June saw some super Ico's hitting the market and we are now nearing the end of the month (TenX and EOS will be hitting the markets in the coming days). Once the dust has settled down, we can all learn something from the experience gathered though all these Icos.
I have participated in most of the Icos this month as of yet and Civic stands out for me in the way it conducted its Ico. I hope some of the things Civic got right in their Ico can be adopted by all future Icos and this blog is an attempt to further that cause.
What did Civic get right with their Ico
1. Distribution:
Civic ensured maximum distribution for their token. They ensured this by placing a cap on the maximum investment that a single individual could make of $25,000. On top of it, the maximum amount allowed would decrease as the Ico got subscribed. So the $25,0000 cap had decreased to $1,000 by time it reached my wait list number which was in the three thousands. By creating this hard cap on individual contribution, Civic made sure no one shark got more then $25,000 worth of Civic token and allowed some for everyone.
Most founders either discount or do not appreciate what a good distribution can do for the product. Every individual who got into the Ico is now an unofficial Civic brand ambassador and will carry the message of Civic to new users. This gives Civic a loyal and diverse community of token holders to support it through its journey.
2. Using Ico to Ensure App Installation:
Civic devised their Ico in such a way that to participate in their Ico, one had to download and install their app. Just by doing so, Civic has ensured that it is already installed on tens of thousands of mobile devices to begin with. Looking at Civil install data from Google Play Store, Civic already ranks among the top 500 apps downloads in 24 countries.
Now, just imagine if Basic Attention Token (BAT) had followed the same method by routing their Ico through their browser, BAT would have launched with the Brave browser already installed in tens of thousands of devices.
3. Taking care not to crash the Ethereum network.
Civic, having learned from Bancor and Status, devised a Ico such as to make sure they did not crash the Ethereum Network. Everyone who has taken part in an Ico knows how frustrating the whole experience is. Bancor Ico took me 28 attempts to receive a confirmed transaction. For Status Ico, I had to leave my computer for 5 hours in frustration before I could get in. This experience is shared by many if not most, and we all can vouch for it. Civic tackled the network congestion problem by creating a numbered waiting list which was assuring to everyone. Everyone knew when their chance would come and there was no rushing around. All we had to do was wait patiently till our number came, and then make the transfer to the given Ico address. No multiple attempts. No FOMO crashing the Ethereum network. Just a simple well managed waiting list based a on transparent first in-first out queue.
To be honest, I was not really keen on Civic before the Ico. But I am glad I took part. I became a civic fan somewhere in between checking out the Ico and participating in it. By the end of the whole Ico process, Civic had a new convert - me. This is how effective a well conducted Ico can be and I hope this blog can help all future Icos prepare and plan for their Icos better. Civic showed that the previously run Icos were just a result of bad planning and some greed. Lets change this for the better. Civic has shown us the way.