What is ICO?
Quite often, everyone discusses investing in cryptocurrency. Can buy $Bitcoin now or better to wait, they will give it lower. Then I'll sell it at a higher price, somewhere five times higher than I bought - I'm a genius. Yes, it is a true investment, for the long haul. But did you know that you can also invest at those stages when the project does not even have a coin, maybe nothing, just an idea.
Yes, such investments exist, in particular, they are one of the directions. Since the project can evaluate itself and set a price for investors, and they choose taking the risk. To invest or not, it's up to everyone, if you have the opportunity and you see that the project is underestimated relative to competitors, then this is your gem.
But what am I talking about, we have already gone into the depths of the concept, but I still have to give you the meaning of ICO.
ICO (initial coin offering) is the first placement of the price of a project to the public with a designated price and entry threshold. As a rule, it is difficult to get into good projects, but it is possible. And by investing a few hundred dollars in a project without a token, but at this stage already with a working or almost working product, you can get a good profit.
With such sales, the project itself determines the conditions for unlocking your coins, this can be immediately on the TGE (token generation event) - the initial placement of coins, or after a certain time. It can be weeks, months or even years.
Quite a large number of the community chooses this direction for making money. Since long searches and research projects, many projects, over time, make it possible to find your gem. For example, a fairly popular project that anyone could join is $Flow. By investing $1,000 in it, which was the maximum limit, you could exit the first half at 150x. That is, with $1,000 it turned out $75,000, which you could fix only in a year. In the beginning, the price was 300x, which is a lot, an incredible amount. The other half could also be sold for an average of 80x. That is, from the second half of $ 40,000. In total, you could easily get $115,000 for one investment. How do you like that? It also seems to me that it’s even very good - it deserves a brand new BMW, doesn’t it?)
But the choice of projects must be approached carefully. Since the case of 1 per 1000 projects was shown above. The other side of this story is that a poorly chosen project can divide your investment by 2, 3, 4, 5, 10 times or nothing. Which, as you understand, is not very pleasant, well, there are most of such projects, or rather, about 9 out of 10 unsuccessful ones on a bear, this means that your profit is lower than the invested funds. And in the bull market, this ratio is 4 to 6, that is, as many as 6 projects will allow you to break even at least.
That is why this area deserves hard work, 24 on 7. From looking for projects early and very early stages and picking out opportunities to put money into the project there. Perhaps in the future I will write an article in which I will describe this process in detail, but this is not about that now. The main thing is that you understand that this is not just a separate direction, but a whole separate work in the field of crypto. I strongly recommend that you delve deeply into this area, since the profit there is much greater than in the usual investment in bitcoin or other shit coins. But your risk is also very high.