5 Basic Don’ts
Considering that you are already on the page of TokenAsia, an ICO Consultancy & Advisory, it will be naïve to talk about What an ICO is. The concept has garnered interest from everyone and have created a new way for companies to raise money for their projects.
Based upon our experience from ICOs — we have prepared 5 Basic Don’ts for any ICO project. Hope you find them relevant and useful.
Do not Bullshit — Any project for raising funds starts by understanding who your investor is. Just as in the case of VC or PE investors, it is paramount for the ICO project to understand their investors. Majorly the ICO investors are of three types, quick money maker, short term investor and long term wealth/asset investors. They are computer literate and have a good understanding of what and why they want to take part in the ICO. So if there is one thing that every ICO should do — is not to bullshit. Always be clear about your product. How it resolves the problem. What all issues it addresses. How will the participants benefit. How will the token value be retained in the long run? And most important of all what is the purpose of the token? These are few of the questions investors will ask, so be mentally prepared for the grilling. A clear understanding and value of the product is critical. The ICO project should have absolute clarity on what their product would be doing and how the funds raised will be used.
Do not leave any query unanswered — Community Management is one of the most crucial aspect of the ICOs. LinkedIn, Facebook, Instagram, Twitter, Telegram, Slack, BitcoinTalk, Medium, Reddit, steamit etc. are all platforms, where ICOs showcase themselves. They make amazing profile pages and accounts and take the minutest of cares in ensuring that the information is all correct and valid. What we have seen is the lack of interest they have in responding to queries posted by the readers. Irrespective of how good the project is, until and unless you prove yourself as a responsible, answerable project makers, you are bound to be doomed. The queries can be Good, Bad or Ugly and can come from Tom, Dick or Harry — but no ways should that be left unanswered.
Do not keep investor in the dark — ICO and Blockchain business is transparent. You always know what is happening. The information is always public and is being discussed on various platforms and channels. Nothing is hidden, so do not out-smart the participants by hiding matter of relevance to them. All updates, news, partnerships, changes, should be announced. All announcements should come out clear, concise, engaging — leaving no doubts in the minds of the users. This makes them feel good, showcases your transparency, and boost the trust factor.
Do not make Spellings & Grammar mistakes — The Whitepaper is the introduction to the ICO and we have seen hundreds of them. From those crafted with fine precision to those showering with stupidity. One common mistake we found were basic spelling and grammar mistakes. In these times when we have spelling and grammar check tools available in infinite numbers, such an approach of not even proof reading your Whitepaper is UNACCEPTABLE. This counts. ICO investors would love to see the pain and effort the team has put into their Whitepaper and websites. Clear instructions, easy to understand content, scientific and logical approach are all required for a good whitepaper. As they say — A picture speaks a thousand words. Relevant info-graphics and charts impact the readers the most. It engages the reader and the interest it generates is directly proportional to number of users it would be able to attract. The Whitepaper is the first impression of the ICO, so they better be correct.
Do not disconnect — We have observed, projects come and go, fail and succeed, make or break the various promises they had claimed; but what is so alarming is their irrelevance post the ICO event. You may have succeeded or failed, and might not have raised the funds that you wanted to, or you have done exceedingly well. But in no way should you get disconnected with the community that you have built. ICO events come and go but that is no excuse to become irrelevant. Always stay connected with the community. Update them on latest happenings, Send a blog or newsletter on what’s going on in your company, Why are you not able to meet the milestones. Challenges you are facing. Always stay connected — Critical for all projects envisioning big. So in case the ICO project plans or intends to go for a second ICO, the users will feel associated. Will give you a second chance, will help you with a positive word of mouth.
Susheel Pathania
