There has been a lot of negative press about Initial Coin Offerings (ICOs) recently however, there are still a lot of positives to be gained from them. Understanding ICOs and knowing what you are doing are two of the most important details even before you get started.
The learning curve from ICOs over the last few months has certainly been a steep one. Of course other industries have gone through the same as they develop, the difference is that ICOs, Blockchain and the digital economy is developing a lot faster then anyone could have ever expected let alone have seen before. We are on new territory that is for sure. So if you are thinking about starting an ICO, then have a look at a few pointers below:
Bounty And Airdrop
Although it is extremely popular to set up Bounty & Airdrop campaigns for your ICO, it is not necessarily the path to follow. Yes it is the trend right now, but it is usually not the best investment of your marketing budget. Although you do gain followers and advocates for your project and token, which is very positive, all too often that token is sold just the minute you hit the exchange phase. So all that money you have spent on marketing using Bounty & Airdrop is completely wasted. There are much better ways to distribute your very valuable tokens and market your wonderful project – you just need to think outside of the box and not follow the rest of the herd.
Stop The Scams
Most of the press recently around ICOs has been the negative kind looking at the amount of money lost and stolen in the industry through scams and hackers, sadly. However, this is prevalent worldwide over now and the hackers are being extremely clever in their approach to stealing money in all forms of the finance industry including traditional banking. The ICO industry is however one where you have no way to reclaim the money back especially considering that all transactions are one way. Finding out the necessary information about the recipient before you make that all important transaction is crucial. Thing twice as you would with any other investment.
Think Before Spending
As we are all very aware, the Cryptocurrency market is a very high-value one. Whatever you do in the industry is expensive and people just expect to pay those prices. However, if you are starting out in the industry, research before you spend your hard earned money. Look at all of the options available to you and check into a few different suppliers before opting for your chosen one. This is common business practice so do not treat the ICO industry as any different.
There are several ways to get caught out whether you are investing in an ICO or are preparing one to go to market, but this is the same in any industry. The digital economy is very different in many, many ways to anything else that has ever existed however our approach to working within it should not be any different. Due diligence and taking responsibility for your actions will take you a long way!