Crypto startups are constantly looking for a way to raise the funds they need to be operational, and often this is where the ICO comes in. An ICO stands for initial coin offering, and although the concept is just a few years old, it has taken the world of digital coins by storm.
Essentially, the idea is simple. The company will trade its new coins for funds, and then as soon as the company is up and running, the investor will get the coins with the hope of making some money in the future. Of course, there are some real risks that come with this method. There is no guarantee that the company is even going to take off in the first place.
Despite the fact that some people agree with the process and some people are against it, there is no denying that it has revolutionized the way that cryptocurrency companies are able to get funded.
In 2017 alone, a huge amount was raised through the use of ICOs, an amount that estimates at $3,795, 157, 435, and if things continue to go down the route that they are going, then this number is likely to be even higher in 2018.
There have already been some huge ICOs in 2018.
- For example, Telegram ICO managed to raise a staggering $850million, and so far takes the top spot of 2018 ICOs.
The first phase of the ICO which was launched in February raised over $850 million from a total of 81 investors around the world. Just a few weeks later, the platform announced that it has raised over $850 million again in March from 94 investors around the world. These two sales combined gave the platform a combined $1.7 billion with less than 200 private investors.
- Envion raised a total of $100million, Huobi raised $300million, Neuromation $72million, and Crypterium a total of $52million.
By the end of the year, we may have some even more successful ICOs which will raise a lot more.
The experts at bitnewsbot.com have created an informative guide that will provide you with information on hosting companies that accept bitcoin and cryptocurrencies. They also have many other guides on ICO’s with all the information you need. The website allows you to see both sides of the story, the good and the bad, and it can even help you decide if an ICO is the right way to fund your own project.