Initial Coin Offerings is the newest currency entering the market. If it is done correctly, an ICO can be a complicated and time-consuming process.
Initial Coin Offerings is the newest currency entering the market. If it is done correctly, an ICO can be a complicated and time-consuming process. Besides the real improvement of the coin itself, there are countless business factors to consider in the procedure.
This entire process has an indispensable element, often overlooked, White Paper. White Paper is a document created by a party in view of launching a new currency.
In this, the commercial, financial and technological details of new coin offerings are put in a comprehensive way so that the investor can understand the currency well and can make a decision to invest, purchase or use it.
Notably many ICOs do not understand the importance of the white paper. Instead, they produce a document which gives no useful data about the offerings. It just lures the investors into ICOs.
ICOs should keep the following points in mind before writing the white paper. A detailed white paper helps the audience and also boosts investors:
Only necessary information
Keep the things simple. Don’t load your readers with abundant and unnecessary information. Keep information easy to read. Start it with nontechnical information and then move on to technical things. The document should be drafted each sought of a reader in mind.
Use of Graphics
Putting pictures instead of words makes the things more clear. Pictures, graphs, charts etc. can be used to show comparative studies. But pictures put should be relevant.
Sometimes visual representation is more impactful than words. Also, it saves time as the reader need not go through the whole document.
Emphasize on need of token
Present yourself, discuss why you (or your organization) are creating this coin/token and why you have picked now to place it into the market. Discuss real points of interest that your coin/token offers, something beyond straightforward
“we saw a need in the market…”.
All the more essentially, welcome people to discuss with you about your offering, communicating with them in a way so that they feel you all are part of the same team.
ICOs are attracting huge investors and major investments. Therefore investors should be confident about their investments.
Present any licenses, copyrights or genuine insurances that your technology has set up.
The White paper should contain all the important technical information, but at the same time, there should be a balance between technical outlook and other important aspects.
Cryptocurrencies are both technology and finance. So a white paper should not only talk about technology. If it is not giving any information about finance it is useless. Include in them
- Worth of your currency
- Your market cap
- Any market cap information that investors should be aware of
- Any fiat element linked to your currency
The White paper should reflect the style and image you want to build for your company. Its offerings should attract the investors.
Disclaimer: This is not an investment advice. It is of paramount importance that everyone should do his or her own due diligence before investing in any product, platform, tokens etc. Cryptocentral.io does not endorse any content or product published on this page. Our aim is to simply provide all the readers with the latest information in the field of cryptocurrency / blockchain industry that might be of interest to our readers.