The ICO boom is here to stay. Las Initial Coin Offerings son, Currently, one of the alternative financing tools for companies and start-ups. The development of blockchain technology and the cryptocurrency industry has radically changed the digital world.
The Ethereum platform has raised more than 4 billion dollars thanks to this mechanism. ICOs are based on the
blockchain technology is a clear example of completely flexible and decentralized technology. In addition, their regulation is not very prohibitive, which is another advantage for people and organizations that want to launch them.
So it doesn't matter if you know the program
on or not, anyone can create their own cryptocurrency. Launching an ICO campaign is not easy, and it is a process that usually takes time.
Do you want to know how to launch your own ICO campaign? Stay to enjoy this post!
What is an ICO?
You cannot jump into this world without knowing all its details. That is why we have seen fit to develop what an ICO is and teach what it is for.
As we have mentioned before, the Initial Coin Offerings are closely related to the financing of a project. When we talk about launching an ICO, in this case, we are talking about the birth of a new cryptocurrency.
The ICO is the initial offering to the public of an asset, in this case, a cryptocurrency. It is usually started by offering a crypto asset at a low price, which is an excellent opportunity for investors to jump into the project with an initial investment. ICO is nothing more than a means to raise funds and carry out a project.
In the world of blockchain technology, this ICO relies on smart contracts. After the creation of the crypto active, they are the starting point and the basis of the entire ICO.
In the event that your project is successful, the token or asset that you have offered to investors will increase in value, which translates into great benefits for your investors. To encourage people to invest in your project you are going to create the Whitepaper. It is a document where you explain your business model and the most relevant aspects.
We are going to make a summary of the points explained to offer more clarity:
- An ICO is a means to raise funds and launch a project.
- It is the initial offer to the public of a digital asset or token.
- Its success depends on the appearance of investors who contribute capital to the project.
- One of the ways to offer information about your project to investors is through the Whitepaper.
- The Whitepaper is a document where you must explain all the aspects that have to do with your business model.
Now that it is clear to us what an ICO is, it is time to get down to work.
Steps to create an ICO
We want to help you figure out how to launch your ICO project and be successful in the future. First of all, we find it interesting to point out that it is a process that takes time and money, but if it is successful it will define your career forever.
Let's get going.
- Create an idea
The idea is the basis of every project. You must think very well and be sure that your project really needs an ICO. In this step, it is also very important to do a thorough investigation of the entire market you are entering.
There are currently more than 2,000 cryptocurrencies, making it a highly competitive market. Think, pose and question everything you see, to come up with a brilliant product that is as original as possible within what is possible.
The more you know about the sector, the more likely you are to get your project off the ground!
- Analyze the competition
Who are your competitors? If you don't know then you're missing pretty much everything. You are not only competing with other projects but also getting capital from investors. This makes the competition much higher, so it is important to analyze and investigate all the obstacles that are in your way.
- Investigate the legal framework
What is legal and what is not? Before entering this market, know all the points of the legal framework that regulate it. In most countries, ICOs are legal and regulated, although there are somewhere they are strictly prohibited.
ICOs are one of the most regulated elements within the cryptocurrency sector, so you should pay attention to everything.
- You create the token
The most awaited moment has arrived! Once you have analyzed everything you need to know, it is time to create the skeleton that will support your project. Come up with a solid distribution plan and choose the structure you want to adopt.
You must indicate how the tokens will be distributed among your team, how many will be issued and how many will be sold at each stage. According to ICOWatchlist, 82.46% of projects take advantage of the Ethereum platform to create their token, so it can serve as a guide when choosing a platform. Of course, there are also other services such as Stratis, Waves o Hyperledger.
- Write The Whitepaper
As we have already mentioned before, in this document you will collect everything that has to do with the business model. This usually includes the title of the project, the general aspects, the objective, the description of the company, etc. You can see an example by accessing the Tutellus Whitepaper.
- Launch your website
Now yes, you can launch your website and move your project forward. This website is going to be the one that introduces you to the public and potential investors. In this part, it is very important to create a strategy for content marketing, website design and the services that you are going to offer to users.
It is the gateway for investors to your project.
Clever! You have already launched your ICO campaign. Although it can be a long and difficult process, the benefits you can achieve are endless. We hope that this post has been the definitive step to launching you into this world, and if you have any questions you can contact us.