When is an ICO a scam?

Surprisingly, not all coin offerings are real, or even a good plan.

Having set up my own token on the Etherium network which you can buy here. I can tell you a number of interesting facts about Tokens.

What is an ICO?

It’s the latest thing, the Initial Coin Offering, instead of traditional shares in the company, or funding a charity, Cryptocoins are being sold on the Etherium Network that allows charities, organisations to sell tradeable virtual currency – safe and secure.

Not all ICO’s are created equal.

Firstly, there is really no need to have a PRE-ICO. If you have the knowledge to get a Token going, then you can do it in under 6 minutes (15 if you include getting a drink and having a break).  The cost of creating your new Token in the Ethereum network is very small.

Secondly, Don’t invest in ICO’s with millions of tokens, the token value will be very small. My token only has 150,000 available, this is tiny by comparison to some who are offering large amounts, it’s unlikely that these tokens will ever be worth anything at all. Like “fiat” currency, when you produce more there are still the same amount of buyers and as the market is filled with more tokens, only those that have something special or a very limited number of tokens will retain value.

Some of them are scammers.

If you cannot see the contract address and view the coins on the Ethereum network then it’s probably a scam. I would never buy PRE-ICO now (they could go live very quickly, why bother?), let me see the real coins and what advantage they have to me.

So be very very careful when buying Etherium Tokens, there are a lot of people out there who actually pretend to sell you coin, but only show it in their system, not on the Etherium (or any other) network.

If it’s not backed by a real blockchain the chances are it’s fake.

Click Here to visit my coin offering the UKB – there are only 150,000 and it’s backed by this website.