Ico is how to build a blockchain. What is ICO blockchain - in simple words. Equalization of ICO, IPO and crowdfunding

The method of obtaining funding for cryptocurrencies from startups through ICO placement (Initial Coin Offering, by analogy with public offerings - IPO or Initial Public Offering) is gaining great popularity among the world, the obligation to obtain funds may become equalized with classic stock exchange finance.

I assume that further development of ICO business can lead to the third world war. The rapid development of the ICO business actually has equalized risks. We are little-known, due to the whole historical fact, that one of the main economic reasons for the Other World War was the American stock market crisis, because the economy itself was the primary cause of most military conflicts Iktiv, about what we know from sociology, conflictology, particularly V.I. . Lenina and Ayn Rand.

To put it simply, after the First World War, reparations drove Germany away from important economic minds, then in the 30s, the US stock market swelled to an unprecedented size. The stock exchange was crowded with investors and a lot of shares were bought on credit. The bulb suddenly burst, a crisis ensued, the United States introduced sanctions against Europe, literally, sanctions, and Europe introduced return sanctions against the United States (it sounds crazy!). It is now clear that the greatest crisis and the economies of two continents have plunged into economic chaos. The remaining one became a change of mind before the Nazis came to rule in Germany. Foggy with thoughts about the “hungry boat,” Europeans believed that it would be.

On another continent, the Great Depression began in the 1930s, which redefined the role of gold and payments in the economy. Before the era of mechanization, gold was the ideal equivalent of exchange for practical purposes - it is important, it is necessary mainly for embellishment, it is banally beautiful, and people only think about beauty on this boat, in the spaces between the distant plundered seats. It was then that gold was a surplus, which is important to obtain, and which transformed it into an equivalent economic power.

After the era of mechanization (closer to the twentieth century), the value of gold began to change sharply, human labor was everywhere replaced by machines. Energy began to emerge first: coal, naphtha and other fuel for cars. The process has accelerated nowadays (Fast forward). Pennies are no longer backed by gold. Naphtha became gold. Chi forever? In 2017, it is entirely possible that three people work at a plant in a decent region, but 15,000 cars are produced on the market, and the rest of the people will be replaced by robots. Bitcoin is the equivalent of a bid for the operator of the computational effort of the computer and can represent the economical effort. I think I have a sense of turning to gold.

Bitcoin has a number of other advantages - its transcordance is based on a fundamentally different model of trust, based on trust in mathematics, rather than the reputation of a third party. The main advantage of blockchain projects lies in the independent reputation of the trust system based on mathematics. Blockchain is a distributed system for storing data, the blockchain cannot be mathematically refined, the data displayed in the blockchain does not require the recording of any third party, including powers.

The traditional system of trust is a system based on the reputation of the one who is trusted, the power has the maximum amount of trust. In essence, how to destroy food, and what powers the powers trust - this is reflected in the concept of “power”, the ability of a power to conquer its own will of the people, and also by force dictate its minds to other powers. We trust the power, not in what it does right, but in what it can do against us in any emergency. This reputational model has a lot of trust in the power model, the guarantor of trust is the military power of the state. The mathematical system of trust is based on mathematics, which, as we know, is an exact science and in this system, with accuracy, there is always only one truth.

The reputation model is to take revenge on one’s own self-confidence – the integrity of one’s reputation itself. Behind the great rocket, there is the power of “power”, which will ensure the trust. The very nature of the reputation is a price barrier, which allows the expansion of the number of participants in the investment market above the main one. For example, a bank with a state license and state guarantees has the greatest reputation. Ale in the current bank, 80% of the staff – this is compliance, which is essentially the “power” that will ensure its reputation. This is why the system does not allow money to be made in small and medium-sized businesses - it is entirely logical to financially supervise the concept itself. Whatever your reputation is, you value it. An audit from PwC is not cheap.

The basis of the economy is the product and its product. In any investment process there are indicators of liquidity, when they are reduced to the lowest level, when the investment in a non-liquid product reaches the highest level compared to the investment in a liquid product, collapse inevitably occurs.

A prototype of a possible crisis in the Bitcoin model was already seen in the famous dot-com crisis in the 2000s. The main reason is that investments were made under a new economy, in which the word “Internet” actually replaced the real product. The main value of the Internet from an economical point of view is the reduction in the cost of the product due to the savings on transport and communications. As these companies saw and developed, economically, the Internet warehouse became a real cost-saving factor, for example, Amazon and Ebay.

The process that currently takes place in ICO is similar to the history of dot-coms, the fragments of money are essentially included in the word “blockchain” - without the real significance of the blockchain in the product, the main meta of the new technologies in any economic product is not reflected Iya.

How to overcome the Bitcoin crisis and the upcoming global drama? The famous investor Warren Buffett popularized the concept of capitalization of the stock market and GDP. It is possible to compare the economic indicators of the current hour and period, which is transferred from the First World War - US GDP and stock market capitalization (CFR) in the USA, with capitalization of the technology market of the NASDAQ company: 1929 - US GDP became $103 billion, capitalization of the stock market - $89 billion (or 86% of GDP), and in 2016 the GDP is already $18.56 trillion, the capitalization of the stock market is $23.8 trillion (or 128% of GDP), and the capitalization of NASDAQ is $6.8 trillion

The capitalization of the US stock market exceeds GDP by approximately 30%. After the megacrisis passed, even as these figures approached one to one, in the dot-com crisis the capitalization target to GDP was already 150%, and then the dot-com crisis diminished even due to the poverty of the other twins and the violation of the famous Patriot Act. Today, the capitalization of the high-tech market will become 28% of the capitalization of the entire stock market in the United States, and 36% of the US GDP, so the rapid development of the high-tech market after the dot-coms has given rise to ranking in the estimated liquidity of goods and real valuations. Vaughn is not at all inconspicuous.

If we equate Bitcoin with the main economic indicators, then the total value of 16 million Bitcoins (btc) in circulation at the rate of $1350 (at the time of writing this article) becomes $21.76 billion, which is less than 0.1% of capitalization ї stock market in the USA or 0.32% View NASDAQ. So, if the capitalization of Bitcoin were equal to that of the NASDAQ in the future, the rate could be approximately 300 times higher, then. $405,000 for Bitcoin.

Forecasts for the beginning of 2017 for the fate of the first investor in Snapchat, billionaire Jeremy Liu, and the founder of the largest technology company Blockchain, Peter Smith, together with entrepreneurs from Silicon Valley, to whom Politicians Barack Obama and David Cameron listened closely, the value of Bitcoin exceeded approximately $8.1 trillion (or 126% of NASDAQ capitalization for 2017). Thus, the ratio of capitalization to GDP, since capitalization of Bitcoin will be mainly in the United States, can reach close to 200%. It is possible that the capitalization of Bitcoin will organically replace the capitalization of NASDAQ itself.

At this time, the Bitcoin economy is de facto operating in a parallel reality. All projects and possibly all funding that has been received are in the pre-seed stage. In fact, this process has not yet taken part in the real economy. Therefore, the turning point, according to the opinion of other experts, is that I do not at all value the transfer of Bitcoin to the legal market in Delaware, Japan or Switzerland as a payment method. The turning point is the model of development of ICO business, which is essentially a model of penetration into the real economy, the moment when, through bitcoins, funds are invested in actually operating business enterprises, in the same Facebook.

The axis at this stage itself reveals the fork in possible paths of development - will there be a logical outcome in the model of capitalization of the real economy? Therefore, the product will actually increase in price for the use of new technology in a similar way, and not change, instead of saving on trust, you will end up having to pay three times more to auditors for auditing the blockchain and paying for taxes paid in third. There are a number of state gifts that can control the circulation of bitcoins.

With this, based on the forecast of Jeremy Lew (with the rate of growth of the exchange rate up to 2030), the entire technology sector of investment will already be capitalized by Bitcoin. As soon as Google and Facebook bankrupt their capitalization with bitcoins, nothing terrible will happen to the global sense, as happened in the situation with dot-coms. Until 2030, it is likely that everything will be transferred to Tesla running Linux for Google maps, and in 2030, Facebook and Google will go bankrupt, so in the very mechanism of investment, the digital economy is at the stage and the ICO development was allowed a logical compromise, then Naslidki with the imminent collapse of the world, there will be a great depression in the 30s, which could lead to a military conflict of equal scale.

How can one become a pioneer of this galusia? They will be those who will be the first to be able to transfer current enterprises to the blockchain with the real value of the technology, thereby becoming a new digital economy.

In my opinion, a real ICO blockchain project without creating the effect of bulbs is possible with the regulation of offensive factors:

1. All 100% of the company’s shares may be held on the blockchain. In this case, you can withdraw even more of this part from the ICO. In this case, it would be reasonable to transfer the real voting power to such shares. The power of such token-shares reflects the real power of shareholders. At the moment, there are no jurisdictions that are actively working in this direction - for example, the Zug Valley in Switzerland, where we have already successfully implemented a similar project within the framework of the ICO Lykke, here at Nasdaq in Estonia, here in the state of Delaware in the USA (where further developments will be found). and at the sickle) 2017), the Marshall Islands, the Man Islands, African Rwanda and in.
2. The form of entrepreneurship may be driven by blockchain. In this case, the growth and decline of business indicators will be independent of the current audit. In this case, it will be noticeable and create an overbearing and unnecessary varity.
3. The product must take away the real savings from the new trust system, so it will be more competitive. Until now, I have not been able to identify projects that really satisfy this criterion other than Bitcoin itself.

In general, I am absolutely convinced that the development of blockchain investment may be happening in the near future, but it will not necessarily be inspired by the reputation model, since it is directly in line with the logical concept of the system, inspired by a fundamentally different mathematical principle. Go to the food and trust.

One of the reasons for this interest is that in blockchain technology the result of the formation of a distributed database is immutable and confidential information about the right of the owner to the asset. The assets can be completely different. If we create a blockchain system inclusively for the promotion of cryptocurrency, then this will be the ultimate asset. In blockchain, for example, we can store information about the power of the trigger, and then our main asset will be the right of power itself.

In this case, we do not care anything in the system about the formation of rights of power and foreign currency, which in this case will be an additional asset. So, on the blockchain we save data about the rulers, and to pay for the change of record about the ruler, we can use an internal coin. An asset has no economic name, a token has no name, it has no name, it is technological, and in both cases we are talking about the basic right of the subject to something.

The blockchain, for example, may have information not about the power to pull the trigger itself, but about the right to the results of its activities - eggs, and will still be our main asset. Naturally, the butt with a trigger and an egg can seem quite absurd, although in practice this is already being implemented.

The most logical and primary direction for the stagnation of the technology of the divided register is, perhaps, the sphere of inviolability and the rights associated with it: power, lease, usufruct... impersonal options.

Essentially, an ICO is a public launch, within which the project sells a portion of the power tokens. Moreover, more often than not, money is collected from cryptocurrency – projects are starting to earn fiat money. For example, a crowdsale that recently took place at Fiat, collecting an amount that was entirely equal to the amount collected in bitcoins.

Venture financing comes in two forms: either through lending or through sales of shares in the company. At the first stage, the project may be able to recoup the money spent by paying hundreds of hundreds of dollars in fees. This is where the investor's interest lies in the investment. In another type, financing is irrevocable, but the founders of the project give part of the company that belongs to them. The venture investor, as compensation, takes part of the profitability of the business.

One more word that comes into play for the purpose of ICO is fundraising. For example, lawyer from the ForkLog team Vladislav Likhuta uses this term in one of his articles. I quote: “Close to 5,000 BTC – the very same amount of money received by the MasterCoin project (at the same time Omni) during the first cryptocurrency fundraising in the history, which took place in 2013.” With such an interpretation, in my opinion, there is even more confusion to understand. And the line between crowdinvesting, crowdfunding and fundraising is completely erased.

Here, in my understanding, there is a fundamental understanding: ICO is a form of collecting investment funds. The founders of the project are obligated to support the same principle of nutrition - why is the token more valuable? Since the project does not increase the price of coins, it is not crowdinvesting, but rather fundraising, in order to collect donations.

In summary, it can be stated that the first paradox lies in the fact that, by its nature, ICO is one of the forms of obtaining an investment, and in practice, people give up money simply for the idea, without paying for their insurance in any way. butkom.

Moreover, there is no clear line that separates fundraising, crowdfunding and crowdinvesting, but still, ICO would like to see one important line. These schemes have one hidden power: the people who invested pennies in the project help them create a great product. And then the axis begins to be difficult. For his assistance, fundraising is not guilty of taking anything away. Crowdfunding provides the opportunity to “buy” a product in advance at a lower price, resulting in significant savings. From crowdinvesting (ICO), the investor buys a token that can potentially increase in value, bringing income to the future. Fundraising is not just a desire to support, crowdfunding is saving on the discounted price of a future product, and crowdinvesting is the profitability of an investment.

Let’s repeat once again the smut of any ICO – why is a token more valuable? Thus, the axis of another ICO paradox lies in the fact that the profitability of the investment in the token project is practically in no way connected with the income of the project itself. Any value that is inherent in the token itself is included in the final product of the project.

Take, for example, a project that is a leader among Russian ICOs. This project is a platform whose product is the cost-free creation of decentralized online services based on the blockchain. Such platforms were created so that, on their own basis, other people could create all sorts of solutions on the blockchain, and the platforms themselves would not charge a pittance.

However, the coins they put up in their ICOs are being used to pay for transactions on these platforms. Investors who bought their coins at the ICO do not become owners of future products, they do not have rights to any future products. They take away the coin that is being created in the middle of the project, and its value lies in how many services will be created on the basis of this platform. There is no direct resale here, as is often the case with crowdfunding. Moreover, if a project sells a coin for “internal” use, it does not have the same obvious right to use.

However, there are other ICOs in which tokens contain the right to use a specific asset. For example, he himself will secure his tokens with future industrial products.

Rarely do projects come along that promote the right of token holders to receive a share of the income generated by the project itself. As a rule, these are tokens of crypto investment funds. In case of illegally accepted distribution, the project will not receive any income between the holders of tokens.

Another paradox: the profitability of an investment in an ICO is in practice not related to the profitability of the project, let’s say, a profitable project, while most projects do not earn money, but rather spend money, which can bring income to the investor.

Receiving investments through the initial placement of coins is a very young instrument, which in itself reveals paradoxes, such as situations that can be true, but do not have a logical explanation.

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Initial Coin Offering or ICO is the process of issuing, in the form of a cryptocurrency project, special coupons or tokens for which the company’s services can be paid to the future. Thus, a new model of crowdfunding is being implemented, when people finance a project today in order to save money from the future.

The ICO market is actively developing - and for companies related to the blockchain sector, this tool for generating capital is already bring more pennies, less investment from venture investors. The first time you conduct an ICO, be sure to look at what tools you need and analyze their pros and cons. In our today's material, we will analyze three blockchain technologies that allow the issuance of tokens for sale during ICO - Ethereum, NEM and Waves.

How many pennies do you get through ICO?

According to Coindesk's damning report, at the beginning of summer 2017, blockchain projects received $327 million from additional ICOs - more than what was contributed by venture investors ($295 million for the same period).

Conducting ICOs is becoming a popular and effective way to raise capital virtually in real time - in 2016, this method generated more than half of the $500 million invested by venture capitalists, and in the first quarter of 2017, this method brought benefits to projects no more than a third of capital, then Already in another quarter the situation had changed. During this period, companies received $291 million through ICOs, while traditional investment schemes generated only $187 million.

However, the expansion of new decentralized platforms and independent blockchains makes it important to choose tools for organizing ICOs. Next, we will analyze the characteristics of the three most popular blockchain technologies.

The technical side of the blockchain: the number of transactions and algorithms for consensus

Number of transactions with Ethereum in the remaining hours trimming at the end of the day, approximately 280,000 per day. This means that approximately 3200 Ethereum transactions are completed per second.

In the spring of 2017 rock distributors Waves stated about those that the number of transactions on the platform exceeded 10 thousand per day - when stating “throughput”up to a thousand transactions in a second.

For tributes According to the Nemermind resource, the number of NEM items exceeds 2000 per day, and the productivity is robotic can you reach 3000 operations per second.

Now let's move on to another important aspect of blockchains -algorithms in consensus.

In addition to the primary distribution of databases, blockchain systems may always have a central administrator, so they are also decentralized. This is related to the problem of the network nodes reaching a different point of view on the transaction log at the network branches. It depends on the help of specialized consensus algorithms.

Sleeping a number of basic algorithmsconsensus, which is how blockchain systems work. All three technologies that we are looking at today are based on their power in the implementation of different types of algorithms.

For example, Ethereum is now working on a consensus algorithm based on the platform "prove vikonannya roboti "(Proof of work, PoW). This principle was established even before the advent of cryptocurrencies to protect against spam. Such algorithms rely on the fact that the notification hash, combined with a special field (nonce), will be less than a single value or count from a single number of zero bits. The nonce field is not included in the information itself - it is necessary for the author to go through the evidence to determine the exact meaning.

The very name “proof of robots” was explained by the fact that in order to select a nonce it is necessary to create a calculating robot. The proof of work is similar to a digital signature - it will ensure the integrity of the information, since the reliability that one nonce is suitable for different information is extremely small. The Ethereum language is a powerful implementation of the PoW algorithm called .

The consensus on the PoW algorithm has a fundamental shortcoming - to ensure security, it is necessary to eliminate the “unnecessary” robot. Computational efforts and resources are spent without any cost.

In attempts to solve this problem, algorithms have failed, as robots do not care - one of them has abandoned the name “proof-of-stake” (PoS). When you replace the victorious singing robot, the university measure shows the presence of parts in the system - for example, it may have a balance of funds that is set to zero. As a result, to mine for additional PoS, you simply need to have a reserve of cryptocurrency, withdrawing from it for a round of hundreds.

Regardless of the fact that the implementation of the PoS algorithm is difficult, the author of Ethereum Vitalik Buterin having voiced about the upcoming transition to a consensus algorithm for proving the part. The document he published says that at the first stage the system will become hybrid - it will simultaneously include proof-of-work, and Buterin created a PoS system .

Retailers of Waves merezhi from the beginning picked up as a consensus algorithm for the PoS protocol. They created a powerful implementation of the algorithm, which allows transactions to be completed within an hour, identical to the version that is used, for example, in the blockchain. nxt.

The version of the algorithm is called Leased PoS (LPoS). In the original PoS system, the skin node has a reserve of the main meter token - this time it is possible to generate a block proportionally with its part. Waves has implemented a back-end system, in which payment processing is transferred to the so-called “full nodes” - so nodes that can save the entire chain of blockchain transactions, as well as the primary “light” nodes to increase the productivity of saving They do not provide any information to be conveyed to themselves.

Another approach can be called a lower level of security through those in which payments are processed on a smaller number of nodes. To reduce this effect, the mechanism for creating balance in the hiring of light knots was introduced. By transferring their balance to a trusted full node, light nodes increase their chances of avoiding collection from transactions ("supernodes"), and the new node can generate a block with greater confidence - even their balance will be "larger" " There is no real transfer to the balance.

In their own way, the creators of NEM advocate a different approach. The first blockchain algorithm is based on the reputation of the skin record. We renamed the algorithm proof-of-importance (PoI). The algorithm is based on the fact that cloud records with a higher reputation are more likely to generate an offensive block.

The POI algorithm is less powerful than the computational effort of computer-based computers, as its alternative. However, in order to advance their activity until the collection of new blocks, nodes need to achieve great obliga- tions in the vicinity of their parts, which is not easy to achieve.

Popularity of blockchains

Ethereum is the most popular and broadest blockchain technology after Bitcoin. Its capitalization is also on a different level and now exceeds $28 billion (for Bitcoin it is over $68 billion). NEM takes sixth place in capitalization with ~$2.5 billion, and Waves is just gaining popularity - 16th place and nearly $525 million in capitalization.

Ethereum is also the most growing blockchain platform, showing the best results of market growth among projects alternative to Bitcoin:

Based on the analysis of the material technology, Ethereum itself has the largest number of tokens - they are available over 4800 , same as Waves of other tokens no more a couple of tens. Number of Ethereum cloud records exceeds 5.3 million, Waves has a little more 81 thousand of confidential data on NEM are not published.

To understand how popular this other cryptocurrency is in the country, you can further analyze the traffic on the official websites of blockchain projects. So, for data from the Similarweb service, go to the Ethereum project website over 5.6 million koristuvachs per month. This technology is popular in Western countries - the USA, Great Britain, Canada, Germany, as well as in Russia - and those from our region are in another place after America:

A similar situation is developing for the Waves project - on its website come in 575 thousand people per month, and the distribution of popularity by region may almost repeat Ethereum - although Canada is occupied by the Netherlands. The interest of Russians in this project is growing.

We can boast about the NEM project supply in the area of ​​535 thousand. special for the month - when in another place, for the number of transitions to the resource, there are buyers from Japan:

One can note the consistently high interest in various cryptocurrencies among investors from Russia.

Visnovok: where to conduct an ICO

At the moment, Ethereum is the leader among ICO tools. Ethereum has the largest number of investors and the largest amount of money in the world - this is a sign of capitalization. Created on the basis of this blockchain, the cryptocurrency Ether is practically available on all exchanges, Ethereum tokens are easy to add to the Maidan trading, which is more related to the Hamants system.

This increases the confidence of potential investors and reduces the risk of security for the accumulated funds. Plus, the Etherium ecosystem has been developed, and different programs can interact with each other. Moreover, most ICOs are carried out on the Ethereum blockchain, as ICO project KICKICO — platforms where anyone who wants can conduct an ICO without any technical or marketing knowledge. Campaigns launched by authors on this platform will also conduct ICOs on the Ethereum blockchain.

On their side, the less popular Maidan activists are less developed and the lesser the commission.

Another potentially promising approach is a combination of traditional venture financing with funds received through the issuance of tokens. This is how, for example, project teams found themselves Brave, Civic and Kik.

The final choice of the maydan and the method of obtaining funding depends on the needs of a specific project - if you need to get more money and save more money, then choose the popular Ethereum, and if the important ones get more brilliant minds nya koshtiv, vikoristovuyut other resources.

Do you want more new products?

New technologies appear in all areas of real life. One of the areas that is developing with great growth is business. If you all want to earn more money, you need to find new ways.

The release of a legal cryptocurrency, which is being used by a large number of entrepreneurs, in order to promote interest on the part of investors.

What is ICO blockchain in simple words? To explain in two words, this is the issue of your tokens (coins, altcoins), which you can pay for your services and goods.

If the proposition is true, then interest in the currency increases, which causes an increase in the exchange rate and resale. Businessmen stimulate interest in their projects, and investors make money on resale.

What is blockchain?

Anyone who is actively interested in cryptocurrencies has already heard about blockchain more than once. This technology is used by all altcoins. In essence, there is a register created to save data.

To put it even more simply, the database is divided into a number of computers, united into one large network.

We cannot imagine complicated terms and are buried in technical features, which is why the article is intended for beginners.

After installing client programs on the PC, the client is connected to a large extent and his system is also configured to save and transfer data.

As a rule, the blockchain is used for cryptocurrency transfers. When carrying out a transaction, maximum security is ensured.

It is impossible to change or expand a record in the database. It is saved on hundreds of thousands of computers of other companies, which are distributed all over the world.

Transfers are processed by the mittevo, the commission is set by the sender, the delivery of third parties is disabled. Plus, transactions are carried out with complete anonymity.

This itself is driving interest towards cryptocurrencies, and government authorities have long required payment systems (such as Webmoney and QIWI) to verify the passport data of clients.

What are your needs for cryptocurrencies?

Before you can spend, invest pennies or spend an hour, you need to know everything thoroughly. An analogy with cryptocurrencies can be made many times a year. It is easiest to explain their meaning in the example of bonus coupons.

Find out that every store sells coupons for 5 rubles. By purchasing them, you can buy up any expensive equipment at a great discount.

You want to buy coupons and immediately spend them, you want to buy them for resale at a higher price, or you want to buy an asset in order to save it for a long time, reaching the highest possible rate.

Rough, but still a good example for explaining to newcomers what an ICO blockchain is. So, great companies are introducing new tokens, using them to buy or pay for their services.

Only its popularity went a little in a different direction. Don’t bother anyone, these other coins were actually issued, so they can be re-circulated.

How can you become the lord of cryptocurrency?

The simplest way to become the owner of any coins is to buy them. For this special purpose, altcoins are increasingly appearing on exchangers.

We need to make a deal first (or you can save coins in the account of any exchange). When it comes to Bitcoin, the best programs are available on Bitcoin.org.

The interface on the exchanges may differ, but the essence is the same. From now on you will be reminded of the terms in dollars and rubles:

Then you need to create an order (application) or speed up the positions of other traders. You won't get a chance to check this vipadka. Please be assured, the exchanges themselves do not buy or sell anything, they only act as intermediaries for people:

After purchasing coins, you can check for changes in their rate and resell them. For this purpose it is necessary to withdraw from the reverse order. Change tokens to fiat currencies, instead of the “Enter” button, click “Renewal” and select the manual method.

You can transfer it to your exchange for long-term savings, and then you will also have to transfer it to the exchange in order to transfer the cryptocurrency to the ready account.

How to buy cryptocurrency?

There is a whole section dedicated to cryptocurrencies in our area. We constantly monitor our projects, learn about new ways and share them with our readers.

If you want to earn crypto money with your own hands or start investing in them without buying currency, try these options:

• viewing sites using the extended Bitter browser;
• distribution of free bitcoins on Swissadspaysfaucet;
• no-cost bonuses, games and games on Bitgames;
• investments in dark mining HashFlare;
• gloomy mining (can be printed without inserts) Eobot;
• simple, gloomy and mobile mining on MinerGate;
• free bonuses and goodies on Freebitcoin;
• There are different types of investments in Bitcoin on Cryptotek.

Cashiers collect Bitcoins and their analogues in a variety of ways. The most popular coins appear on thousands of sites, their owners buy cryptocurrencies and use them to pay money to their cryptocurrencies.

Individuals themselves obtain digital currency through additional mining. From these projects you are taking money, and we ourselves are profiting from it.

What does ICO blockchain mean?

New things are constantly appearing in the business sector, and ICOs are becoming more and more common. The abbreviation stands for initial coin offering. It is much simpler for other approaches (including IPO).

ICO is based on tokens. Their release is subject to the addition to the blockchain of a transaction with a description, for a single number with unique IDs.

After the release of coins, any number of them will be sent to any address in the blockchain. It seems simpler, on the basis of connections to the limit of koristuvachs.

As a rule, ICOs don’t just sell new coins, they also exchange them for popular cryptocurrencies. Here no one controls anything, most often it is decentralized.

Through those that have no regulators, great risks appear. It is necessary to pay more attention to the reputation of the company. For what purpose do authoritative koristuvachs come into play?

We are looking to name the TOP people who want to join the blockchain in ICO. Since it is not possible to raise the necessary amount for the implementation of goals, the money turns to the rulers of the altcoins.

Cryptocurrency, blockchain, ICO – what does it have to do with it?

We talked about all the important points that link the 3 ideas into the subtitle of the concept. Blockchain is a database, the basis of robotic digital money.

Cryptocurrency is the very asset that traders marry in order to earn pennies. What is an ICO, it is a business model that companies implement to attract investors.

It is often understood that ICO startup. Vono means the emergence of a new cryptocurrency. While the coins have not become popular, they are sold at a minimal price. How to make the right investments, from which you can make a solid profit.

Most people don’t know that if the Bitcoin rate was less than $1. Now the trend has risen to approximately $5,600. It was enough to buy (or earn) $10 and transfer it from Bitcoin to become a millionaire.

The model of obtaining investment from businesses through ICO has gained great popularity in 2017 and is now becoming competition for venture capitalists. How can the project release cryptocurrency? According to Ganna Mandryuk, a specialist in the marketing and sales department of the AB-CHAIN ​​company, advertising on the Ethereum blockchain, she received over $2.5 million from ICO in the beginning of 2018.

Blockchain technology or the technology of a distributed registry is a technology that allows for decentralized management and storage of data about any transactions with digital assets.

Anything that is useful can be a digital asset – “from a movie to a folder on your desktop,” as Jean-Pierre Buntin, an expert in fintech, writes. Cryptocurrency assets are a private butt of a digital asset.

In case of cryptocurrency assets, the blockchain stores transaction data. Data about each new transaction is recorded in a block, which stores data from the previous block, and so on. In this way, a series of blocks with data is created - this is the very name of the Blockchain technology. With this It is practically impossible to make changes to data that has already been transferred to the Blockchain What to do with the technology itself, which is reliable and safe. All blocks are simultaneously stored on multiple computers connected to the blockchain interface, so that data management is decentralized.

Bettina Warburg at TED “How blockchain can radically change the economy”

Blockchain technology was first implemented in conjunction with Bitcoin in 2009. Together with the creation of Bitcoin, digital currency and cryptocurrency (parts of which are encrypted), it became possible to exchange assets as easily as we know. To exchange cryptocurrency, there are special gamuts that save the address where the cryptocurrency is located and which is visible to everyone, in other words, the public key. Only the ruler of the gamut has access to the cryptocurrency that is on this gamut, with the help of a special key (Private Key).

Smart contracts and tokens

It is important to understand that different blockchain measures can bring different ideas into life. The idea behind the Bitcoin network is decentralized payments. Blockchain developments moved on and brought into life the idea of ​​“working with the Hamman,” opening up the ability to write programs that work with the Hamman. These smart programs are called smart contracts.

The flagship of the implementation of the idea of ​​smart contracts is the Ethereum blockchain, which has been in operation since 2014. All games in Ethereum are managed either by people or by autonomous programs.

The design of smart contracts can be changed in practice. In the world of cryptocurrencies, smart contracts have seen a massive expansion as a new and accessible financial instrument. At the blockchain interface, you can create a smart contract for a new cryptocurrency, token and sell these tokens at a set price: either in another cryptocurrency or in a fiat currency (dollars, rubles, etc.), in this way you can get money for the development of a new project or a decentralized one addendum, In every vikorist there is a token. This process is called ICO, Initial Coin Offering and the initial placement of coins (tokens).

The token is distributed as a primary cryptocurrency to Bitcoin, Ethereum or other altcoins so that creations and in the middle of the blockchain, and not in the middle of a power blockchain, like Bitcoin and altcoins. Tokens must be classified as utility category - basic tokens. This means that tokens can act as an internal currency for the project. Tokens are traded on cryptocurrency exchanges simultaneously with other cryptocurrencies.

2017 saw the birth of a major ICO boom. Over 1,000 projects have launched a fundraising campaign to raise funds through Blockchain. The total investment in such projects exceeded $6 billion, which is close to 1-1.5% of the increase in the global market capitalization of the crypto market for 2017 (nearly $600 billion).

Equalization of ICO, IPO and crowdfunding

ICO is similar to crowdfunding: the creators of the project, the investors, and the two parties interact directly. However, in crowdfunding, investors are asked to commit to a future product, since money is collected for the launch of any kind of production or comic book, for example, then ICO investors get their token. The token itself may be frozen in the middle of a future project, so that you can buy services for the tokens.

ICO is also often compared to IPO, but besides the name, there is nothing similar between these two models. Issuing a company's shares on the stock exchange is a highly centralized procedure that conveys a number of nuances during the process associated with regulators. In addition, the company's shares actually entitle the owner to a portion of the company's profits. Also, most of the owners of the company's shares have the right to vote at the meetings of shareholders. The token does not give rights to a share of the profits, nor to participation in the project voted on and including a financial instrument.

Riziki ICO

When conducting an ICO, all responsibility falls on the company that issues its cryptocurrency, and the greater power does not protect the rights of investors.

The main risk for projects that are planning to release their token is the high volatility of the cryptocurrency market. A project that collects cash on an ICO may be faced with the problem of converting these coins from fiat: within an hour of entry, the cryptocurrency in which the cash was collected may lose value.

Problems may also arise when the money collected from the ICO is declared in the company’s official documents. U link with zim Please pay special attention when choosing a jurisdiction for your ICO. At this time, it is far from common for the regulation of cryptocurrency to provide a problem-free solution for projects that are going to launch an ICO.

Instructions for conducting an ICO

From the moment you decide to release your token before the completion of the ICO, you can go through the process.

Reaching investors, marketing operations and public appearances by the project team are carried out at all stages, and the entire process of conducting an ICO from preparation to implementation can be shortened to six points:

1. formulating the idea, budget and project team
2. writing the main company document: whitepaper
3. select a platform and redeem a token
4. Company registration
5. ICO and PR
6. Vikonannya zobov'yazan and exit to the exchange

Formulation of the idea, budget and project team

At the initial stage, you should evaluate how suitable the ICO is for the project. As soon as I introduce a new project that is at the idea stage, It is necessary to consider the role of decentralization and token. The most popular is earning money from ICOs from young technology startups with global capital.

ICO is suitable for business in any field, it is important to develop such a concept for the project of a token that would be a global issue: most often investors come from different parts of the world, cryptocurrencies in general are not tied to a specific ї territories. The token can be a payment method, a bonus, or a like. In gaming programs, for example, tokens can be earned as bonuses and used for purchases in the game.

The ICO project team consists of founders, developers and managers. The main figures of the ICO team:

• CEO (Chief Executive Officer or General Director)
• CTO (Chief Technology Officer or wire distributor)
• CFO (Chief Financial Officer or Financial Director)
• CMO (Chief Marketing Officer or Marketing Director)
• developers and blockchain developers (architecture: front-end and back-end, smart contracts, design, etc.)

In addition, together with the team, the project is overseen by supervisors - external consultants. The supervisors play a role not only in assisting the project from the technical side. It is important that the project’s observers already have successful confirmation of work with other ICOs The fragments of this immediately flow into the level of trust in the project on the part of investors. It will also be an advantage, since the supervisors of the project will be accountants from various areas related to the subject of the project.

When estimating the budget for independently conducting an ICO, you can look at the numbers that third-party companies provide. Turbocharge about the ICO of such a company will cost the replacement company $50,000 - $500,000 (from 3 to 30 million rubles) It is necessary to provide a set of services (writing a smart contract, creating a website, preparing a whitepaper, etc.). As a rule, marketing is not included (or is included only occasionally), and marketing is another item in the budget after the team’s salary.

Writing the main company document: whitepaper

The main document of any ICO is its “white book” or whitepaper. The entire team may devote their efforts to the preparation of this document, so that on the basis of new investors, they can make decisions and invest in the project in any way (and in any case, how many).

Main benefits of replacing Whitepaper:

• describes the team's work on the project, the place where the company borrows money from the market, as well as the decisions it makes
• roadmap - a roadmap for the project, which illustrates the terms and stages of development of the project
• the number of tokens issued, their role divided among the team, prospects and investors

Vibir platform and token redemption

Today The most popular blockchain platforms for creating smart contracts are Ethereum, Waves, Nxt, Bitshares, Nem. Ethereum is deprived of a wired platform for the development of smart contracts for ICOs, whose blockchain itself has the largest communities and, apparently, the most information in public access.

On the Ethereum blockchain there is a popular platform KICKICO, on which you can launch an ICO as easily as a primary crowdfunding campaign. On this Maidan it is possible to conduct an ICO “on a turnkey basis” for 4% of the proceeds received from the wine city.

The skin of blockchain platforms, due to the possibility of creating smart contracts, has its responsibilities at the same level of confidentiality: There will be public and private blockchain boundaries. The creation of smart contracts is accessible to people without programming skills: there are open access templates for smart contracts, which require only a few rows to be replaced.

The name of the token can be avoided or the name of the project can be avoided. When choosing a name for a new token, you need to pay attention to the fact that its three-letter abbreviation does not interfere with tokens and altcoins. You can check the list of tokens on Coin Market Cap.

Company registration

Some of the most friendly jurisdictions include:

• Switzerland
• Singapore
• Hong Kong
• Estonia
• United Kingdom
• Gibraltar

This region actively develop a business environment for cryptocurrency projects. ICOs are also often chosen by classic offshore jurisdictions.

Some countries have completely embraced the ICO and introduced a ban on cryptocurrency. These countries include Ecuador, Kyrgyzstan, Bolivia, Bangladesh and Nepal. Harsh exchanges occur in China, Thailand, Vietnam, Iceland.

Russia still does not have a legislative basis for regulating cryptocurrencies. On February 20, 2018, before Derzhdumi, the bill “On digital financial assets” was introduced. The law can begin to praise you in the spring of 2018.

Stages of collecting money for ICO

As a rule, ICOs are carried out in several stages:

1. offer
2. Closing of token sales (Private Sale)
3. advanced token sales (Pre-ICO or Pre-Sale)
4. Main Sale of tokens

At the offer stage, information about ICO planning is posted on the bitcointalk.org forum in the altcoin section. The project team can thus remove the turning point from potential investors and further evaluate the proposition. At the time of the offer, the terms for the implementation of the idea are voted on, a whitepaper is published, The required amount is set for which, in which case the team declares Soft Cap, the minimum amount for collecting and Hard Cap, the maximum that can be collected for the project.