What is ICO ?

[arcathomas]

Hello, i'm new here and i would like to understand what is Initial Coin Offering.
Why does it open and closes ? And what is it actually ?

Thanks a lot if someone can help me. 

[1715245663]

1715245663

[ICOcountdown.com]

It is just a method of coin distribution to fund development.

Crowdfunding is used to distribute the coins, instead of mining the coin initially.


https://en.wikipedia.org/wiki/Crowdfunding

https://en.bitcoin.it/wiki/Mining

[arcathomas]

And what is the ICO influence on coin prices ?

[ICOcountdown.com]

And what is the ICO influence on coin prices ?

Generally the amount put into the crowdfund dictates the coin market cap. For example, if you put in 1BTC and the project collects 1BTC TOTAL all the coins will be worth 1BTC.

So 100,000 Xcoins will be worth 1BTC

if 2BTC is put in that puts 100,000 Xcoins at a 2BTC market cap.


Make sure you are careful with ICO's some of them are scams, there are a few good projects that are associated with ICO's - successful ICO's include projects like NXT and Ethereum.

My site lists ICO's on a time schedule: http://icocountdown.com

Check out my blog because I do research into them to see if they are scams or otherwise:

https://medium.com/@icocountdown/

[arcathomas]

Oh ok, but how can we make profit with ICOs ?
Because i found your website and i was wondering if i should invest on coins before the opening of there ICOs or before the end of there ICOs

[andyatcrux]

Oh ok, but how can we make profit with ICOs ?
Because i found your website and i was wondering if i should invest on coins before the opening of there ICOs or before the end of there ICOs

I highly recommend you don't invest in an ICO until you feel confident that you understand some of the fundamental aspects of profiting from them. the ICOcountdown.com person has in fact done a good job of sussing out the scams and their blog probably is a good start. Beyond that it is a good idea to read, research, read more, research more and then invest only an amount that you can afford to lose.

[ICOcountdown.com]

Oh ok, but how can we make profit with ICOs ?
Because i found your website and i was wondering if i should invest on coins before the opening of there ICOs or before the end of there ICOs

You should not give developers money before the ICO opens, you will get scammed. Make sure you always use an escrow service or the ICO is using some sort of Escrow, there are a few exceptions where it is ok not to use an escrow but generally no escrow is a redflag.

The free market dictates the price, the ICO after it is released on the free market can go up or it can go down(when it's listed on exchanges). You have to use your own judgement as to whether it will go up or go down to make profits just like traditional trading on every market.

You have to look at the ICO terms and do mathematical calculations also, for example WAVES offered a 20% bonus the first day. You have to make sure you do research.

Also thanks for using my website

[ICOcountdown.com]

Oh ok, but how can we make profit with ICOs ?
Because i found your website and i was wondering if i should invest on coins before the opening of there ICOs or before the end of there ICOs

1.) it is a good idea to read, research, read more, research more

2.) and then invest only an amount that you can afford to lose.

These are very good points, you have to really look at these markets and especially ICO's, I spend hours looking at the terms and doing research sometimes days, new information comes out regularly so you have to be on top of it.

You must do your own due dilligence.

[balu2]

ICO is always scam because those offering it buy into it themselves to fool you so you think there would be high demand - and when buying their own ico they get to keep the coins they buy from their own offering PLUS the bitcoin and they will dump those extra coins on you later too. 
Nobody can prove it did happen, that's why it happens. Also the one offering the ICO can never prove he did not buy into it himself.
So ico is complete scam normally. Don't be told otherwise by the scammers. The only legit way of distribution is mining - longterm mining, no flashmining.

You're welcome.

[ICOcountdown.com]

ICO is always scam because those offering it buy into it themselves to fool you so you think there would be high demand - and when buying their own ico they get to keep the coins they buy from their own offering PLUS the bitcoin and they will dump those extra coins on you later too. 
Nobody can prove it did happen, that's why it happens. Also the one offering the ICO can never prove he did not buy into it himself.
So ico is complete scam normally. Don't be told otherwise by the scammers. The only legit way of distribution is mining - longterm mining, no flashmining.

You're welcome.

This doesn't make sense, what happens if you do not have the technical knowledge to mine or have the equipment? What if the developers want a lower cost energy coin using proof of stake? You cannot say all ICO's are scams, NXT and Ethereum are the 2 biggest successes in the market currently.

[balu2]

ICO is always scam because those offering it buy into it themselves to fool you so you think there would be high demand - and when buying their own ico they get to keep the coins they buy from their own offering PLUS the bitcoin and they will dump those extra coins on you later too. 
Nobody can prove it did happen, that's why it happens. Also the one offering the ICO can never prove he did not buy into it himself.
So ico is complete scam normally. Don't be told otherwise by the scammers. The only legit way of distribution is mining - longterm mining, no flashmining.

You're welcome.

This doesn't make sense, what happens if you do not have the technical knowledge to mine or have the equipment? What if the developers want a lower cost energy coin using proof of stake? You cannot say all ICO's are scams, NXT and Ethereum are the 2 biggest successes in the market currently.

If you can't mine you buy from someone who can.

POS can have initial mining too, there is nothing that prevents a POS coin from having a fair distribution.

Yes, i said all ico. Only because it's pumped later doesn't mean the distribution wasn't fraudulent.

[ICOcountdown.com]

ICO is always scam because those offering it buy into it themselves to fool you so you think there would be high demand - and when buying their own ico they get to keep the coins they buy from their own offering PLUS the bitcoin and they will dump those extra coins on you later too.  
Nobody can prove it did happen, that's why it happens. Also the one offering the ICO can never prove he did not buy into it himself.
So ico is complete scam normally. Don't be told otherwise by the scammers. The only legit way of distribution is mining - longterm mining, no flashmining.

You're welcome.

This doesn't make sense, what happens if you do not have the technical knowledge to mine or have the equipment? What if the developers want a lower cost energy coin using proof of stake? You cannot say all ICO's are scams, NXT and Ethereum are the 2 biggest successes in the market currently.

If you can't mine you buy from someone who can.

POS can have initial mining too, there is nothing that prevents a POS coin from having a fair distribution.

Yes, i said all ico. Only because it's pumped later doesn't mean the distribution wasn't fraudulent.

So someone who has a monopoly on mining equipment can own the supply? That is not a fair distribution. You cannot debate that this is a fairer distribution method than ICO distribution because you know the same problems happen in each one.

No coin has a fair distribution it is mathematically impossible.

[balu2]

So someone who has a monopoly on mining equipment can own the supply? You cannot debate that this is a fairer distribution method than ICO distribution because you know the same problems happen in each one.

The miner has high up-front costs and also electricity costs. He doesn't get the coins for free. Also you need to pay attention to the distribution of hashpower to know what's going on.
In minig at least it's transparent what's happening while ICO is a black box.

[ICOcountdown.com]

So someone who has a monopoly on mining equipment can own the supply? You cannot debate that this is a fairer distribution method than ICO distribution because you know the same problems happen in each one.

The miner has high up-front costs and also electricity costs. He doesn't get the coins for free. Also you need to pay attention to the distribution of hashpower to know what's going on.
In minig at least it's transparent what's happening while ICO is a black box.

I'm going to respectfully disagree and say that each one has the exact same problems of distribution. In mining, power costs vary from geomeric locality. So it is higher cost for some and lower for others, some also have a big monopoly on mining power, you can see this problem is prevalent in Bitcoin right now. The same happens with ICO's with who has the highest Bitcoin supply to there disposal, it is essentially the same problem with all distribution methods.

But again it's personal preference.

I really like the conversation though, it is great to see a miners perspective on distribution methods. I think these sorts of conversations will educate people.

[balu2]

talk about selfbuy ...

I'm not a miner, i'm veteran investor.

[The Sceptical Chymist]

Oh ok, but how can we make profit with ICOs ?
Because i found your website and i was wondering if i should invest on coins before the opening of there ICOs or before the end of there ICOs

Dear God that is a recipe for losing money--be very careful investing in shitcoins.  They are so volatile that you're going to need a barf bag for the price swings.

[cannabanana]

talk about selfbuy ...

I'm not a miner, i'm veteran investor.

lol you wish.  You sound like a butt hurt miner.

[balu2]

talk about selfbuy ...

I'm not a miner, i'm veteran investor.

lol you wish.  You sound like a butt hurt miner.

looks like ad hominem to me

[cannabanana]

talk about selfbuy ...

I'm not a miner, i'm veteran investor.

lol you wish.  You sound like a butt hurt miner.

looks like ad hominem to me

WOAH you got me! 

[Spoetnik]

@OP
Do you understand what ICO means now ?

We all started calling them IPO's here on the forum a couple years ago when they emerged.
But the guys making them started calling them ICO's instead or even ITO's (like the BlockNET dev said)
(Angel-Investing or Crowd-Funding would be similar names / meanings)

If you have questions then be aggressive and jump in and ask. (someone here will probably answer you)

I am not expert on ICO's but know enough about them..
I do -NOT- support them.. ever.

I myself think they are an unfair & shady / scammy initial distribution method for a CURRENCY.
Plenty of people think ICO's are scammy too ..not just me.

My advice would be to avoid them all.

This stuff is not *supposed* to be about new people coming here trying to make money.

..it's about "Alternative digital Currencies"

 ICO  =  SCAM