What Is Initial Coin Offering? (ICO)
What is ICO, bitcoin? This is the question of everyone’s mouth as the digital age is developing at an unprecedented rate. This is a revolution in the field of banking and finance system which is aimed at replacing physical existence of currency while making it a virtual one.
It is a decentralized mechanism in comparison to the centralised banking system. Cryptocurrency, ICO, and bitcoin are all parts of the same concept which are used for different purposes.
As bitcoin is an independent digital currency type which operated independently and used for transfer of funds while cryptocurrency can best be described as an exchange medium which uses certain encryption techniques to streamline the process by generating monetary units. In comparison to above two, the ICO is a mechanism which is devised for the creation of funds by the exchange of bitcoins.
Development Of Cryptocurrency And ICO:
It was not known to the public until the inception of the 21st century. The first sale of ICO token was taken place in 2013. The popularity of which was started increasing with every passing day. This can be guessed by the funds raised by ICO token sale. As by the end of the year 2017,
They have raised capital 40 times more than the capital which was collected the
year 2016. But, in the contemporary year, it is facing huge set back as a number of countries have banned this currency. Further, the majority of the influential social media channels have also ceased the promotion of this cryptocurrency.
This has raised serious issues regarding the credibility of this system, therefore the question, what is ICO, bitcoin has again become common. With people wanted to know the reason behind the banning of this currency.
Plus Points Of Cryptocurrency:
A number of benefits and properties of cryptocurrency are there which can be discussed in detail. The major properties of this virtual currency can be classified into two types including transitional properties and monetary properties.
Monetary Properties Of Cryptocurrency:
Majority of the cryptocurrencies are operated on the principle of controlled supply. It is no surprise at all. As the coded data is already available and one can easily calculate the value of this currency.
Further, the currency is very hard which means that it does not shoe or represent any debt, but a solid currency. As the currency is irreversible, hard, and is against the policies of government and banks as no transaction can be halted or no debt can be employed on that currency.
A number of transitional properties are in place while using cryptocurrency in the form of bitcoins and in the usage of ICO. This currency is irreversible – means once you confirmed your details of the transaction, then none can halt it.
None means none! The best thing about it is that it is very fast and is global. This
means it transfers as soon as you click on the transaction Ok button. Further,
the security mechanism for this is great and only a private key holder can access his currency and then do transactions.
A huge scheme of numbers that act on magical patterns and are impossible to breach, makes the system more secure.
In the end, this currency is permission less and you don’t need to ask anyone for
permission of your transactions. What you need is a software that is accessible
to all for free.