Digital currencies such as bitcoins are facing unprecedented fluctuations and have come under the scanner of local tax authorities and regulators, but for Indian initiatives to raise capital through ICO, it is a business like always. ET has negotiated with more than half a dozen companies, which are moving ahead with betting on the strength of their products, with the effect of their ICO plans. Chief Executive Officer of Zeeba Babu Munagala said, "We have a global product in the Andhra Pradesh government, which is already a live customer, which is rare in the block world." "It helps us succeed in practice in a otherwise difficult environment." The president of Zbeby, who had canceled the program one day earlier on Monday, is part of the company's $ 10 million (Rs 64 crore) ICO scheme for the March.
ICO is being held in Singapore and atherom, it is much less valuable than a crypto-currency bitcoine, but is currently more stable.
The crowd for ICO is understandable. This allows startup for the crowd-source capital by issuing its own digital token, it is to say that through venture capital companies, for a more fundraising route.
But due to regulatory uncertainties in India on crypto-currencies and ICOs, domestic startups prefer to organize their offerings at places such as Cayman Islands, Switzerland and Singapore.
A block-based networking site similar to Springlal, Linkchin, located in Bangalore, is preparing for the $ 10-12 million IOA soon in Panama. And Macho, based in Mumbai, is planning a $ 5-8 million ICO plan in March through a platform for a real-time prediction league, a foreign entity.
Blockcon-based contactless identity management system, Reliance Capital Supported Power Nucleus Vision, is an exception, since January, 40 million dollars have been raised in one of the most expected ICOs in India.
Springrol CEO Kartik Mandel said, "We believe this is the right time to raise money through the ICO." "Prices of Bitcoin and Ethram are falling, which compel investors to diversify their bets and participate in coin offerings."
According to a recent report by the EAV firm of professional services firm, the hackers spent $ 4 billion more than $ 10 billion in 372 global ICOs between 2015 and 2017, he said. Hackers have also managed to gain access to the information of the investor provided to the coin issuers. Valix, an identity verification system on BlackChann, was forced to suspend her preset last month due to several security breaches. One major problem is that Dzaji CEO Ashwira Singh said, "About 80% of the ICOs are fake and users have already fallen for it." The Wi-Combinator Supported Vehicle Rental Platform raised $ 5 million through an ICO ending last month and will raise another $ 15 million through more Coin Prasad.
To ensure reliability, many ICO-binding companies are resorting to self-regulation.
A banking app on blocking, who raised $ 33.11 million in its presale in December, of which $ 14.34 million was rejected on the basis of non-compliance and disinterested funds. CEO Kumar Gaurav said, "There is about 43% of the money which was not in line with our (address-your-customer) and (anti-party) norms." "Rejection of suspicious sources will help us for a long time."
The Indian government has not yet ensured its stance on the ICO, but has issued warnings against investment in crypto-currencies, which states that digital currencies create financial and legal risks.
