Is ICO the new IPO?

ICO is the new IPO – As more companies are raising capital via Initial Coin Offerings, some of the VCs are beginning to take notice including Sequoia. Others are feeling threatened over the new model bypassing traditional venture-capital. In an ICO, the company basically launches a new currency. It sells the tokens for this currency in exchange for an ownership stake. These tokens are then used to fund the operations of the company. While there are regulatory hurdles, many of the companies raising capital via coin offerings are over funded indicating that the trend raising capital via Crypto Currencies is here to stay for now.

Wall Street Journal article on ICO:Image Questions about investing in Bitcoin/ Cryptocurrencies? Email td at vedafunds.com

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