Trends come and go, but one appears to be staying! Cryptocurrency and all that comes with it is the word on everyone’s lips as the way of the future, and The Bitcoin Strip is staying abreast of the trends and terminology. Since its launch in 2009, Bitcoin and other altcoins have made a considerable name for themselves, offering those interested a way to step away from mainstream wealth and invest in a more digital approach.
One of the fundamentals of cryptocurrencies is ICO, and in 2017, the craze kicked off, piquing the attention of many digital wealth investors. ICO stands for initial coin offering and is the equivalent of an IPO or initial public offering. The idea is that a start-up seeking funds for a new coin, app, or service can launch an ICO to raise money to keep their start-up successful.
As the first steps to starting an ICO, one needs to know the next moves. To raise money, an ICO will need to be established to do so. One would need to determine the structure of the coin. There are a few different ways to set it up; here are some pointers:
This structure requires one to set a specific donation goal or limit. This means that each token is allocated a fixed price, and the supply number is also fixed.
The second option is to create an ICO structure with a static token supply and interchangeable funding goals. In simple terms, this means that the fund received by the ICO determines the price per token.
Another popular way to set up an ICO is to have a dynamic token supply combined with a static price. This means that the funding the ICO receives will determine the supply amount.
IPO or initial public offering is a way to raise money for new companies seeking funds, resulting in the distribution of shares or stocks to investors. As for ICO, the operations are similar, but as opposed to a company, the process funds new coins.
To invest in both an ICO or an IPO, one would need to be bullish, going on entirely one’s belief of the potential of the coin.
The main distinguishing factor between an IPO and an ICO is that investing in an ICO does not determine ownership of a stake in the crypto project but rather opens the door to the potential of increased earnings when or if the new coin takes off.
An IDO or Initial DEX Offering is a fundraising option for decentralized exchange projects. The difference between an IEO, and IDO’s is that the exchange permission is not required to initiate an IDO. Community participants vet the project, and the coin in question will be listed on the DEX.
ICO’s are a way for new cryptocurrencies to be launched with a more significant prospect of success. The ICO projects allow international investors the chance to invest in new coins, which could provide the opportunity for big returns.
The list of cryptocurrencies today is far greater than five years ago. With interest continuing to rise, more and more digital currency options have started to not only appear but be successful.
Some of the more popular cryptocurrencies to appear over the years include those similar to Bitcoin. Litecoin, Dogecoin, Ethereum, and Ripple are some of the most notable. The other option for cryptocurrencies is the choice of stablecoins.
One of the more secure options when investing in cryptocurrency is stablecoins. Stablecoins is a variant of crypto that is pegged to a fiat currency, usually the US dollar. Here are some of the more popular stablecoins:
Stablecoins help eliminates big losses, allowing the chosen cryptocurrency to retain value by connecting it to the value of a successful fiat option. Cryptocurrency continues to grow, and with each success that arises, more opportunity is provided.
Another trendy avenue to explore within the blockchain ecosystem is NFTs or non-fungible tokens. NFTs are unique digital assets, meaning that no one owns one the same as another, making the lucrativeness levels top class.
Get involved in the new age of online wealth and enjoy all the opportunities that come your way. From NFT drops to exciting new digital coins, the crypto sphere is growing tremendously, becoming a great way to cement your investment and set up a financial future! Check out our weekly updates to keep abreast of whats going on!
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