ICO’S (Initial Coin Offerings) have acquired a huge craze among the growing cryptocurrency community. It is a cost-effective capital raising method where blockchain technology will be used to power a product or a service. A specific amount of funds will be raised and fiat currency or cryptocurrency will be used to pay for the new tokens by the purchasers who are investing in ICO.
Some Areas to Evaluate to Avoid Becoming a Victim of a Scam or a Failed Project Before Undertaking Investment in the Initial Coin Offerings Are
- Analyze the background of the team members
- Understand the functionality of the token used in the project
- Look at the roadmap of the project
- Check out the quality of the code
- Observe the behavior of the community supporting the project
- Verify their reputation in the industry
- Analyze if all legal norms have been satisfied
- The protection offered in case of any threats
- Verify if they are following KYC guidelines
- Read their published whitepaper thoroughly
Read more at: https://www.blockchainappfactory.com/blog/factors-to-consider-before-deciding-to-invest-in-an-ico/
