Wednesday 1 August 2018

Drawbacks and Commitment in an ICO

  1. Becoming part of the community
Adopting the open source method, you become part of a community of
users who in turn will have an interest in knowing what you offer.
The extent to which you engage with this community is up to you,
but it  will be of an added advantage.

  1. Maintaining your commitment:
The success of building a clear and good relationship with your investors or
buyers requires an open and honest approach to the project and reasons why
you are doing it.  Combining this with an ongoing commitment, will help you easily
get customers, buyers,, underwriters who will all recognize your organization
and its offerings.


Commitment

Giving your customers your word is important for the successful sale of
your offerings. You do not only have to give your word, you have to keep it also.
Your buyers need to be sure that you can commit to ensuring that the goals of
the project are met. Be specific about your goals for the project and how you
intend to achieve them.

Your white paper should be written in clear, understandable and simple terms,
so that the buyer can understand why they need to invest in your tokens. Be plain,
assume you will be needed to defend your every word in the white paper in a
courtroom because investor do actually read it before making investments.
Because you are going to allow your potential investors the opportunity to
access your whitepaper, stay true to every word you put down on your whitepaper.

Drawbacks


Because the technology of cryptocurrency which uses a trustless security
blockchain, in every ICO offerings, there will be one or more liabilities or
drawbacks which could include your code, offering terms, bugs, terms of
payment, taxation or securities. Investors always seem to spot liabilities quite
easily. Ensure that you have dealt with all possible liabilities that could affect
the sales of your ICO before the main sale, or, if possible before the pre-sale.
Taking care of liabilities in a proactive way, will help prevent future unforeseen
challenges which could have resulted from the liabilities untreated.

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