An Initial Coin Offering is a killer new way for startups and entrepreneurs to bring products and services to life without going through the painstaking and soul-sucking process of wooing VC firms in traditional capital markets, who will at best immediately own a double-digit stake in your company.
Rather than relying on the existing methods for raising capital the ICO, or Initial Coin Offering, allows one to receive funds in the form of cryptocurrency to help provide the runway necessary to continue building.
The advantage here is two-fold:
- Lower investment barriers for plebeians
- Eliminate waste of VCs and central banks
As a result of the ICO, the value of cryptocurrencies such as Bitcoin, Ethereum and Litecoin have been taking off so fast it’s becoming difficult to even grasp the wealth being generated and how quickly it’s happening.
Here’s a screenshot from the Coinbase App for iOS showing the explosive growth of ETH (Ethereum) since knowledge of the ICO started hitting the media:
After speaking with a number of individuals, both friends and strangers, about this the common response I hear is: I don’t want to invest in something I don’t understand.
This usually leaves me chuckling at the fear of the unknown. Risk takers are the ones who are rewarded the most. And to take risk in cryptocurrencies is so easy it would be a mistake not to invest at least something.
So here’s $10 of free bitcoin to get you started. From me to you. Because the wave you see in the graph above. You could be surfing it too.