Last year marked an important milestone in the cryptocurrency space. Bitcoin was reaching a new all-time high of almost 20 000 USD and as well as the other altcoins. This phenomenon prompted a meteoric rise in people and companies who want to do ICOs, trying to ride the wave of the blockchain trend. While there is no doubt that this technology is going to revolutionise the world of money and store of value, the sharp drop from January 2018 that there was much more hype than real projects in the market.
So how does an ICO work?
Let’s say you want to build a disruptive project based on blockchain technology; you now have the option to raise money for your project without going through a Venture Capital firm or an Initial Public Offering as you can appeal directly to retail investors. While this has opened a lot of opportunities for local money, it has also opened the door for easy scams where you have to put up an excellent website with some fancy words, and you can raise millions in a matter of days if your fake product catches on.
There have been countless examples where conmen have created this kind of sites, collected the funds and were never to be seen again. Regulatory bodies have their “hands tied” as they cannot regulate every single ICO that comes online. Investors are just asked to do their research and not fall for these blatant scams. Needless to say that this trend will not stop anytime soon so a solution to this pressing matter must be found, Bitdepositary found it!
A Crowdsourcing Platform for Distributed Trust
To counteract the development of future scam, ICOs Bitdepositary with the underlying infrastructure of Salesforce has created an ecosystem where all of the unique ICO projects will be vouched for, one way or another. Users who register on the platform will research the startups put up for review and give a score to their product thus future investors will have a better picture on the project they are looking to invest their hard earned money. Here are the top three areas where Bitdepositary will shine:
Prevent Blatant Token Fraud or Theft - While the ICO project might be legitimate, some scammers play a next level game where they plant backdoors in their specialised wallets and thus stealing their users’ coins. Bitdepositary professional users will be able to audit these wallets for any of these malignant possibilities.
Early Alert System for Obvious ICO scams - With the report showing that over 80% of the current ICOs are scams, the Bitdepositary ecosystem vouches for all of the projects backed by its members thus trying to tilt this grim statistic to a lower number.
Aiding Users in taking right Investment Decisions - Currently, crypto investors do not have a favourite platform form ICO assessments. Through Bitdepositary people will have a trustable opinion on the project they are looking to invest in.
The platform is currently undergoing its own ICO period, and each user can participate with 10 $ in our open ICO and actually 0.10 $ with 30% Bonus . The eth peg is only active for pool offers. Head over to https://bitdepositary.io/ for more details on the project.