How to profit from an ICO

Over the past six months news about ICO projects only bring in the hopeless gloom - startup funding is quickly being reduced, and the projects themselves often turn out being a fraud or fail to collect the soft cap funds.

However, it’s worth remembering the bright history of ICOs, which not only collected large sums in 2017, but also operate successfully to these days - like the Ethereum Project. Therefore, today we will talk about the ways investors can make money from ICO right now. Read carefully.

In order to start earning on ICOs you must first understand what it is. At its core, ICO is a listing of tokens that project participants acquire. That is a way for developers to attract investments for further development of the project and provide it with a financially secure future.

So, here are the top ways of earning an income from ICOs project:

If you have money and you want to make even more on such things as ICO then it would be logical to invest your funds in a promising startup project. To select a project you can find millions of guides, for example, like this one. We just remind that such investment is associated with a ton of risks, and the responsibility in case of fund loss will lie solely on you. Therefore, always carefully check the projects which you want to invest in.

During an ICO procedure you will acquire the projects own currency - tokens - for your own crypto that can later be used for its intended purpose such as receiving bonuses, purchasing services or goods or in case of exchange listing you can sell the tokens. In a word, your money yours to lose.

Everything is obvious here: you buy the project’s tokens at a discount anywhere from 10% to 50% during the period of pre-sale or at the earliest stage of the official sale, and wait for some time until the tokens get allocated onto a cryptocurrency exchange. And after the token price reaches the desired growth level, you sell the tokens.

The only difficulty may be the lack of demand as token selling is one challenge but another, perhaps a more considerable challenge is to find someone who buys it. But here speculators are favored by fate. The fact is that no one really understands the world of cryptocurrency because of its lack of a past. So there is a presence of a huge number of people who jump towards a new token like bees to the honey. That is in ICO world the market works according to this mnemonic: Offer something - we will buy everything. Nothing extra - just speculation.

A project that wants to succeed and attract attention must gain an audience and for this purpose we have a scheme such as the bounty programs, where users receive tokens for free, but for completing certain activities. Bounty programs are created precisely for the goal of acquiring new audience which subsequently ensure a steady flow of investments.

It all depends on how actively you participate in the program, how many and what actions you performed as well as how many tokens the project gives for the executed actions. Thus, without spending real money and leading active social life, you can get a certain (rather small) amount of tokens. And what to do next - see part two.

But making a profit can’t be so easy. You should careful become acquainted with the project because some may simply not pay the tokens you earned under the terms of bounty programs (just read the users complaints about this on Github source). In such manner, if you are ready to fulfill all the conditions of the ICO project, not to sleep and spend your personal time in search for free money - welcome to the bounty world.

Here everything is obvious too - get your 1-10% as a team member, develop the project and make money on its implementation. There is even no need to buy tokens, you can invest money in the traditional way and follow the development according to the whitepaper of the project. And if the product survives till the release - you will gain profit, very good one, and what is most important - you can make a profit for years to come unless you cash out all in one go. But there are also risks - read the first part.

But if you decide not just to invest, but to actively participate in the project’s life and if you are not the only investor with such thoughts, the project will succeed. After all, behind a huge number of projects whose investors prefer quick money, such investors with long term views are priceless.