ICO Aftershocks: Rebuilding Trust In Crypto Fundraising
Initial Coin Offerings (ICOs) once represented a groundbreaking approach to fundraising for blockchain-based projects. While the ICO landscape has evolved significantly since its peak, understanding the principles and potential of this funding model remains crucial for anyone interested in the world of cryptocurrency and decentralized finance. This guide will provide a comprehensive overview of ICOs, covering their mechanics, benefits, risks, and current status.
What is an Initial Coin Offering (ICO)?
Definition and Purpose
An Initial Coin Offering (ICO) is a fundraising method where a new cryptocurrency project sells its underlying crypto tokens in exchange for existing cryptocurrencies, like Bitcoin (BTC) or Ethereum (ETH). It's akin to an Initial Public Offering (IPO) in the stock marke...