ICO Guide for Beginners:

Should you invest or not?

During the recent years, ICOs’ popularity has increased incredibly. There are several reasons that ICOs appeared in our lives. Blockchain technology makes life easier that causes company to use and find fund for their project. Furthermore, earning rate from the ICOs is very high. These reasons direct people to invest in ICOs.

ICOs vs IPOs: What is the difference?

In order to understand what is an ICO (Initial Coin Offering), we need to know IPO (Initial Public Offering). IPO, we can say it is traditional offering, is using to raise capital by companies. That differs from ICO’s process.

Simply, IPOs are organized by private companies which have a proven track record of accomplishment. ICOs are organized by start ups to generally find capital. They don’t have living product generally but few companies like MenaPay have living product in the ICO event. Moreover, IPOs have to be verified by all laws and rights, in this respect ICOs are more independent.

What is an ICO?

ICO( Initial Coin Offering ) is used by startups which are working on blockchain. It is creation and sale of digital tokens. A project creates and sells the tokens to public, usually in exchange for other cryptocurrencies such as bitcoin or ether.They also trade against other digital assets and fiat (USD, EUR, GBP) as well.

It always contains three stages: ICO, Pre-ICO and Private Sale.

What is Pre-ICO?

Pre-ICO is the token sale event which is before the ICO event goes live. In the Pre-ICO, commonly the tokens are sold with discount by the project.

For instance, there will be Pre-ICO in the MenaPay’s program that encourages potential investors to buy tokens cheaper.

From the project side, it helps to understand how many investors are interested in the project, what the hype of the project is or how will ICO perform.

What is Private Sale?

A private sale is an unadvertised sale of property which is not open to the general public. A private sale is negotiated between a buyer and a seller directly. In a private sale brokers, agents and public notices are absent. The sale is made voluntarily between the parties.

In the ICOs, that is not commonly seen. It is like to find pre-investor for fund to design, grow and be ready to ICO for your project.

Should I prefer to invest in Pre-ICO or ICO?

Nowadays, companies find funds for their project easily with the ICOs. The project may fail or succeed in the future. However, you can guess the future of the project with several ways such as, MenaPay will have live products in the ICO and it has important investors and advisors that may inspire you to invest in MenaPay. On the other hand, some investors use ICO to gain few money and they try to find every good project. When the tokens are available to trade, they suddenly withdraw their funds from the projects. Furthermore, sometimes ICO prices never fall down on the exchanges. Thus, you should decide what the best ICO is to be early investor. Just think about Ether. In the cryptoworld, there will be a lot of chance as Ether. It will be same in MenaPay, too.

Should you invest in ICOs?

If the project is well-known and you are sure that it is not scam, investing in ICO will be beneficial. Espacially, in big projects which aim a region like MenaPay, you may never find a way to invest after the ICO process as nobody want to sell their tokens.

When does ICO happen?

ICO process will be announced from the team. Depends on the project, you have to read the whitepaper carefully, join their whitelist and you have to fill the KYC to be in!

After the announcement from the team, you will get the tokens what you invest.

What are the benefits of joining? Why should I join one?

Perhaps, yes. If you joined a powerful project, the prices of tokens never fall down after ICO. Thus, you can buy the cheapest token in ICO process. You will get a chance to be an early-investor.