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ICO (Initial Coin Offering)

Mr. Fomo
Last updated: February 6, 2025 01:36
Mr. Fomo
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An ICO, or Initial Coin Offering, is a fundraising method used by cryptocurrency startups to raise capital by issuing new tokens. Investors receive tokens in exchange for their investment, which can later be used within the project’s ecosystem or traded on exchanges.

This innovative financing mechanism bypasses traditional venture capital channels, allowing projects to secure funds directly from the public.

While ICOs have enabled the launch of many blockchain projects, they also carry risks due to regulatory uncertainties and potential scams.

Synonyms:
ICO
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