Eternity Law International — News — ICO in 2023

ICO in 2023

Published:
November 2, 2022

An initial coin offering (ICO) is a popular innovative option for start-ups to collect funding for the development of services usually associated with cryptocurrecies or blockchain-based offers. It allows stakeholders to acquire newly-issued tokens. They may feature some usefulness associated with the products or services that the business is delivering, or they may just present a project share.

Snapshot of ICO

  • A broadly-used way to collect money for services generally associated with the issuance of cryptoassets, apps, or other products and services.
  • Some ICOs have gathered enormous gains for investors, while a bunch of others have come to be a scam or have been carried out extremely badly.
  • To become a participant in an ICO, you have to first buy cryptocoins and possess certain knowledge of crypto wallets, etc.
  • As for now, ICOs are not legally overseen, so participants must be cautious when contributing to such projects.
  • ICOs do not require 3rd party participation in the capital-raising process and create direct links between the business and project participants.

Types of ICO

There are two divisions of ICO: private and public. Let’s determine the dissimilarities between them.

  1. Private ICO

In private ICO, only a bounded number of selected members can take part in the process. As a rule, only professional participants (financial companies or high net-worth persons) can become participants in private ICOs, and a company can decide on establishing a minimum investment amount for them.

  1. Public ICO

This is a category of crowdfunding that is open to the public. It applies rather democratic approaches to raising capital, offering practically everyone an opportunity to become an investor. However, it is often the case that in light of regulative concerns, private ICOs are becoming a more viable variant in comparison with public offerings.

What to pay attention to before investing in ICO

ICO activities started to decline to a certain extent in 2019; the issue – not being covered by the law and accordingly, not having any guarantees. So, participants can do their analyses and consider projects to contribute to.

ICOs can make some buzz, and there are various platforms where stakeholders talk about new projects. Given the fact that they are practically unsupervised, it is wise to be cautious when contributing funds.

There are no warranties that a participant won’t be out of their funds when contributing to a project. To help bypass scam projects, you can do the following:

  • Efficient ICOs, as a rule, have transparent, comprehensive whitepapers with a clear description of what the project is. Ensure the project has 100% clarity from the company behind an ICO.
  • Get acquainted with the ICO’s rights and obligations. Provided that authorities do not yet supervise this domain, the whole liability is on investors in case of loss of money.
  • Check that project money is kept in an escrοw wallet. This mechanism grants better security against fraud projects.

ICO examples

  • Ethereum’s ICO in 2014 is a pioneering ICO example. It collected USD 18 million in 1,5 months.
  • In 2015, a 2-phase ICO was set up for the Αntshares project, which then changed its name to Neo. Both phases lasted for about one year and resulted in approx. USD 4.5 million raised.
  • In 2018, DragonCoin collected nearly USD 320 million in one month.
  • In the same year, the developers of the EOS project pooled USD 4 billion during a one-year-long ICO.

It is often the case that ICOs with tremendous returns on investments are not the projects that collect the most money, and vice versa. The sums collected by ICOs were the highest in 2017 and 2018, however, over the year have declined. But in terms of assessing the success of a project, you can take into account both the sum of money contributed in the ICO and the gains produced on contributions.

Please contact us to get more information.

You can see our current offers in the categories “Cryptocoins and licensing of cryptocurrency operations”, “Ready-made companies”, “Banks for sale” and “Licenses for sale”.

You could be interested

PI license in Poland

Regardless of an uncertain access to digital currency regulation, the Polish Financial Supervisory Authority (KNF)  has emphasized that it supports innovative financial services, including the implementation of fintech-based systems. This could make them a promising fintech region and certainly one to watch for the evolution of the country. The Small Payment Institution in Poland was...

German Company with Commerzbank and Deutsche Bank Accounts for Sale

Rare and unique opportunity! Since 2014 (7 years). Two bank accounts in: (1) Commerzbank AG, (2) Deutsche Bank. Company type: GmbH (LLC). Available for fast purchase. The company has been previously operating its activities but nowadays stays dormant with active accounts kept and maintained. Buying this EU company with history gives you the following benefits:...

SEMI license in Sweden

Every year this jurisdiction becomes more popular, attracting many new investors from different parts of the world. An important element of the fintech sector is the SEMI license, which allows enterprises to act as financial institutions and provide online payment services and the issuance of electronic funds. Our company has been working for many years...

Best Forex Brokers in South Africa for 2023

Introduction Navigating the intricate field of the foreign exchange (forex) market needs more than just trade understanding and trading skills. Selecting the right forex broker plays a pivotal role in shaping a trader’s success. As the year 2023 unfolds, South Africa stands as a vibrant hub for forex trading, hosting a spectrum of dealers eager...

ICO license on Gibraltar

If your cryptocurrency project has interesting content with a transparent and understandable system of work, you are aiming to work for a long time, and then our company Eternity Law International recommends opening your company in Gibraltar. Here you will get full assistance from the regulator and some advantages in the work: ·       transparency of...

SEMI license in Czech Republic

A permit such as SEMI-license in Czech Republic is a document that gives you the right to openly provide your services in the jurisdiction, working in this area, as well as EU-countries. In addition to the direct acquisition process, entrepreneurs can resort to such an option as SEMI in Czech Republic for sale – a...

Discover our services

The international company Eternity Law International provides professional services in the field of international consulting, auditing services, legal and tax services.

Ready-made companies for sale

Companies with a bank account around the world

Banks for sale

Established Banks for sale

Ready-made licenses for sale

Forex, cryptocurrencies, gambling, EMI, PSP, SVF, MSO, DLT

Licensing

Forex licenses, cryptocurrencies, gambling, EMI, PSP, SVF, MSO, DLT

Offshore company registration

Expert advice on the acquisition of an offshore company

Open a bank account

Open bank accounts in more than 120 banks around the world
Fill the blank:

Zurich

Dreikonigstrasse, 31A, Stockerhof
+41 435 50 73 23

Kyiv

Baseina street, 7
+38 094 712 03 54

London

Grosvenor Gardens, 52
+44 203 868 34 37

Washington

1629 K St. Suite 300 N.W.
+1 (888) 647 05 40 Toll Free

Vilnius

Gediminas Avenue, 44A
+370 52 11 14 32

Tallinn

Kesklinna linnaosa, Tuukri 19
+372 880 41 85

Edinburgh

Lochrin Square, 1
+44 203 868 34 37

Nicosia

Jacovides Tower, 5 floor
+371 665 550 51

Riga

Esplanade, 7 floor
+371 665 550 51

Hong Kong

18 Harbour Road, 35/F, Central Plaza, Wanchai
800938622 Toll Free

Singapore

Level 42, Suntec Tower Three, 8 Temasek Boulevard
+6531594300

Sydney

20 Martin Place
+61 2 888 00 365

Porto

2609 Avenida da Boavista
+351 800 500 206 Toll Free

Tbilisi

Revaz Tabukashvili Str., N 45, area N 7
+995706070360