Initial Coin Offerings / ICOs have been one of the hottest topics throughout 2017, allowing new companies to produce massive amounts of wealth while circumventing the traditional roadmap of investment and equity distribution. In today’s video, we go through some of the exciting aspects of ICOs and using token systems for a company over the IPO route.
Initial Coin Offerings provide a way for companies looking to integrate blockchain tech to kickstart their operation by selling their own token. The number and initial price of the coins are determined by the team and anyone who believes in the company and/or the financial potential can purchase the distributed amount. We’ve seen companies ICO for 10s, even 100s of millions, all without giving away even 1 percent of traditional “company shares.” This changes the whole decision-making dynamic of businesses and opens up new ways of empowering the token holder compared to how stocks/shares operate after an IPO.
Do you think ICOs will be a mainstay and valuable tool for the foreseeable future? Or do you think it’s a short-term gimmick? Do you ever see yourself pursuing an ICO? Let us know what you think below!
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