3 Basic Tips for Launching a Successful ICO
Crowdfunding through ICOs was all the rage in 2017 and for a good reason; it allows startups and entrepreneurs raise funds for keeping their dream projects up and running. Without going through complicated and time taking legalities, ICO is a quick way for raising capital.
It’s knowingly being said, ‘a goal without a plan is just a wish’, same implies for ICOs. Although in the last year, around $4billion were raised through ICOs and more is expected in 2018, there still is a space for industry standards to follow.
According to news sources, $6.3 billion has been raised in the first three months of this year, which is a lot more than the whole funding raised in 2017. Common perception of ICO platform as a controversial fundraising method and it will soon be extinct, now seems highly overrated with that much of investment in ICOs.
Looking forward for participation in an ICO or want to launch one? Here are few tips which will help in making up your mind.
Whitepaper - Define Your Goals, Plan WellLike any other business project, ICO has its own goals, and objectives. Usually, this is done through whitepaper, hire whitepaper expert who will structure and narrate each and every phase of the ICO in detail. This gives investor confidence and brief understanding regarding the ICO project.
Also, participants of the ICO should get to know what’s the problem and how it will be addressed through an ICO. This comes along with a roadmap, a document which gives the timeline of the ICO, when will the presale starts and ends? Live ICO dates and milestones.
Highlight Team of Professionals, Build CommunitySuccessful ICOs are composed of team of professionals dedicating their time and effort on the ICO project. They have knowledge and experience much needed for launching an ICO. An ICO website should mention profiles of team members along with their social accounts, this builds trust.
Community building is another step towards launching a successful ICO. Socially activate blockchain enthusiasts long before launching the pre-sale. This helps in generating social buzz and traction for ICO.
Popular Ways for Setting Price PlansThere are certain ways which are followed in ICOs price plans. In ‘no fixed price’ plan, participants can buy tokens as a contribution without any fixed pricing. Whereas in ‘fixed price’ tokens price is fixed and they can only be traded after freezing period.
Dutch auction is another way where initial few tokens are the most expensive and as the ICO sales comes to its final ending, price decreases with the passage of time. And lastly, participants will get the best possible price for the purchased tokens.