Initial Coin Offering

An Initial Coin Offering (ICO) is a way for new cryptocurrency projects to raise funds. Entrepreneurs create and sell their own digital tokens to investors, often using established cryptocurrencies like Bitcoin or Ethereum. In exchange, investors hope the tokens will increase in value or provide access to the project's services. ICOs are similar to IPOs in traditional finance but are less regulated, making them riskier. They enable innovative projects to gather capital quickly but require careful research due to the potential for scams or project failure.