According to reports, Initial Coin Offerings (ICOs) have raised more money in the first quarter of 2018 than the funds raised in the whole of 2017. ICO funding has reached 118 percent of the figure from 2017, which means that ICOs are only getting more and more lucrative.
What is an ICO?
An Initial Coin Offering refers to an unregulated method of raising funds for a cryptocurrency. This is where companies release cryptocurrency to the market with a goal of attracting participants and investors.
However, the success of ICOs is partly because the companies involved are becoming wiser, making sure that they get more from what they are doing. So, how can you succeed with ICO funding? Here are a few tips to pitch your idea to investors.
Understand Your Goals
Just like any other project or campaign, your ICO needs to have its own goals and objectives. If you decide to launch an ICO, you need to have an idea of the project and the goals. You usually do this through a roadmap. A correctly written roadmap attracts the right investors and participants.
The roadmap explains the different timeline of the activities, ranging from the project development to its launching. Each stage of the project is written here.
Have a Strong Team
I have been a member of various ICO teams and the truth is that the most successful ICOs rely on their teams. These teams are made up of qualified professionals that run the entire process. These professionals are usually people that understand the blockchain technology and are committed to the establishment of a profitable and successful ICO project.
You need to include the resumes of team members on the blueprint so that investors can understand what each team member does and the qualifications of each. The qualifications are the ones that determine how much confidence the investors can have the ICO.
Have an ICO Pricing Plan
You will need to come up with a plan for your ICO launch. The plan you come up with depends wholly on the expectations and goals that you have.
Your pricing plan should help you get an initial investment from your investors. Remember, you need to reach a predetermined funding level in order to take your coin to market and add it to platforms such as ICObuffer.
Test Before You Launch
You have to test this system before you put it on the market. Make sure everything is in excellent order regarding the emails, website, whitepaper, social media channels etc. Look for any issues that might crop up and clear them before your launch.
After the testing, run a presale. The presale allows your investors to buy the tokens that you offer at a reduced price. This way, you give the participants lower rates and bonuses for jumping on board with you early.
The best part about the presale method? It gives your ICO power and momentum before it is even open to the public.