What is an ICO ''Initial Coin Offering"

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Avatar for Juniorvuc
4 years ago

To get into the ico concept we must first go back to the well-known stock exchange and the IPO.

The IPO ''initial public offering'' is the realization of the first sale of a company's stock exchanges. In this way, companies are able to generate funds through the public to carry out trade operations. Likewise, companies commit to taking shareholders' money and paying them dividends over time.

This is exactly what happens with ICOs. The ''Initial Coin Offers'' are initial coin offers or Tokens, a tool that allows any private company to collect funds by distributing a cryptocurrency.

The ICO aims to finance the birth of a new cryptocurrency, the creator of the Token aims to raise money, and shareholders or the public that participates economically in this seeking to profit, the closer the initial participants are in the greater ICO will be the benefits of taking off this cryptocurrency.

Participating in an ICO has its risks just like any investment in business activity since the success of the cryptocurrency is not ensured by risking that it is worth nothing or its value is very low, not counting that if it does not possess the adequate security all the money can be stolen.

However, the value of cryptocurrencies rises rapidly, and you have the advantage that there is no intervention from any external entities or banks, which allows financing very innovative companies directly, with the possibility of also growing your money monumentally if this Token succeeds.

The innovative ICO exists for those who bet everything and play in grade.
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4 years ago

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