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What is an ICO? (I'm only being half-serious. But it's amusing that there isn't a consistent definition. It's basically "you can buy an asset I created out of
by sillysaurus3 9y ago
What is an ICO?
(I'm only being half-serious. But it's amusing that there isn't a consistent definition. It's basically "you can buy an asset I created out of thin air that may or may not have any utility.")
- avaer 9y agoI have a theory that once you can define ICOs, they will cease to exist in their current form. If the layman buying ICOs for their speculative value understands the asset they're buying, they might not want to buy it anymore.
- grandDesigns 9y agoI have another theory, that this has already happened.
- hathawsh 9y agoI see what you did there. ;-) https://www.goodreads.com/quotes/2397-there-is-a-theory-which-states-that-if-ever-anyone https://www.goodreads.com/quotes/2397-there-is-a-theory-whic...
- nugget 9y agoDon't be so sure. The penny stock market is alive and well. People love to gamble.
- wslh 9y agoI have another theory, ICOs will evolve with public due diligence, real products instead of whitepapers, etc. In this way, companies and people from developing countries and below could raise money faster and with less friction. I am not saying that scams will be surpressed but interesting projects will find a better destiny.
- jjawssd 9y agoAn ICO is the process of providing liquidity to early coin miners and investors.
- a_d 9y agoProjects are issuing tokens to raise funds (ICO ~= IPO). They are of two types: 1) Protocol coins (coins that have some value within the project / product) and 2) Asset coins (coins that can be thought of as shares in a company). Protocol coins are being positioned as presold revenue and need not necessarily conform with securities laws. Most ICOs are trying to position their coins as kickstarter-type "token gifts" (e.g. T-shirts) Asset coins on the other hand, come under the purview of securities laws and act People are buying these coins because of FOMO. Large majority of these projects having ICOs are scams - not too different from the dot-com bubble. Eventually, some good ideas are going to come out of these projects.
- kowdermeister 9y agoPretty good summary: http://www.investopedia.com/terms/i/initial-coin-offering-ico.asp http://www.investopedia.com/terms/i/initial-coin-offering-ic...