A Brief Introduction to Defi ICO Development for Young Entrepreneurs
Author Decentralized Finance DeFi Development, Defi ICO Development
Cryptocurrency is the word that has constantly been taking up all the space in the finance news. This popularity is bringing several new users to the community. This made startups launch new crypto projects to match the growing demand from the public. Defi ICO development has been their one go-to way to get the funds for their development.
Every industry in the world is moving towards blockchain, and they are using the network to have a decentralized environment for their business. The passive income from crypto is one main reason people are getting into the crypto world. If you are thinking of bringing blockchain into your business, here is all you need to know about ICO.
Understanding Initial Coin Offerings
You must know Initial Coin Offering or ICO before stepping into it. Initial Coin Offering is a crowdfunding model used by crypto startups. When a business is launching an ICO, it means it is launching a crypto token sale to raise funds for the development of the blockchain project.
Crypto tokens are minted on the blockchain and are put up for sale where investors and the public can participate and buy these tokens in return for cryptocurrencies like Ether, Bitcoin, LiteCoin, or Dash. The project holders will use the funds raised through this pre-token sale for the project development. The investors who hold these tokens will receive a product or a service post-development. They can trade these tokens when their values rise and earn a passive income too.
What type of ICO do you need?
Now that you understand what an Initial Coin Offering is, it is now time to know what kind of ICO suits your business better. Choosing the ICO depends on the amount of funds you need, the number of investors you are looking for, and the type of investors you are looking for.
Public ICO- Public ICO is similar to IPO crowdfunding except for the fact that ICO issues crypto tokens. This concentrates on attracting investors of any scale to contribute to the fundraising campaign.
Private ICO- In private ICOs, the business can limit the funds they need and limit the number of investors who can participate in the token sale. This is a more regulated way of raising capital than the Public offering.
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Live chat with usThings to know before launching an ICO
It is important to make sure a few things before starting your Defi ICO development. There are a few prerequisites that have to be met to launch an ICO successfully. ICO is one of the preferred fundraising methods by several crypto projects, and it is important to stand out in the crowd.
Do you need an ICO?
First, does your project needs an ICO to raise funds? That is, does it require a token sale first of all? Crypto projects come out to raise funds through token sales, but then they lose value if they don’t have any use in the blockchain. So decide whether you need an ICO. You can get help from blockchain experts if you are struggling here.
Build your ICO team
You have to brainstorm your ideas with a skilled team in order to bring out a successful Initial Coin Offering. You will be in need of a core development team who are experts in the blockchain. They should be experienced in blockchain development and smart contracts technologies. Having a professional marketing team is essential in taking your ICO into the spotlight
Prepare a Road map
The investors must be able to get the significance of the product or service you are developing on the blockchain. The main reason to launch an ICO is to develop your product. So devise a roadmap for the development process so that the investors will have a deep understanding of the product and the whole development process.
Draft a White paper
A whitepaper will be the first thing an investor will look into before investing in your ICO. You should draft an impeccable whitepaper with all the details of the project. It should include the details of the team members, founders, and ways to contact them. This is the first thing that will create reliability on your ICO.
Choose a Token Sales model
Usually, ICOs have launched in Ethereum blockchain because it supports smart contracts, which form the basis for automating token generation and distribution. There are a few token sales models from which you have to choose one for your ICO. They are
- Hard caps
- Soft caps
- Uncapped with a fixed rate
- Capped with a fixed rate
- Dutch auction
- Hybrid
We, at AppDupe, with a team of experienced professionals, can help you right from brainstorming to minting tokens on the blockchain. We have a professional team to draft your whitepaper and guide you through choosing the right token sales model for your project.
Getting started with Defi ICO development
Once done with the above prerequisites, the next step will be the token minting process. The token minting process is the key to ICO development. To generate ICO tokens and automate their sales and distribution, you have to develop smart contracts. It is important to audit the smart contracts and conduct intense internal testings before releasing them to the public.
After minting the tokens and testing, it is time to launch the ICO to the public. It is important to create a web interface for the ICO and give a live demonstration to the public on how to participate and buy tokens in the ICO.
Pre and Post ICO development activities
Marketing is the key to the success of any crowdfunding campaign. Reaching the target audience in the crypto field is indeed important. There are several marketing strategies that can be customized accordingly for your project. Discord Marketing has been in trend among the crypto projects launching an ICO in the market in the past few months. Devise a perfect marketing plan and execute them to reach the target audience.
Key Takeaway
ICO development can be tiring when taken up without any prior experience, and that is why most entrepreneurs leave it in the hands of ICO development services. At Appdupe, we offer a complete ICO development service with all the mentioned features and provide you with a team of experts in ICO marketing. Join your hands with us, and let us take over ICO development in a snap.
The Right Time to Launch Your ICO Is Now
Marketing is my soul mate and writing is my side kick. Using my writing skills to share the knowledge of app development and upcoming technologies.
