Initial Coin Offering (ICO) Guides
Section 13: How to set up your own ICO?
Unlike the earlier days of ICOs, when launching an ICO with some basic preparation was all you needed, the ICO market has matured. There are some informal standards in place and a successful ICO must adhere to all of them. Here is a step-by-step guide to launch your ICO:
- Should you conduct an ICO for your business? The first question you’re going to be asked is why you want to launch an ICO for your business. Spend some time evaluating the benefits of launching an ICO in the first place and figure out how you plan to integrate the cryptocurrency in your business. Present a meaningful way by which your cryptocoin integrates with your business.
- Define business goals and benefits for the contributors: Have a clear vision of your business goals and how it will benefit your contributors. It is critical to explain these goals explicitly. The key here is to have realistic goals and offer value to your investor.
- Focus on an experienced team: Having an anonymous team for your cryptocurrency project is the sure shot way to fall short on your fundraising targets. Start by forming a team that has at least some crypto-currency industry experience; Investors trust familiar faces. When marketing your project, offer complete information about your team with their photos and social media profiles. In case you do not have any industry expert in your team, reach out to relevant industry professionals and get them on your advisory board.
- Prepare a roadmap: Starting with realistic goals for your ICO, prepare a roadmap for the project. You will require a whitepaper that clearly explains your business goals, what you intend to achieve with the project, and how you intend to achieve it. Discuss the technical aspects of the project in detail and it is even better if your project is under development. Investors prefer a project under development at some stage. Having a working prototype is the best play. Your entire ICO will revolve around your prototype.
- Investor security: One thing that investors deter above everything else is losing money. Provide an investor guarantee by using a multi-signature escrow wallet. Offer discounts to your early investors, decreasing them gradually as the ICO progresses. Mention a mechanism to return investor money in case of a failure.
- Get the word out: The success of an ICO depends hugely on its marketing and PR campaign. Spread the word out on all the primary ICO forums including Reddit and Bitcointalk along with a consistent promotion on social media platforms such as Twitter, Facebook etc. Be consistent with your ICO, communicating before and throughout the offering.
- Established ICO platforms: To make the complete ICO campaign easy to manage, you can choose among established ICO platforms to launch your project. Some of the popular options include Ethereum, Waves, Not, and NEM platform. These platforms have all the tools to launch a successful ICO campaign.