Initial coin offering (ICO)
Initial coin offering (ICO) is a fundraising method where a company or project issues and sells digital tokens or coins to investors in exchange for cryptocurrency or fiat currency. These tokens can be used to access the products or services that the company or project is offering and may also be traded on cryptocurrency exchanges.
ICO is a popular fundraising method used by startups and new projects that are looking to raise capital to develop their products or services. It allows these companies to bypass traditional methods of raising capital, such as venture capital or IPOs, and instead raise money directly from their supporters and early adopters.
However, ICOs have come under scrutiny in recent years due to the lack of regulatory oversight and the number of scams and fraudulent activities associated with them. It is important to conduct thorough research and due diligence before investing in an ICO to avoid potential risks and losses.