

For the most part, the success of a blockchain crypto project depends on observing complicated steps that require significant efforts. Those interested in launching a crypto project must take into account the fact that money, time and effort is needed. ICO generally provides a way for startups to avoid certain costs and regulations, as well as intermediaries such as banks, investment fund or stock exchanges, but presents an increased risk for investors. ICOs may fall outside the existing regulations, and depending on the nature of the project, they may even be banned in some countries such as China or South Korea.

Every Start-up who make ICO, generate money by creating and selling their own digital coin, called token.
This tokens are similar in appearance and features to famous digital coins such as Bitcoin and Ethereum. Those who raise funds at an ICO promise token holders access to an online service or an online application platform. Investors usually by new coins or tokens by sending Bitcoin or Ether sustaining the project.

ICO

ICOs typically take place on the Ethereum network, wich is the largest blockchain and the largest ICO platform. The software behind Ethereum and Bitcoin is open source, that means the source code is freely available for anyone to modify and create their own digital coin using the Ethereum Smart Contract.
Attention- ICO projects are currently the most regulated aspect of the crypto market and are in the attention of the authorities due to numerous fraudulent projects. Before you begin, determine how many tokens you will issue and how they will be distributed. Depending on this plan, choose the platform you will issue. Creating the token itself is a rlatively easy process, especially to Ethereum blockchain ( ERC20 ). Developing a blockchain is much more complicated and may require hiring a good specialist. Before you begin, you must create a whitepaper. The Whitepaper is a technical document that describes the whole project in all possible detail: market analysis, your vision of the project, development strategy, architecture and goals, informațion about the token and its distributions, legal issues, available resources, a descriprion of your team, and the list can continue. Another important aspect for the future of your project is it to create a presentation website. In your website project you must include team member biographies and in a FAQ section explain issue of interest to investors. Try to avoid countdowns or exaggerated statements that knock on your eyes. A good recommendation is to check the red flags lists of regulatory authorities that can characterize your project as a scam. You do not want the presentation site to include such aspects. Also make sure the site is resistant to attacks or intense traffic. There have been cases where ICO websites have been victims of attacks that have replaced wallet addresses and have caused losing funds.

Pay attention your project website must contain:

- your ICO description and possibly a video presentation
- your product description and eventual link to the prototype
- roadmap: what, when and how you will do
- partners, counselors, early investors and a registeation form
- photos, short biographies, links to social networks about your team members
- contact information and social project account link to the project
- links to articles and publications, video presentations and discussions
- documents, terms and conditions, whitepaper, legal issues

In online environment there are many ICO projects where you can invest. According to experts, the crypto market is still characterized by a huge volatility. Pay attention and think carefully before investing in a ICO project. It is usually not so easy to establish the viability of business and technology. Take care and never invest more money than you can't afford to lose.

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