ICO or Initial coin offering is a new concept of crowdfunding that emerged because of cryptocurrencies like Bitcoin. It’s a very popular concept these days that many companies are considering it just like Forex considers trading with bitcoin. Because bitcoin matters and there hasn’t been what people called “the bubble” the hit it as of yet and many doubt that it will ever ever happen.
This is because Bitcoin is widely accepted now, it can be traded, many people use it now for buying in online shops and so on. Many businesses have planted their roots in cryptocurrency and there are many businesses that are slowly doing it as well in order to keep up with the times. It’s also now the new way to do some crowdfunding and people should know a few things about it.
It’s an entirely new different platform: The fact is ICO is a new concept in crowds ourcing and there are still many things that were missing including the safe payment options or measures. Have you remembered when online e-commerce sites were still in its initial phases? Everyone thinks it was a very bad idea because the logistics company was still having trouble in catering to the new market, there were still lacking safe payment options like PayPal, sellers get it wrong when listing some items and buyers still buys the wrong items. Everyone gets it wrong and this is where ICO is right now. There are so many areas of opportunities but it works, people just have to wait for the right people to figure out how to make this a perfect concept just like online shopping is Today.
It should be regulated: The fact is that there is no known regulation to go about this, so it’s anyone’s responsibility. This is why fraudulent transactions are still rampant and many people had fallen victim of these sorts of things, this is because it lacks safety features. Take a look at a wallet ID, for example, it’s alphanumeric and it’s hard to understand. It’s not foolproof and unlike other payment methods that it uses account numbers and email address that are easy to remember, transfer of funds with ICO can possibly be a negative experience. This is the reason why proper regulations for these platforms and processes should be observed. But would highly doubt that the government will take this seriously for now since even the recent Facebook scandal showed the American people that not all people in congress actually understand Facebook and how it works let alone ICO. With a much intricate concept, ICO would be a more challenge for them and it’s not something that people can actually discuss openly at least for now.
ICO is this new concept of crowdsourcing using the new cryptocurrency, this style of crowdsourcing has built it’s framework over cryptocurrency that many people are doubting that it will work long term given that people are always thinking about “the bubble” in cryptocurrency and not to mention Bitcoin is actually low these days. While it’s still a debate there is no denying that many companies and users are backing it thus it became what it is today. If you want to know more about ICO, read what Mark Curry has to say about it.