How do you launch an Initial Coin Offering (ICO)?
Initial coin offerings, or ICOs as they are frequently called, are widely regarded as the first full Elements of the past of investment converged with new technologies such as blockchain ICO is seen as a pretty simple task. There is no doubt about the process’s simplicity. However, there are a few minor details that consider before starting an ICO. It is important to note that the project and token marketing are more important than the technological procedure!
A Successful ICO’s Precursor
On paper, launching an ICO appears to be a simple process. It regards to be one of the best methods of generating income. There have even been hoax ICOs that have raised nearly $200,000! However, the situation is different for those who have a genuine idea and are looking forward to the ICO as a legitimate fundraising mechanism that offers high returns to investors. A well-planned ICO can benefit both the company and the investors. A few simple actions will assure the success of your ICO.
The Most Important Steps to Launching Your Own ICO
Pass the Concept Through Crucial Filters
No! We’re not discussing the idea’s legitimacy [but that should be questioned as well]. We’re talking about determining whether your idea requires funding and whether those investments obtains through an ICO. Consider your ICO from the standpoint of investors — you must have definitive answers to the question, “Will they invest in your ICO?”
Recognize the Competitive Environment
There are times when you may want to introduce a new product or an innovative idea. Your product may occasionally supplant another typical product on the market. What benefits do you provide? Is it simple to achieve success? Even if you don’t have answers to these questions, it’s critical to find them, if only for the sake of your investors. It advises that you conduct a thorough competition analysis of your marketing landscape.
Maintain Legal Compliance
Relationships between legal systems and blockchain technology have proven tenuous at best. ICOs have the unenviable reputation of tarnish by numerous scams and errors. The regulations surrounding ICOs may not be evident in most nations, but they do exist. Except for South Korea and China, no other country has explicitly prohibited ICOs.
It is not enough to simply check the legitimacy of your firm; you must also consider the investor’s point of view. The legal system in the United States requires citizens to report all income generated to the Internal Revenue Service (IRS). The SEC takes measures to prosecute ICOs that fail to meet criteria such as KYC/AML procedures. Needless to say, having a legal staff that is continuously up to date on the newest laws and legislation is critical to the success of your ICO.
Make an ICO Token
- Your utility token is perhaps the most visible evidence of the start of your ICO. When you start your ICO, the first thing you need to work out is your token distribution strategy. Token sales can take place in several stages, including a private sale, a pre-sale, the real ICO, and a general sale.
- The method by which you raise funds is determined by the token distribution scheme that you choose. This million-dollar question has no one-size-fits-all answer. Some ICOs have managed to collect more than $16,000 by simply collecting donations to an anonymous wallet, while others have managed to generate more than $850 million in a covert pre-sale.
- The distribution strategy should also include the overall amount of tokens, tokens issued inside the team, and the number of tokens sold at each stage of your token sale. You should also go over the scenarios that might necessitate the issuance of more tokens.
- The blockchain on which you will launch your ICO is something that your ICO developer must take very seriously. The majority of ICOs rely on Ethereum for their ICO development solutions. There have been cases of corporations developing their own bespoke blockchain to serve as an ICO launch platform. Blockchains such as Waves, Stratis, and Hyperledger have been utilized in a small number of ICOs.
- Using Ethereum for your ICO development simplifies the process significantly. The required code is listed on the website. However, it is critical that your ICO developer change some portions of the code to meet your business needs.
White Paper
- The white paper is widely regarded as the most crucial document in the process of establishing an ICO. Although it is intended to be a technical document, your white paper should include a lot of specifics such as market study, your vision for the project, development strategy, architecture, commercial goals, and, most importantly, tokenomics.
- Your white paper can also be used as a passive marketing tool. The white paper should also include information on your legal compliance, accessible resources, and the credentials of your team, founding members and directors, early investors, and advisers.
- It is unusual for an investor to read every detail of an ICO white paper. However, we cannot rule out the possibility of that occurring. People who thoroughly study your white paper will spread the word about your ICO in the proper circles. These people might be influencers, and their words could matter a lot to an entire community of blockchain enthusiasts and investors.
Website
- Your ICO’s website is its public face. Even if they do not have direct access to your white paper, they will almost certainly visit your website. The website should be designed to be straightforward and simple to use. The main links on your website should be immediately visible and clickable.
- The content of the website should be written in such a way that it intrigues, informs, and then explains. It is critical to include information about your team, the goals of your project, and the steps you will take to protect the interests of your investors. You should also include information about your project’s roadmap and platforms of presence, particularly on social media and communication channels.
- Including a FOMO factor website and edifying your team’s qualifications and achievements ensures that your website becomes a marketing material in and of itself.
- Security is one area of your ICO launch services provider that should not be compromised. When your ICO begins, it is feasible that thousands of users will visit your website all at once. If your website goes down during such a busy time, it could have a negative impact on the image of your ICO. Your website should be safe from hacking, DDoS assaults, and other frequent threats.
- It is important to remember that your website is the ultimate destination for all of your marketing efforts. As a result, your website should be built in such a way that it is search engine friendly.
Promoting your ICO
Marketing and public relations are the finishing touches to your ICO formation process. An ICO Marketing requires significant costs, and it advises that you set aside a significant amount of money for marketing and public relations.
Marketing your ICO entails both paid and organic marketing, just like any other marketing endeavor. Communication is crucial in each of these industries. Participation in cryptocurrency networks and forums like as bitcoin discussion, ICO calendars, Reddit, Slack, Telegram, LinkedIn, and Quora is greatly encouraged.
You can also engage in traditional marketing activities such as email marketing, as well as new-age marketing activities such as running a bounty program. It should be noted that several advertising platforms have prohibitions on advertising ICOs and anything related to blockchain. Before relying on a marketing platform, it is suggested that you meticulously confirm compliance.
Starting your ICO
Your ICO is complete, prepped, and ready to make a significant impact. It is probable that many investors, regardless of their preliminary investigation, will wish to have a few last-minute questions answered before committing funds to your business. As a result, it is critical to be available to your investors around the clock during your ICO lunch. Furthermore, the launch is the most vulnerable period for a cyber assault. Keeping this in mind, you should also keep your security personnel on call at all times to handle any unplanned complaints.
How to Get Your Token Listed
Having your tokens list on a recognized exchange consider the moksha or Holy Grail of your ICO. This listing will ensure that your investors receive impressive returns. It is critical to determine insignificant details such as the currency’s name, trade symbol, coin logo, and project description. There are several exchanges, and their standards are sure to differ. Almost all crypto exchanges require the ICO source code before listing the currency and strongly advise that you provide a link on GitHub for this purpose. Make sure you do your homework before approaching an exchange, and your ICO will be ready to script and weave a success tale like many other ICOs!
Conclusion
Now that you understand the entire ICO launch process and have picked your ICO launch platform, all you need to do is collaborate with a fantastic ICO Development Company. There are firms that understand the market, your competitive landscape, technology, and the legal aspects of ICOs in each region. Before selecting the ICO launch partner, it recommends that you analyze all of the aspects.
