ICO (Initial Coin Offering) is an effective method by which startups raise funds for various projects. They sell coins at a fixed price in exchange for cryptocurrencies and fiat currencies.
Steps to Follow for Building an ICO from Scratch
- Disclose the idea – Not all ideas can guarantee success in an ICO launch. It is important to analyze the potential of the whole project before proceeding ahead. Helpful tips and reviews can be received from crypto communities. The feedback received can be used to tweak certain aspects of the project to offer a better value proposition to the audience. Later, a final model can be prepared.
- Form a team – It is essential to have a team who are well-versed in different areas. Ideally, the team must include marketing specialists, legal experts, software developers, designers, and strategists. The size of the team will depend on the scope and timeframe of the project. Each member must give me clear instructions regarding their role and the expectations to meet.
- Undertake market research – Since there are a lot of competitors existing in every market, it is ideal that a firm does a small study of the market to know its strengths and weaknesses. It can also figure out the best approach to handle a project based on the experience of other firms. A company can also decide the right kind of technology to use for every project.
- Registration – Not all nations are receptive to the idea of cryptocurrencies. Since some governments have restricted the use of digital currencies viewing it as a threat to the financial system, all companies must register themselves after following all the rules and regulations laid down by law.
- Development of the White paper – A white paper is an important technical document that explains the vision of the project, different stages involved, terms and conditions set by the company for different parties, and strategy for distribution of tokens. The roadmap of the firm must also be explained. It is important to hire an experienced writer to prepare the Whitepaper.
- Launching the website – The website must include all information about the project. It should explain the benefits that investors will receive by putting in their money. An attractive layout is a prerequisite. Different sections of the website must showcase various aspects. A strong hosting service is needed to handle the high rush that arrives during the sale. Other elements such as an Introduction page, roadmap of the company, media section, links to social media profiles, description of team members, and other important documents must be showcased transparently.
- Hiring an agency for promotion – A marketing agency must be appointed to handle the advertising and public relations activities across different channels. Regular updates through blogs and interactive videos must be shared to the investors before the official launch. The ultimate aim must be on generating maximum traffic to the website by delivering relevant content. Tools such as email marketing and posting on well-known crypto forums such as Bitcointalk will also generate a positive buzz.
- Launching of the token – The token must be distributed to investors immediately after completion of the sale. It must be transferred to their respective accounts. Investors must also be given specific private keys to manage their funds.
- Opening the ICO – The ICO must be launched at the right time in the market. The website which manages the operations should be secure enough to handle threats such as hacking and phishing. The launch must be aggressively promoted across different channels.
Follow all the above guidelines to build your ICO and capture the market successfully. This will help in delivering a profitable solution for investors and create an impeccable brand reputation.