One thing that most millennials would relate to is that it is challenging to save money nowadays. A quick discussion with your parents or grandparents would reveal that you have it much harder than them. The leading causes of this hardship might be inflation or interest rates being reduced on savings by various financial organizations. However, that does not change the fact that you are working extra hard to save a considerable amount in your account and maybe invest in some wealth creation plans.
When it comes to wealth creation, initial coin offering or ICO is something that you must consider. Not many people are aware of what initial coin offering means. If you have heard about digital currency, you should know that it holds good prospects. However, before proceeding to the discussion on how this type of currency can help you, you must get a clear understanding of initial coin offering?
What is the initial coin offering?
It is a fact that all businesses require funding to start and keep functioning through the initial years. ICO is a great way to raise money for these start-ups. New digital currency is mostly created by teams of developers who are planning to start a new project or business. They make the broader community aware of their initiative through materials like white paper and hope that people will find it impressive enough to want to fund their endeavor.
Now, the ones who usually invest such projects are investment firms that see much potential in the new projects and thus fund to help the project launch. They, of course, get something in return. They get a share of the new currency that was started by the developers when they initially conceived the project. This process helps with the distribution of initial coins in a fair system.
What are the benefits of ICO?
Initial coin offering, especially when done with reputed firms like Influence Mine ICO, can come with many benefits. Besides the obvious benefit of arranging to fund for startups, it helps investors too, especially the ones interested in cryptocurrencies. It is open to anyone who is interested in investing, irrespective of the investor’s geographical location. It also promises a much higher return than traditional forms of investments.
It goes without saying that initial coin offering, like everything else, comes with its own set of risks, the biggest of which is the project you invest in, may not be successful. That may be because the project did not have much potential or the developers did not market it enough for the word of the project to reach more investors. However, nothing comes without risk, and this should not keep you from trying your hand at ICO. The projects that are successful not only pay their investors back in heaps but also enable them to include ideas of their own in the future, in the development of new digital currencies.Tags: cryptocurrencies , digital currency , initial coin offering