As businesses expand quickly across the globe, the need for raising funds becomes crucial. This is where ICO (Initial Coin offering) steps in as a valuable alternative. Tokens are assigned to investors with a predetermined value which would be traded in exchange of major cryptocurrencies or fiat currencies.
The key aspects to consider before opting for the services of an ICO development company are
- Marketing tactics – A firm which has a well-planned marketing strategy would be able to gain access to a higher number of crypto users. Different social media channels can be tapped with effective promotional methods. Posting regular content on forums such as BitcoinTalk, and Reddit would be beneficial. More focus should be placed on improving the brand image.
- Work experience related to previous projects – Priority should be given to select a team which has wide experience in the successful launch of tokens. A company which has driven the sale of successful Initial coin offerings for long periods must be given greater preference. Feedback can be sought from clients who have worked with a particular company.
- Whitepaper creation – It is a technical paper that discloses the project vision, the distribution strategy for tokens, and the different stages of the ICO launch. It must be prepared keeping the company’s business model in mind.
- Global reach – Some conservative nations such as Korea, and China have restricted the operation of cryptocurrencies viewing it as a threat to the financial system. Hence, for an exchange which has investors originating from such countries, there should be an option to operate locally. This is possible by maintaining a good network with local journals and publications. Facilities must be provided for processing transactions in the native currency.
- Audit services – As governments tighten the functioning of cryptocurrencies, exchanges must follow all local regulations and laws. Frequent audit of capital and investment inflows and outflows can prevent any unnecessary sanctions from authorities. Reliable bookkeeping services provided by a firm experienced in ICO services will remove the unnecessary pressure on exchanges.
- Private sales – Before a full-fledged launch of the ICO to the public, the firm should sell its tokens to a small group of investors to gauge the initial response. During this time, changes can be made in promotional activities and referral programs by altering the issue process of a token. Automation of trading activities for investors by the consulting company would help in saving resources.
All the above factors must be taken into consideration by the firm before choosing the ICO development company. This would help them in delivering a great value proposition to its investors and enhance the trading experience for users.