Help understanding how money is made when investing in an ICO

[trillaggee]

How would i make money if i invested in an ICO? here's a detailed example (approximations and ignoring all fees).

I spend $1,000 to buy 3.33 ETH
I use the 3.33 ETH to buy into an ICO while its still "open"
The ICO is offering 500,000,000 of their "tokens"
At the ICO "close", they raise $20,000,000 (or 67,000 ETH)
Therefore, I own 0.00497% of the ICO (3.33/67,000) or 24,850 of their tokens.

I'm assuming here, so if someone could tell me if this is correct, that would be great.


This is where I get lost.... Now what? How do I know what their marketcapitalization is? How do I know if I am losing money or gaining money?

Is this like the stock market? Is there a place to see all the ICO marketcapitalizations listed?

{My original post disappeared....along with some great responses.}

Appreciate any help.

[omnik]

That depends on the result of the price after your token already listed on the exchange site. I tell you about my history to buy 0x token.

I buy 0x at the ico price which around $0,05 and after the already listed on the exchange site especially polo added the ox token and price went to the $0.4 for each token.

And so i got 8x profit from my investment in the 0x project.

[trillaggee]

ico price which around $0,05 and after the already listed on the exchange site especially polo added the ox token and price went to the $0.4 for each token.

How did you come up with the ICO price of $0,05? and then the $0.4?

I think that is what I am missing. How do you come up with these prices.