ICOs(Initial Coin Offerings) or token sales are next-generation crowdfunding where users can buy new tokens by participating in ICOs. Still, there are lacking standards in the blockchain ecosystem, which make the token sale hard for a normal person. Most of the ICOs are running on different blockchains like Ethereum, Binance, etc., through a smart contract that collects stable or native tokens. It converts them into new tokens according to the price presented by the start-up company. This complete process happens entirely P2P without any broker, middle person, or exchange.
Buy ICO Tokens
Most of the time, all start-ups provide a step-by-step guide to participating in token sales with screen-shots for each step. Also, you should join their social media channels, including telegram or slack, and follow all the news of ICOs. All ICOs start either at a previously specified block number or, sometimes, you can use blockchain explore to check current block numbers information.
When the token sale starts, you need to send ETH or specified token on the sale contract or wallet address specified by the team. After sending ETH, there are a couple of scenarios:
- You receive your new tokens after the token sale ends.
- You need to wait for some days for your tokens.
- You will need to withdraw/redeem your tokens manually.
- You need to redeem your token in vesting form.
Note - Sometimes, hackers manipulate ICO websites, so you need to cross-check the new sale token and sale contract. It is to address on their main website and social channels.
Secure your Tokens
After receiving your tokens in a wallet, we need to send/transfer them to a more secure wallet. Also, you need some ETH for a gas fee to transfer your token to another secure wallet.
Conclusion
In this post, you will know how to participate in a token sale in easy steps.
We are a Blockchain Development Company based in Gurugram, and if you want to explore more about Initial Coin Offering (ICO), please feel free to connect with our expert team.
November 21, 2024 at 10:59 am
Your comment is awaiting moderation.