Should You Invest in an Initial Coin Offering?

February 3, 2018 by Adrian Thorpe

ICO’s do have to have a solid and sound idea behind them for them to succeed and at the end of the day it is going to be your hard earned money that you are investing in them, so you need to be 100% confident that they are going to be worth investing in, if not your invested funds are going to be at risk.

Look Deep Into the Project

When you do want to invest in one or more Initial Coin Offerings there are lots of things that you need to check out and research and one of them is just who is launching the ICO and that their idea is.

Take a look at what experience any individuals and teams have in the market sector they are aiming to get involved in and if there is actually any need for whatever it is they are going to supply or offer by way of a service.

You also need to see if any ICO is offering any early investor bonuses, for they can add an extra level of value to investing in them but keep in mind many scam and fraudulent ICO’s are going to be giving away what may appear to be high valued bonuses which are only thee to lure in investors.

Some ICO’s will be backed by much bigger and established companies and as such there is going to be some merit in investing in them, for if a big named and established company is banking an ICO they must surely think it is going to succeed.

One thing you do want to avoid are any type of lending platforms that promise you a guaranteed return, for those lending platforms are usually a Ponzi type scheme and their sole purpose is to rip people off, which is quite easy to do in the world of cryptocurrency, so be on your guard at all times.

Don’t Invest in ICO’s Too Heavily

Never put all of your eggs in one basket is a very well known saying, and if you have made the conscious decision to invest in ICO’s then do make sure you spread your investments around, for there are going to be way too many risks involved in your investing in just single one of them.

One of the benefits of actually investing in many Initial Coin Offerings is that they are not going to cost a fortune to invest in for many of them have very low cost coins and tokens and as such you can, if you are prepared to, take a small punt in quite a few of them but at no great expense.

If you have no experience of investing in cryptocurrencies or ICO’s then please do as much research as you can, for without fully understanding that you are actually investing in you really could make some very expensive mistakes.

If you do not feel you have the knowledge or understanding of any ICO that is about to live or is currently life then you are best off not investing in them, for there is a very good chance you could lose all of your investment funds when you make the mistake of investing in an ICO that has no or very little chance of succeeding and becoming a profitable operation or company.

But it is your chose to make an no one else’s so keep that in mind too!