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Author Topic: Some questions regarding ICOs  (Read 425 times)
pedagogischvertwoll (OP)
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August 27, 2017, 10:27:23 AM
 #1

Hi,
We're actually doing our research about ICOs and we feel unsure about hte following

What happens with not sold tokens in an ICO?
If the company is expecting to sell 100 tokens during the ICO but then only sells 70. What happens to the 30 they weren't able to sell? Do they remain just in the company (and/or the development Team)?
Are there any differences between different ICOtypes (uncapped, capped, etc) regarding this question?

thanks for your help,
DaMut
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August 27, 2017, 10:53:24 AM
 #2

what do you mean by 'we' ?
are you trying to open up another ICOs too ? but you don't know how it works?
truth to be told,this days many people hating an ICOs so before doing this kind of project think about it twice.
here is my answer :

what happen to unsold tokens in an ICO ?
everything is depend on their RULES and TERMS,many project choose to burn it,
and some of them giving it away to the investor (rare case,but some of them did it).

reason is very simple,because if they don't sell it many investor will rethink about participating the ICOs,
the dev team can get a 'free' coins from unsold tokens and also taking that action will boost the participants confident in the project,
unsold tokens will never be dump to the market by the dev that's why it can boost the participant confident.

there're differences in every ICOs type,it's all depend on their RULES and TERMS.

in conclusion,everything is concluded based on their RULES and TERMS.
so,if you want to know what is the differences between one to another try to read their RULES and TERMS
pedagogischvertwoll (OP)
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August 27, 2017, 11:44:53 AM
 #3

we (me&some colleagues) aren't planning an ico in the near future Smiley it was rather out of interest, because it isn't mentioned very bold in the whitepapers.

thanks for the very clear and reasonable answer. out of your experience: If they burn it, do they also adapt the issued tokens after the ico?

-> ICO: selling onyl 70 from the 100 (expected).

Var1: Total issuance after ico: 100 more (as planned) -> total 170 (burn 30 during ico)
Var2: Adapted issuance after ico: only 70 more -> total 140 (burn 30 during ico, and also 30 after ico)

i mean, if they don't, they may dilute the planned shares from the ico a lot?

superplus
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August 27, 2017, 02:05:54 PM
 #4

Hi,
We're actually doing our research about ICOs and we feel unsure about hte following

What happens with not sold tokens in an ICO?
If the company is expecting to sell 100 tokens during the ICO but then only sells 70. What happens to the 30 they weren't able to sell? Do they remain just in the company (and/or the development Team)?
Are there any differences between different ICOtypes (uncapped, capped, etc) regarding this question?

thanks for your help,
Mostly a unsold coin or unsold token will be burned, but there are also developers who hold the token or coin for the purpose of stabilizing the token price when the price in exchange is very cheap.
sabbathhawk
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August 27, 2017, 02:57:16 PM
 #5

It's depends from each ICO. Some of them have minimum bararier to reach if they do not reach it they make "money-back"
But most of them just collect as mush as they can. The more the better.
It's your ico and your rules)
Good luck

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hpmp
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August 28, 2017, 12:23:33 AM
 #6

if nobody wants to buy your token - you can keep it for yourself =)

but you can create and send tokens after or right in the progress of ICO
ranman09
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August 29, 2017, 05:04:33 AM
 #7

If the ICO is great and very very promising, and considering also that it is greatly marketed burning large amount of tokens can result to high value (increased demand). This is mostly i think for the longterm run. A ready beta of the product is always a plus point.
Salmen
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August 29, 2017, 08:58:23 PM
 #8

That's depending on when the smart contract is launched.
Active ICOs that has a smart contract is capped at a limited amount while ICOs with no smart contract is uncapped and pays later the tokens when the ICO is over.
The unsold tokens of the ICO are mostly burned, sent to an address which nobody has access to them, and is being deducted from the Circulating Supply but that's all depending on how the ICO team does it.


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Yuhee
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August 30, 2017, 03:04:18 AM
 #9

I think ICO's are multimillion investment and a commoner cant just finish it. If you really want to release you own, you have to make your own research and build connection. Asking questions here can be very helpful but there are just a lot of stuff that needs to be done and chain questions would come one after another. So if really want to assemble team, you better cover all members that some teams have in each has specified job and one person should be the only in here asking questions.
coinID007
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August 30, 2017, 06:27:03 AM
 #10

if you launch an ico in exchange all unsold will be burned by exchange.....

Fatunad
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August 30, 2017, 07:17:29 AM
 #11

Hi,
We're actually doing our research about ICOs and we feel unsure about hte following

What happens with not sold tokens in an ICO?
If the company is expecting to sell 100 tokens during the ICO but then only sells 70. What happens to the 30 they weren't able to sell? Do they remain just in the company (and/or the development Team)?
Are there any differences between different ICOtypes (uncapped, capped, etc) regarding this question?

thanks for your help,
If an ICO didnt able to sell out all of their coins then possibilities that those excess or unsold coins would be burned but would depend if the ICO did reach the minimum cap that they have set. If it didnt reach then most likely they do make a refund or money back to their investors but assuming on the numbers you do said 70-30 then this kind of partition ends up to be a success one and those unsold would be burned depending on dev decision.
nelmari
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August 30, 2017, 03:03:19 PM
 #12

Usually unsold tokens are burned so there won't be any tokens circulating around rather than the once that was just sold. That mostly is the case, and with regard to your last question I don't think there are any differences between uncapped or capped ICO's but I'm not really too sure about that though.
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