How to ICO?
Do’s/Don’ts for your Business Plan for ICO
It can sometimes be tough to stay up to date for those of us who like to keep a keen eye on new currencies entering the market. Initial Coin Offering’s (ICO’s) seem to be almost a daily occurrence.
The White Paper promotes the features of a solution, product, or service. Sad, that this pivotal element in the entire process is often overlooked.
For those who have never taken the time to look at a new ICO offering…
…(as some people simply prefer to work in more established currencies), a White Paper is the document prepared by a party in anticipation of launching a new currency.
It details the commercial, technological and financial details of a new coin offering and puts it into digestible chunks that the reader can understand. Put simply, it’s everything you need to know about the currency before making your mind up if you want to invest, purchase or use it.
In light of what a White Paper is supposed to be, it is astounding the number of ICO’s that do not take the White Paper seriously. They produce a sub-par document that gives the reader little to no information about the offering, other than some marketing spiel about how great the currency will be and how it will beat all others that lay before it. Yawn.
Because the definition of white paper is relatively broad, the following are a few dos and don’ts that you should keep in mind when creating a Winning white paper content:
- Keep it simple
It goes without saying that sometimes people can go a little over the top with anything they write (myself included). White Papers have frequently fallen victim to the non-stop drumming of information, most of which the reader does not need.
Keep information simple, blocked and easy to read. This is not a boxing match; you’re not trying to put the reader to sleep. The end goal here is to part the information that is needed onto the reader without the reader getting bored.
Some people simply invest, with minimal interest in how the currency works, and want to see what your one has to offer.
- Show don’t tell
Graphics are everything in a White Paper never underestimate their power.
They help to breakdown the monotony of constant words and allow the writer to get key information across using graphics.
Some of the most comprehensive, concise and well put together documents will contain imagery to get their point across.
However, don’t include images just for the sake of putting them in there, this is no magazine, keep them relevant. Only include images that have some kind of information and improve the knowledge that the reader is getting by including them; Charts, Graphs, Logo’s all have a use.
Some people take in information by visualization, give the reader important facts and figures that they can glance at without having to dig through the whole document.
Especially if you are trying to compare your offering to others on the market.
- This is finance
Remember folks, the technology of cryptocurrencies is a both technological and financial. The amount of White Papers that have little to no information about the actual financial element of the currency is astounding.
Talk about fundamentals; how much do you see your currency being worth, how big is your market cap, is there any capshare information you can include, is there a FIAT element to your currency — key financial information that will be wanted by an investor.
Most important of all explain why. If the number of White Papers guilty of not putting any real financial information within them was high, the number not including actual reasons for their answers is astronomical.
Explain to the reader why you forecast these numbers, why that market cap, why those items as a FIAT component. Without any tangible backing and explanation, your offering can look like it is only trying to make you rich.
- Balance the technology
It goes without saying that a White Paper should contain technological information. However, try and strike that balance between giving away the entire outlook of how your offering will operate technologically and delivering zero information at all around it at all.
Introduce any patents, copyrights or actual protections that your technology set has in place.
- Build real confidence
Introduce yourself, talk about why you (or your company) is deploying this coin/token and why they have chosen now to put it into the market. Talk about actual advantages that your coin/token offers, more than just simple “we noticed a need in the market…”.
To be clear, the market doesn’t need your coin but explain why the reader would.
More importantly, invite individuals to communicate further with you about your offering, making it clear that you have an ability to communicate with your future investors, you are all part of the same team.
Remember, cryptocurrencies are now attracting the attention of serious investors that control serious money. Therefore, you should aim to build confidence in both those at the lower end of investment and the higher, more lucrative end
Do write in a personal tone. Make it unique
Finally, make sure that your White Paper reflects both your company and your offering with the style and image that you want to become known for.
The earlier you build your brand and make that awareness, the better your offering will do for it.
Provided by Cal Evans — an International Technology Lawyer from London who studied Financial Markets at Yale and has experience working with some of the best-known companies in Silicone Valley.
Thank you so much for taking some time to read this story!
Daria Chuiko — writer, journalist,ideas generator of a Digital Nomad Magazine.
Digital Nomad Magazine is a Coliving Club project with an aim to bring fresh and interesting stories to the #travelers #doers #hustlers #founders #destinycrafters
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