Monthly Archives: September 2013

Guide to ICOs in Thornwood, NY

 

Overview of introducing an Initial Coin Offering (ICO) in Thornwood, New York.

There has been a great deal of confusion on what an initial coin offering is (ICO– also in some cases called a token generation occasion or token sale), what sort of companies an ICO can be utilized for, and exactly what goes into releasing an ICO– from a project’s point of view.

Disclaimer: This is not to be interpreted as investment or legal guidance, however rather suggested as a design template to show the procedure behind an ICO, and exactly what a task’s stakeholders (team, board, stakeholders) must think of when performing an ICO.

Given the blockchain market is fairly brand-new, there isn’t a great deal of details on the topic (from a project’s perspective), and with each brand-new ICO, groups are finding out best practices on what to do and what not to do. Below is a guide of all the info we gathered about the ICO process, with input from individuals who experienced the process very first hand.

If you wish to add to this guide, or have any tips, do not hesitate to make tips here:.

Pre-planning

The greatest 2 questions you have to think of first are:.

  • What is the purpose of the token?
  • Are you sure you want to do an ICO?

Token: Considerations for 

  • What is the purpose of the token?
  • What function or utility does it perform?
  • Is the token absolutely essential?
  • Why does your task need to be on the blockchain?
  • Can you describe a feasible financial model behind it?

If your application doesn’t have to be built on top of a blockchain procedure, you need to think hard prior to moving forward. For example, the computational costs of developing an application on top of Ethereum is much more expensive than something like AWS. You need to have a strong reason for why you are developing a decentralized application vs. a centralized application.

If you are uncertain whether your application should be built on the blockchain or not, you need to do more research study and spend more time finding out about Bitcoin and Ethereum. Constructing a decentralized application is fundamentally various than an application using client-server architecture, and you’ll have to completely comprehend the elements of a blockchain and exactly what can be built on top of this brand-new architecture.

{ICO|Initial Coin Offerings in Thornwood, NY 10594

An ICO is essentially different than raising money through VC’s or other standard methods.

On one-hand, you are offering future usage of your platform (not giving up equity). On the other-hand, you are becoming a public business on the first day. You’ll have a substantial community you’ll need to manage post-ICO, and you need to ensure you wish to handle this problem ahead of time.

Here are a few things to bear in mind while thinking through whether your project must do an ICO in the first place:.

  • Everything you do and all the actions you take will be reflected in the rate of the token.
  • Your group will get bombarded non-stop, numerous times a day, with questions about the cost of your token.
    You’ll need to be a worldwide company from the first day.
  • All your internal group conversations will likely be pushed publicly.
  • There will be excellent stress in trying to construct things that are long-term important vs. short-term important.
  • If your product isn’t open sourced currently, there will be a big reaction to become completely open sourced. There is a strong expectation that lots of blockchain tasks are open-sourced tasks.
  • In general, cryptocurrency tasks are way more public/transparent than normal startups, or even conventional public business.

In general, good blockchain projects look and work a lot more like open-sourced software projects vs. traditional tech organisations. You and your team will need to decide both whether your application makes sense to be built on a blockchain + you wish to operate as a transparent and open business.

Marketing is insufficient, people have to understand and trust your skills.

Much of these early ICO’s were conducted by deep stack blockchain developers that belonged to the core crypto community, with high credibility and track record. The ICOs that sold out fast and quick did not come out of thin air. Early token investors– who by the way were also part of the core crypto neighborhood– knew these developers well, and trusted them, as their particular item concept had actually been talked about and peer evaluated for many months over Reddit, Twitter, Slack, Bitcoin Talk, numerous crypto podcasts, etc.


Whitepaper

White documents are the business plans of the Web3 with which teams aim to raise your funds, often before having a prototype. Writing a good whitepaper is the main job for each team. Avoid contracting out the writing to 3rd parties. If you want people to take you seriously, you need to involve the entire team: from core devs to your sales individuals. You require a semi-technical description of how your job works and an easy to understand walk through for non-techies. The whitepaper must be appealing to investors without any technical knowledge and developers alike. It has to include:.

Reliable technical roadmap.
Possible organisation roadmap.
Clear tokendistribution design.
You can take your effort one step further and launch a technical paper like the Ethereum’s Yellow paper or Zcash’s technical whitepaper. These documents offer a further insight into the technical implementation and are just aimed at people with deep understanding of blockchain technology. They provide more reliability to your tech understand how, and permit online swarm review. Technical documents have so far mainly been used for blockchain token sales and not for dApps token sales.

Prototype – Thornwood NY 10594

You will be more reliable if you already have a product prototype. Motivate individuals to visit your GitHub page and play with the code. Please note, projects without a single line of code raise lots of red flags in the eyes of financiers. If your name is not Vitalk Buterin or Gavin Wood– just utilizing examples here– you may have issues raising money only with a white paper.