In the last couple of years a lot of new cryptocurrencies came on stage, each one of them claiming their share of the market. Once start-ups learned how to launch an ICO, they exploited this opportunity and raised funds for their businesses. The record of funds raised through ICOs is close to 5 billion dollars in a year.
If you are reading this article, chances are you want to launch your own ICO and you already know what an ICO is, so we will skip that part.
Because of the constantly increasing use of Blockchain-based technologies and the extraordinary quantity of ICOs launched in recent times, the competition is getting harder and harder, and a good idea is no longer enough.
Furthermore, ICOs are more and more regulated by the law, but there are a lot of legal quibbles to deal with.
Launching an ICO is not difficult per se, but there are a lot of factors coming into play. Let’s try to sum them up in a checklist.
✔️ Think about an innovative idea
We are starting from the basics, but it is worth reminding that given the extremely wide variety of ICOs launched, the solution you are going to offer to the public must stand out and be better than your competitors, because there are over 1,500 cryptocurrencies in the world.
Also consider you have to explain why tokens are essential to your project. Subscribers are cautious (and if you were surrounded by haphazard and harebrained ideas, with the risk of being scammed, you would be too).
Think your project thoroughly and ask feedback: making mistakes on a wave of enthusiasm is not so uncommon.
✔️ Draft the white paper
The white paper is a document that explains the reason why your project exists. You must not intend it as a marketing presentation, because it would be the first clue of a scam.
Try to write it with a technical approach, explaining the problem and proposing a viable solution. Describe in which way your token is sustainable, mentioning incentives and implications.
If you want to set some limits of any sort, like deciding who can or can’t contribute, a market cap, and so on, the white paper is the right place to state it.
Furthermore, depending on the jurisdiction the ICO is launched from, the content of the white paper might be set by the law and vary from country to country.
If you consult us and explain your idea, we can help you write an effective white paper or ensure your draft complies with the applicable laws and regulations.
✔️ Find out the best jurisdiction for your project
Legally speaking, ICOs are in a grey area, and not all countries interpret them in the same way. According to the nature of your project, some governments might find your ICO illegal, while other countries would welcome your idea with open arms and a heartwarming smile.
Thanks to our pan-European experience in legal and compliance, we will examine your project and recommend the best jurisdiction for your case.
✔️ Provide the required documentation
Some countries prosecute ICOs without an adequate KYC policy, and not all in the same way: while some laws are more flexible, some governments put some very strict bounds.
Not only that: without an AML policy ensuring that no one exploits your ICO for money laundering purposes, no authority will ever give you the green light.
Unless you are an expert in this matter, you will need the assistance of an expert advisor in legal and compliance in order to provide all the necessary policies.
We have a seasoned Blockchain regulatory compliance expert in our team who can help you with all this. If you are stuck in this phase with your project, it might be worth contacting us.
✔️ Come up with a marketing strategy
Finally, when all the technical and legal details have been set up, you can focus on the marketing strategy. In this phase, your goal is attracting subscribers, and you can’t do it without a proper marketing strategy.
You will need an outstanding website and a consistent budget to invest in advertising, making sure it is usable and persuasive: even an inattentive visitor should be able to understand how to contribute. Spreading the word on social media might also be a good idea, and Telegram is another tool on the rise for promoting new ICOs and have a dialogue with the subscribers.
If you need a marketing strategist on your side, we can help by researching the best consultants according to your needs.
✔️ Deal with investors
When the first subscribers will come, make sure their contribution is significant. Having a dedicated agent who deals with them will brighten your reputation and make sure your partnership bears fruit.
Our team has over 20 years of experience in management and partner relationships, so we can certainly help you in this final phase.
If you have any doubts on how to launch an ICO, feel free to contact us for an enquiry or an introductory consultancy.