IPO Vs ICO

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  • An IPO otherwise known as Initial Public Offering is when a company publicly sells the shares of a company for the first time in order to gain investment 

 

  • An ICO or Initial Coin Offering is when a company raises funds in exchange for a ‘coin’ or ‘token’ to fund a project

 

  • An ICO is a new type of investment option which came as a result of cryptocurrency technology

 

  • An IPO and ICO are essentially the raising of funds in 2 different ways

 

  • An IPO has to meet certain criteria in order to raise funds, however an ICO currently has no legal or regulatory requirements in order to raise funds

 

  • An IPO is usually carried out by established companies, whereas an ICO is utilized more by young start-ups

 

  • In any investment, IPO or ICO, research is key. You need to be sure the investment you are carrying out is going towards a credible company.

 

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