Guide to Initial Coin Offerings in Redwood City, CA


Guide to introducing an Initial Coin Offering (ICO) in Redwood City, California.

There has actually been a great deal of confusion on what an initial coin offering is (ICO– also in some cases called a token generation occasion or token sale), what kinds of companies an ICO can be used for, and exactly what enters into releasing an ICO– from a task’s point of view.

Disclaimer: This is not to be construed as investment or legal suggestions, however rather indicated as a template to reveal the process behind an ICO, and exactly what a project’s stakeholders (team, board, stakeholders) should think of when performing an ICO.

Provided the blockchain market is fairly brand-new, there isn’t really a whole lot of info on the topic (from a task’s viewpoint), and with each brand-new ICO, groups are discovering finest practices on what to do and what not to do. Below is a guide of all of the information we gathered about the ICO process, with input from people who experienced the process first hand.

If you want to contribute to this guide, or have any recommendations, feel free to make suggestions here:.


The most significant two questions you have to consider initially are:.

  • Exactly what is the function of the token?
  • Are you sure you want to do an ICO?

Token: Considerations for 

  • Exactly what is the function of the token?
  • What function or energy does it carry out?
  • Is the token absolutely necessary?
  • Why does your job have to be on the blockchain?
  • Can you describe a viable economic model behind it?

If your application doesn’t need to be built on top of a blockchain protocol, you should think hard before moving on. For example, the computational costs of constructing an application on top of Ethereum is much more expensive than something like AWS. You have to have a strong reason for why you are developing a decentralized application vs. a central application.

If you are unsure whether your application ought to be built on the blockchain or not, you ought to do more research and spend more time discovering Bitcoin and Ethereum. Constructing a decentralized application is basically various than an application utilizing client-server architecture, and you’ll have to totally comprehend the elements of a blockchain and exactly what can be built on top of this new architecture.

{ICO|Initial Coin Offerings in Redwood City, CA 94059

An ICO is basically various than raising money through VC’s or other traditional ways.

On one-hand, you are offering future use of your platform (not giving up equity). On the other-hand, you are becoming a public business on day one. You’ll have a substantial community you’ll have to handle post-ICO, and you need to make certain you want to deal with this concern ahead of time.

Here are a couple of things to keep in mind while thinking through whether your job must do an ICO in the first place:.

  • Everything you do and all the actions you take will be shown in the cost of the token.
  • Your group will get bombarded non-stop, numerous times a day, with questions about the rate of your token.
    You’ll have to be a global company from the first day.
  • All of your internal group conversations will likely be pressed openly.
  • There will be fantastic tension in attempting to develop things that are long-term valuable vs. short-term important.
  • If your product isn’t open sourced currently, there will be a huge reaction to become totally open sourced. There is a strong expectation that lots of blockchain tasks are open-sourced tasks.
  • In general, cryptocurrency tasks are way more public/transparent than typical startups, and even traditional public companies.

In general, excellent blockchain tasks look and function far more like open-sourced software application projects vs. conventional tech companies. You and your group will need to decide both whether your application makes sense to be built on a blockchain + you want to run as a transparent and open business.

Marketing is inadequate, people have to know and trust your skills.

Much of these early ICO’s were performed by deep stack blockchain developers that were part of the core crypto community, with high reputation and performance history. The ICOs that sold out fast and quick did not come out of thin air. Early token investors– who by the way were also part of the core crypto neighborhood– knew these developers well, and trusted them, as their respective product concept had actually been gone over and peer reviewed for numerous months over Reddit, Twitter, Slack, Bitcoin Talk, various crypto podcasts, etc.


White papers are the business strategies of the Web3 with which teams aim to raise your funds, typically before having a model. Composing a good whitepaper is the primary task for every single team. Prevent contracting out the writing to 3rd parties. If you desire individuals to take you seriously, you have to include the entire team: from core devs to your sales people. You require a semi-technical explanation of how your project works and an easy to understand walk through for non-techies. The whitepaper should be interesting financiers with no technical knowledge and developers alike. It has to include:.

Reputable technical roadmap.
Plausible service roadmap.
Clear tokendistribution design.
You can take your effort one step further and release a technical paper like the Ethereum’s Yellow paper or Zcash’s technical whitepaper. These documents provide an additional insight into the technical implementation and are just targeted at people with deep understanding of blockchain innovation. They offer more trustworthiness to your tech know how, and permit online swarm evaluation. Technical documents have up until now mainly been utilized for blockchain token sales and not for dApps token sales.

Model – Redwood City CA 94059

You will be more credible if you already have a product prototype. Motivate individuals to visit your GitHub page and play with the code. Please note, tasks without a single line of code raise many red flags in the eyes of investors. If your name is not Vitalk Buterin or Gavin Wood– just utilizing examples here– you may have issues raising money only with a white paper.