Every day, blockchain-based startups are exploring exciting new ways to use cryptocurrency and blockchain technology to enhance our day-to-day lives. But alongside the technological advancements is the cryptocurrency market, known for its volatility and “pump-and-dump” investors—both of which, unfortunately, scare off traditional investors who’re genuinely interested in backing innovative projects.
The truth is that these blockchain projects need funding to get off the ground. Without serious investors backing these projects, the blockchain community can’t grow and the technology will never be able to benefit contemporary society. That’s why we’ve come up with a solution that benefits the startups and the investors: the Distributed ICO.
The Distributed ICO enhances the way projects grow by:
The advantage of the Distributed ICO is that it increases transparency through every developmental stage of the project. Smart contracts are used to release investment funds once the project has met the agreed-upon criteria laid out by their project roadmap. Not only does this help motivate blockchain startups to reach their milestones, it also keeps investors protected from scammers and “vaporware” companies that raise money and never deliver their finished product.
Before projects can raise money from investors, they must first create a funding plan based on their project roadmap. That funding plan is then divided into several periods, and those periods are broken down further into rounds. At the end of each round, investors have to answer the question, “Should the project continue?” If they vote yes, the end-of-round funds are released to the company and the project continues. If no, then the ICO terminates and funds are reallocated to the investors.
For the project founders, the advantage of the Distributed ICO is that it increases the legitimacy of blockchain investments, making the market more attractive for traditional investors. For investors, the Distributed ICO makes sure that the project stays aligned with their visions, as well as keeping them protected from scammers and underperforming projects.
Ready for the good news?
We’re going to be opening the doors to the first beta program for qualified Distributed ICOs really soon. You can experience firsthand how effective Distributed ICOs are at bringing blockchain startups and investors together to build innovative projects using blockchain technology. Learn more by visiting our website at ICOSuccess.com.
Proven Services For Running A Successful ICO.