Web3 Popular Science | What is ICO
The full name of "ICO" is Initial Coin Offering, which is a fundraising method used by projects to raise funds to support their development. Projects create new cryptocurrencies and sell them to early investors in exchange for existing cryptocurrencies. How ICO works Project preparation: The project team drafts a white paper that details the project's goals, technical details, application scenarios, token distribution, etc., and determines the fundraising goals. Project announcement: The project team announces the ICO plan, usually publicly promoting it on websites, social media and other platforms to attract the attention of potential investors. Investor registration: Potential investors need to register on the project's official website or platform and submit the necessary identity verification procedures. Investor purchase: Registered investors can use fiat currency or other cryptocurrencies to purchase tokens issued by the project. Most project parties will only accept cryptocurrency payments. The purchase process may involve the selection of the number of tokens, price and payment method. Token issuance: The project team issues tokens to investors according to the set rules and terms. ICO enables projects to raise funds without going the traditional venture capital route. However, ICOs have been criticized for being largely unregulated, and some of them have been proven to be scams or failed projects, leading to increased scrutiny and regulatory actions by regulators.
#SCDO The future is promising
