Currently, there are more than 1,000 kinds of tokens available on different stock exchanges. At the same time, their number is constantly growing. It is important to understand that not all cryptocurrencies have their own network since most are released on top of another blockchain.
A good example is the ERC-20 tokens, which represent the interaction standard in the Ethereum blockchain block. Ethereum is a full-fledged distributed network where a lot of tokens can be released on top of their own blockchain without creating their own infrastructure. Many companies broke up and lost millions in just one year. One of the most famous examples is Pets.Com, which lost $300 million in 268 days.
However, while some companies closed, the surviving enterprises drastically influenced the global economy, for example, Amazon. Before the fall, the price of one share of this company was $100. After the fall, the price fell to $7 per share but eventually rose to $600.
Where to Start
First, you should look at the resources or the trade platforms where the latest ICOs are presented. Knowing which projects are suitable will allow you to plan ahead, especially for ICO with a whitelist. White ICO means that you must sign up in advance to participate in the purchase of tokens, which are usually offered in limited quantities. This is a hallmark of the popular ICO. You need to conduct your own research to ensure the quality of the project. There are many key factors that need to be considered for an effective ICO evaluation.
If you are sure that you have done a good research and want to continue to participate in the ICO, you must open an exchange account to convert your internal currency to the basic Bitcoin (BTC) or Ethereum (ETH) cryptocurrency. It is also necessary that you have your own wallet. Your exchange account, for example, Poloniex, Bittrex, Kraken, does not calculate in the same way as your own wallets, since you do not control your personal keys.
What Platform to Choose
Here is a list of popular websites that tend to transfer ICO coins:
- Ether Delta: a decentralized exchange office, usually the first exchange that lists many ICO coins. It is not recommended for beginners, as there can be difficulties due to the complexity of the service.
- Liqui.io: an exchange that often transfers new ICO coins. There is close to 200 coins listed in Liqui.
- Bittrex: the largest exchange of cryptocurrency by amount, which accepts only tokens or cryptocurrencies (does not accept traditional money). This is the “high league” platform that every participant of the ICO wants to include in the list.
- Poloniex: the second largest exchange of cryptocurrency by the amount, which takes only coins. Also, it is a very welcome exchanger but it has strict requirements.
ICO will continue to be a part of the cryptocurrency and the blockchain. It is impossible to ignore their contribution to technological progress.