Starting An Initial Token Offering (ITO, Also Called Initial Coin Offering Or ICO) - Things To Consider

In this first blog of a series on Blockchain Technology we will look at Initial Token Offerings.

Increasingly start-up companies are using initial token offerings (ITO, also called initial coin offerings or ICO) to raise capital for the funding of the development of products and services. The crypto-tokens are created and disseminated using distributed ledger or blockchain technology.

Investors may use fiat currency or other crypto-currency to purchase the offered crypto-tokens. The crypto-tokens are accessed through specialized wallets, which manage the private and public keys and addresses and create and sign transactions. It is important to know that the wallet does not contain the crypto-tokens. They are recorded in the blockchain. The owner of the wallet controls the crypto-tokens on the network by signing transactions with the keys stored in the wallet.