Monday, December 11, 2017

What Is Icos And What Is The Actual Need For Them?

By Alex D White


After a long, keeping patient and going through a lot of stipulations with the Bitcoins and the profits that it can offer to investors. Bitcoin finally had a reply to its critics, as it finally got its value, considered as one of the most popular cryptocurrency in the economic world the value of Bitcoin has reached to an astonishing amount of 11100$.

Although people made a lot of assumptions on the value and the future profits of Bitcoins, it is found that the value of the cryptocurrency is still increasing on a day to day basis. Concerning the profit that it has given as a cryptocurrency, it has also enforced other companies to take advantage of a unique tool i.e. Initial Coin offerings or the ICOs.

However, people although not completely aware of the profits behind the investments made on ICOs, are attracted towards digital currencies. Initial coin offerings or ICOs, can be referred to as a crowd funding idea of using blockchain technology of using the digital currencies or cryptocurrencies, similar to Bitcoins.

ICOs are the basic part of the fundraising function with the help of digital currencies. The though behind giving ICOs, is similar to what IPOs or initial public offerings had to offer. Company giving out IPOs, offered ownership of the company in exchange of the investment that buyers made.

ICOs are also very beneficial for the companies looking for investors in terms of getting more investments, as they do not have to go through a lot of hard work to look for them. They companies do not really need to pitch their business plans to the investors, neither there are investors are pitting over one another. Moreover, as the company offers a lot of ICOs, as soon as it starts to look for investments, they are available at a very low cost and you can avail them easily. This simply means you get to enjoy the deals that are not easily accessible.

The process at which ICOs function is often considered similar to the IPOs that offered buyers to buy shares and stocks when they purchased things from them. Instead ICOs do not provide the buyers with any type of cash flow and or ownership rights with the company. However, despite of this it was found that ICOs were able to generate a lot of money this year itself.

One of the most important reasons behind the increase in the value of ICOs is the increasing value of Bitcoins. When investors choose to buy ICOs, they put their money by making an estimate on the increasing value of the particular cryptocurrency in the upcoming future to make profit. As the value of Bitcoins has reached new heights in terms of cryptocurrencies, people look to invest on other cryptocurrencies influenced by the profits of investing in ICOs.

As far as ICOs are concerned there is a very faint line between whether or not they are going to be profitable in the future. Although there are several talks going on around the investments made on ICOs, there are still a lot of individuals that get attracted towards them.




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