Initial Coin Offerings take over the investors’ radar, EVERYBODY wants a piece of the pie ■ bitJob.io – The Student Jobs Marketplace prepares for its upcoming ICO and shares campaign tips.
Crowdfunding is a method for small companies to finance the establishment and development of their business. Unorthodox, compared to the traditional stock exchange IPO. Fast and lower-cost than any other way. The public gets an opportunity to invest in startups, hoping for future profits from anticipated success.
In 2016, a wonderful thing happened when Initial Coin Offerings (ICOs), the cryptocurrency version of crowdfunding, started to get investors’ attention.
People participating in an ICO crowdfunding campaign, aka as “Token Sale” can pay through bitcoin or other means, receiving a “token”. BitJob.io plans to calling its currency “STU” tokens, which represents a “student coin” in the Students’ Jobs Marketplace.
The main types of initial coin offerings:
- Defining how much funding is to be raised and how many tokens are issued, and defining the value of each token.
- Assigning a value to each token that varies according to the price of Bitcoin when the token is issued.
- Raising money without a cap limit (there is only a minimum limit and no equity maximum target).
Bitcoin and Blockchain Financing History
Over 25B$ has been invested in April 2017, and it seems like only the beginning.
Combining it all, the current amount in circulation is worth ~80B$. The most valuable tech brand in the world, Google, is worth ~675B$.
Illustrating the strength of the cryptocurrency market, let’s review Bitcoin prices over the last 12 months.
Some factors that help make an ICO launch successful. BitJob.io plans to use them in their own upcoming ICO campaign.
- Starting from the right foundation. Having a team of founders with the right skill set.
- Writing the Whitepaper. Detail all the technical and financial issues, show a roadmap for the project, and describe the general business model.
- Building a professional website and even a basic mocked-up POC. Increasing potential investors’ trust, demonstrating company seriousness, llustrating the feasibility of the product.
- Building an experienced board of advisors. Technical knowledge is required, experience in the team will save time and money.
- Using escrow agents. Proven to be extremely beneficial for many ICOs. Escrow agents can give the investors some assurance about auditing on the results.
- Reaching influencers. The blockchain community is still growing and developing, but the core influencers are well known. Get the news of your ICO to them so it can reach as many people in the world as possible.
- Using Professional PR. For an ICO to get its story to the right investor, it needs community-based advertising and marketing. A number of companies provide PR services for ICOs, raising the chances of a successful crowdfunding campaign.
Launching an ICO is not an easy Journey, Remember to smile along the way!
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