Initial Coin Offering is a way for a company to create its own cryptocurrency and then offer it for sale to customers. This cryptocurrency can have its own blockchain, as was the case for Ethereum in 2014, or it can run on a token basis on another blockchain, like the ERC20 tokens that run on Ethereum. This latter method is more common. This is also the method DeepCloud AI used to create its tokens. In an ICO, the buyers of the tokens exchange cryptocurrencies with the company for the newly created tokens. The company receives the money and the buyers receive the tokens.
Concept of Initial Token Offering and Types
In the beginnings cryptocurrency was humble and Bitcoin was the only cryptocurrency that introduced the peer-to-peer system. However, it wasn’t long before other coins and tokens were created, such as Ripple, Litecoin and others. The altcoins reached their peak with the introduction of Ethereum. Ethereum was the main driving force behind ICOs (Initial Coin Offerings), thus changing the way we perceive coins. The term “token” popped up and it meant that the coins were not only a type of currency anymore. Tokens started flourishing all of a sudden and all of them had a wide range of functions.
Their functions were divided into three different groups which will be described below.
The Utility Token
Utility tokens do not have the traits of the classic cryptocurrency but serve as the in-platform coins for purchases. Simply, an ICO may present a product which will cost a certain amount of the tokens which they created. Once you buy those tokens during the ICO, you will have them available for purchasing their product or service. So, why not buy the tokens after the ICO? Well, most of the ICOs offer their tokens for a significantly lower price, especially during the early period of the token sale. If you are interested in their product or service, it would be much cheaper and convenient for you to buy them during ICO.
The Security Token
The security token is also called equity tokens the main purpose of this type of token is to act as a stock after the initial coin offering has ended. It is just like old-fashioned buying of stocks to become a rightful owner of a certain percentage of a company. Furthermore, utility tokens have become subject to some of the biggest global regulators, thus being completely identical to stocks. These tokens, however, have one big advantage compared to the traditional stocks, they are much easier to buy. Some ICOs offer a relatively small price for their tokens and you can invest little amounts of money. If everything goes well you are likely to have a huge return on investment.
The Currency Token
The currency tokens are actually the real cryptocurrencies. Their purpose is to use them to buy and sell other currencies(Coins and Tokens), they are a decentralized online currency. Just like every other currency online, you can store it in digital wallets and even trade them for other tokens. The decentralized part of it is the main point why people prefer them to the digital fiat currencies. The decentralization means that peer-to-peer system is used to validate transactions and there is no one medium responsible for that (traditionally, that would be a bank).
Who Can Start or Launch an ICO?
Actually, anyone can! Currently, there's very little regulation on ICOs in the U.S, meaning as long as you can get the tech set up you're free to try and get your currency funded. Right now cryptocurrency as a whole is kind of like the wild west; there's gold in the hills and relatively little law to speak of. This can work in your favor or it can lead to getting swindled. Of all avenues of funding, an ICO is probably one of the easiest to set up as a scam. Since there's no regulation there's nothing stopping someone from doing all the work to make you believe they have a great idea, and then absconding with the money. This means that if you're really set on getting in on that new ICO, make sure you do your homework. The first thing to do is make sure that the people putting up the ICO are real and accountable. In the internet age it's beyond easy to find a stock photo and put together a convincing website, so going the extra mile is important. Some things to look for: What history do the product's have with crypto or blockchain? If it looks like they don't have anyone with relevant experience that can be easily verified, that's a bad sign.
How can I start an ICO
The most important thing you want to do is make sure that either you or someone (probably multiple people) involved have worked in and understand cryptocurrency and blockchain. Even if anyone can make an ICO, it doesn't mean that everyone should. You need to be able to answer questions on the spot about every little details pertaining to your ICO. You should also ask yourself if you really think that your business will actively benefit from an ICO. Basically, after reading this article, you should consult someone who can take a look at your specific idea and tell you if it is a slam dunk or not. If it's not, you might be better off going through safer avenues of funding. If you're determined to move forward, you need a whitePaper, which is a document that should identify exactly what your currency can offer that has never been done before, or how you'll make an established idea better than anyone else has. This document should be engaging, informative, and very, very detailed. You can find the white paper for Ethereum, one of the most successful ICOs yet, here. Like any business, you need to hook your buyer by the end of the first page. Ethereum's white paper takes the time to explain what blockchain is, and then goes on to detail how they intend to build on the progress that Satoshi Nakamoto made and create something exciting.
Tryvium Integrated Marketplace
Blockchain Infrastructure has penetrated all commercial sectors including hospitality marketing. The Global Tourism industry has been on the rise since the boom of Globalization. More and more people are investing in businesses and personal tours either to make commercial advances or enjoy some recreational time. According to AMR, online travel Market to reach $1,091B globally by 2022. The online infrastructure and hassle-free booking systems have also enhanced the possibilities of international tourism.
The market has also seen a significant drift from conventional vacation resorts towards B&Bs and cost-effective dorms. Tryvium is taking a giant leap towards this $7.4 trillion-dollar industry by creating real-world solutions for the burning problem of secure online transactions and bookings. Tryvium will create a user-friendly platform to book for your hotel, apartments, vacation homes, and family-run B&Bs to 5-star luxury resorts using cryptocurrencies and blockchain technology. The platform will be an amalgamation of modern technology and real-time payment models to create an authentic, reliable, and multi-purpose platform to manage your hotel requirements.
Token Availability and Distribution
TYM Tokens are available for purchase to eligible Users only during a specific contribution period (hereinafter referred to as the “Contribution Period”) defined in the White Paper and published on the Website. The Company’s publication on the Website of an offer to purchase TYM Tokens to eligible Users is considered a legally binding offer of the Company to purchase TYM Tokens (hereinafter referred to as the “Offer”). The Offer shall be available only on the Website and in the White Paper. Any other offer concerning Tryvium Tokens Sale presented on any other website or internet resource shall be considered null and void and shall not put any obligations upon the Company. The acceptance of the Offer by an eligible User, confirmed by the participation to the TYM Token Sale, shall be deemed irrevocable and binding.
Token Allocation and Distribution
The Tryvium solutions will provide an integrated one-stop system to make hassle-free bookings that can be verified and secured through the smart contract’s distributed ledger. If associated with Tryvium platform, the hotel owner will receive a so-called all in one solution to their business requirements. Tryvium all-in-one is an innovative software which includes: the most flexible reservation system you’ll ever find. Hotel owners have a fully integrated system software so that you don’t have to buy a single software for managing the daily activities of your hotel.
Conclusion
As a company that produces a considerable amount of revenue, we aim to contribute to the economic improvement of developing countries by using a blockchain distributed ledger system with a simple and impartial network that is not tampered with. Tryvium is here for you, here for me, and here to stay...
Essential Links
Website: https://www.tryvium.io/
Telegram channel: https://t.me/TryviumOfficial
Twitter account: https://twitter.com/TryviumTravels
Instagram account: https://www.instagram.com/tryvium/
Bitcointalk ANN: https://bitcointalk.org/index.php?topic=5146374.0