Why we need ICOs and ICO Lists?
Initial coin offerings (ICO) is currently the best method for startups to raise funds, and companies to expand or upgrade to a Blockchain Network. But whatever the case, ICO combines the opportunities of Blockchain, automated crowdfunding protocols, and benefits of initial public offerings (IPOS) to attract investors. However, as ICOs are becoming the conventional method of raising funds and part of contemporary tech culture, it would become challenging to evaluate, analyze, review as well as rate the authenticity of these programs or products. This is temporary because there are no strict regulations guiding investing in an ICO, and many ICOs have failed without guaranteeing Return of investments (ROI), making investors lose their money.
For every idea, product or service to come into limelight and yield, it needs a system through which funds would be raised for the cause, while there are various fund-raising strategies, one of the most prevalent method used in recent is the stock market through Initial Public offering (IPO). We live now in a digital era where we have a digital television, then digital photo, digital watch and digital marketing. The world was ready for digital currency and Bitcoin was born. So, no surprise that in a very short time digital stock has joined the party. Now we need ICO Lists because there are over one thousand ICO projects. ICO listing sites such as ICO Toplist help projects rise money by boosting their online presence.
SO WHAT’S AN ICO AND HOW DOES IT WORK?
Typically, an Initial Coin Offering (ICO) is the cryptocurrency space’s rough equivalent to an IPO in the mainstream investment world. ICOs act as fundraisers of sorts; An ICO is launched when a company (majorly startups) is looking to create a coin, an app or a digital service linked to the blockchain. Next, interested investors buy in to the offering, either with fiat currency or with preexisting digital tokens like ether. In exchange for their support, investors receive a new cryptocurrency token specific to the ICO. Investors hope that the token will perform exceptionally well into the future, providing them with a stellar return on investment.
How to find the best ICOs and blockchain projects in 2019?
As ICOs gained predominance in the year 2017, there was no doubt that year 2018 was going to see the development of even greater ideas. In this year, ICO projects doubled the tally for the entire past year and as such, there were more groundbreaking achievements. An ICO which may also be known as an Initial Coin Offering is a technique whereby cryptocurrency enthusiasts and investors alike, raise funds through crowdfunding. Yes, they are still making strong waves. Experts perceive the introduction of more ideas in the coming year but the ultimate question is how do we go about making a great choice of ICOs and blockchain projects to invest in amidst the tons of great ideas already in existence? Our ICO List have a lot of options to choose from, but how to choose the best ICO in 2019?
Here are few tips that would help you make the best investment decisions in 2019:
Research: There is no better way to understand a subject than to explore that subject. There are tons of ICOs and blockchain projects in the forte now and the fact remains there are lots more to come. Put pen to paper, scour the internet, follow news, join blockchain platforms, do your calculations and get to know what you will be putting your money because that is literally where your mouth is.
Verify projects on major platforms: There are many platforms where investors and enthusiasts share ideas, one of such platform is BitcoinTalk. On these platforms, you can find very useful information like which blockchain or ICO project is on the rise, get to trade profitable ideas and in fact, broaden your scope of understanding. Look on ICO lists, read on medium articles etc.
Look for real life samples: By this, we mean you should look for practical projects to invest in. Carry out research, check those who have invested in your selected choices, understudy the success rates and how viable an investment their investing in such blockchain project turned out. Check just how applicable it is to real world developments.
Never jump on the bandwagon: Certainly, you should never invest in a blockchain project just because others are doing it. It may be a success but you want to fully know what you are getting involved in so you would not be setting yourself up for any kind of surprises!
ICO Whitepaper: You should make it a point of duty to study any ICO and Blockchain project whitepaper before setting out to invest. In the whitepaper, you would be well informed about the overview of the project, the roadmap, the team and importantly technical specs. ICO Whitepaper is best place to start, if the foundations are bad than maybe you should not start reading into marketing content.
How to do in-depth ICO review, ICO rating and ICO analyze
The first way to rate and review an ICO is to determine the importance of the solution it promises to offer or the value of the product it envisioned to market. It is true that every ICO promises something, but only a few actually succeeds. And so how do you begin?
1. WHITEPAPER: The white paper is the life of the ICO and the first place to start in analyzing an ICO. It is the roadmap of the set goals and ideas hoped to be achieved. This document basically contains all the details the intending investor needs to be convinced that the project would be viable. Call it a pitch. It embodies the details about the project, its team members, its market size and value, token sales and distribution etc. But just as the whitepaper is the life of an ICO, it can also be its death if it wasn’t properly articulated. It is, however, true, that a small percentage of investors read the white paper, so it is very advisable to read it and be guided. Why read the whitepaper?
• To review an ICO review its whitepaper. So as to tell the real from the scam.
• An ICO that has the potential to hit the moon is one with a whitepaper that is logical and does not dwell on unnecessary technicalities to confuse. It is clear, coherent and comprehensible. Anything short of this is a potential disaster. Too many technicalities happened in the early days of Bitcoin development and that era is gone.
2. SOLUTION– in analyzing an ICO, consider the solution it is bringing to the table and ask: • Is it a project/product that really solves a problem or improves a situation in the real world? • What is its present relevance? • Does it have the potential to continue in the future? Example: Bitcoin made p2p payment possible. Ethereum improved the capacity of the Blockchain with smart contracts. NEO took the smart contracts and Blockchain to China. Etc. solutions are potentials, and they hold the truth about the project. Projects with viable solutions are usually rated higher than others.
3. TEAM: for an ICO to have a good rating, it must have a very strong team of professionals working on the project. The Bigger the name of the professionals, the better. Also to be included in the team can be the board of advisors which could be made up of reputable persons in the industry to give it credibility. This assures investors that the project is in good hands, and their expectancy for high returns satisfied.
4. MEDIA PRESENCE: To review an ICO consider and rate its media presence. A potential moon ICO would have a strong media presence especially Twitter, Facebook, Reddit, Medium, telegram and some other popular forums like Bitcointalk, CoinMarketcap, and other contemporary news media. It is also important to note what influencers are saying about the ICO. These show that the project managers are working hard to market the ICO. Remember that people are less likely to invest in an ICO that no one is talking about. However, it calls for a high level of sensitivity to separate the hype from the real news and to Sieve the opinions and fake news from the facts.
5. INVESTORS: in analyzing an ICO, evaluate its investors. People or companies that have already keyed into the idea. Big names make headlines, and this is good for investment. Example, in 2017 ETHEREUM announced a partnership with big tech giants like Microsoft, Samsung, Intel and even National bank of Canada and this move skyrocketed their prices from 15$$ to about 380usd. NEO which is now called Ethereum of China is backed by the Chinese government, Microsoft and Alibaba group, and is gradually climbing the ladder in CoinMarketcap.
6. Escrow Finally, and perhaps most importantly, you need to make sure that the funds are being stored in an escrow wallet. The best-case scenario here would be that the escrow service is not provided by an individual or a company, but instead is done automatically through the use of Ethereum smart contracts.
7. Check Stage of the project in the development
Every project should have a clear-cut road map indicating definite plans of where they are coming from, where they are and where they are going to. Studying their road map would make you know how active the team is in the pursuit of the goal of the company. There is no universal rule about what stage of development should the project be at before it can hold an ICO. At times, there will only be a whitepaper and a rough roadmap. Sometimes, there will be a beta version of a product or even a launched product, perhaps with limited functionality.
8. Be careful
One can never be too careful where investments are concerned, you have to be certain you have crossed your t’s and dotted your I’s and this are just few tips that if adhered to can help you make the best ICO decision in the coming year. Do not forget to ask questions where you need to, speak with experts if you have to, dig deeper!
In summary, these are few basic ways to review, rate, analyze and evaluate an ICO. Initial coin offerings are becoming mainstream and it is very advisable for investors to take time and review the project before jumping into the hype. Research is the key to safety. We can always try getting help from one of ICO listing sites. One of the most popular ones is ICO list. However, no matter how careful one can be, it is also advisable to only invest with money you can only afford to lose because of the volatile nature of the industry. We are however getting to the era where ICOs would be regulated and investors protected in the face of impending failure, but until then, Invest wisely.