If you want to start making money this is the perfect time! There are several ways of making money online, and today we will show you how to make money with an ICO, we will talk about what an ICO is and how you can take advantage of it so you can start generating profits, let’s start!
If you have seen the videos on our YouTube channel, BLW Online Trading, you probably have heard that Cristian AP, the CEO of BLW mentioned that he was going to invest in an ICO. But he had to wait for more information to do so, like the presales, pricing, and other important things, and this is because it could be a great opportunity to invest in an ICO. Of course, this is risky, but it has a lot of potential, so he decided to take that risk! Here we’ll talk about that.
Let’s start talking about some cryptocurrencies.
For example, Bitcoin didn’t have an ICO, but if we think about this, we will realize that bitcoin was worth 130 dollars at the beginning of 2013, right then it kept jumping, and finally, it hit 16,0000 dollars in 2017, so that was a crazy year, and then it went all the way around 68,000 dollars. Then we have Ethereum which at first was worth 2.17 dollars, then it went up to 1,200 dollars, and the highest of Ethereum is 4,800 dollars. But we can see some more realistic numbers, if we look at Solana, it started at 0.69 cents, and last year it was at the highest, around 259 dollars. So, as you can see, all the cryptocurrencies have had these lows, and then we have Dogecoin, the coins started at zero, and then its highest was 0.73 cents which was a big jump.
But why are we talking about that? Because it is important that you understand the potential behind an ICO, it is extremely important that you know what in ICO is so you can start taking advantage of it!
What is an ICO?
An ICO is the initial coin offering which is the same as an IPO but in cryptocurrency, what does IPO mean? IPO means initial public offering, for example when Facebook went and started selling shares and the company went public. So, ICO is when a coin goes public, and it says: “initial coin offering is…”. A company looking to raise money to create a new app or coin service can launch an ICO to raise funds, then interested investors can buy, they can do an initial coin offering to receive a new cryptocurrency token issued by the company.
Understanding the importance of an ICO
Now, whenever someone launches an ICO is to have more funds, to make a token more profitable, and to have more profits. So, imagine for a moment that you were offered the option to buy shares on Facebook when it was previously public and on the day it was made public, the day in which it was launched we think it was 6 dollars per share or 10 or 16 dollars per share. So, today it’s around 400 dollars, so think of how much money you could have made! Well so that’s an ICO, it tells how an initial coin offer works.
When a cryptocurrency project wants to raise money through an ICO, the project organizer’s first step is to determine how they will structure it.
So, how ICOS can be structured?
Static supply and static price.
ICOS can be structured in a few different ways, one of those ways includes a static supply and a static price. A company can set a specific funding goal or limit, this means that each token sold in the ICO will have a preset price, plus, the total supply of tokens is fixed. What does this mean? this means for example they can say “hey, we have an offer, and it is going to be for 20 dollars per token” and that’s it, or one dollar per token and that’s it.
Static offer and dynamic price.
An ICO can have a static supply of tokens and a dynamic funding goal, this means that the number of funds received in the ICO will determine the total price per token, all of this is pretty interesting, right? If you focus on this, we are sure you will be able to take advantage of it!
Dynamic supply and static price
So, some ICOS have a dynamic supply of tokens but static pricing, this means that the number of funds received determines the instance supply. For example, you can leave it as a dollar, but you can buy as many as you want, you can buy a million you can buy 10,000, those are the options you have!
But which one is better? Cristian AP tells us that he considers that the best is static supply and dynamic pricing because in that way we’re not going to have one rich person coming in and buying all the tokens.
And who can launch an ICO? Anyone can do it! Anyone can launch an ICO, with very little regulation of the ICOS in the United States anyone can launch their own ICO. It is free, but this lack of regulation also means that someone could do whatever it takes to make you believe they have a legitimate ICO and then they could disappear with the money. So, you must be very careful with this and make sure to do your research so you can find a lot of information before you decide to invest in it.
Cristian AP mentions that he has not been a lot of time in the ICOS industry because he has invested in more stable coins, but now it was time to jump into an ICO! That is why we are doing this article, so you can know what an ICO is and how you can use it to make money! So, we hope that you have liked the content and remember to always educate yourself as much as you can and get enough information before you invest in an ICO or in another type of making money online.