What’s The Deal With Celebrities ICO Advertising?

What’s The Deal With Celebrities ICO Advertising?

Celebrities ICO Advertising: What Are ICOs?

As the cryptocurrency market grows, we’re coming across a lot of ICO’s. One proof of the ICOs going mainstream is Celebrities ICO Advertising. Just in the past week, Paris Hilton and Floyd Mayweather promoted ICOs on their social media. Before this, we had heard about Dennis Rodman promoting a Cannabis Coin. The Cannabis Coin company funded his travel to North Korea to go see his long lost friend, Kim Jong Un.

When you hear of an ICO, you usually hear something along the lines of ‘startup raises $10mn in minutes’. It’s common today for ICOs that work out very well for the company. That’s because ICOs are open to the general public and they’re part of a growing community.

Are Celebrities ICO Legit?

We’ve heard all about ICOs – this innovative way for startups to raise funds – but how much of it is still legal? Not many, and now Celebrities ICO Advertising is giving power to fake ICOs which have access to funding. Essentially an ICO is like selling tokens that represent a “share” in the company. The company sells a specific number of tokens to whoever wants to buy. This allows the company to raise funds and distribute profits later on. If the company is successful, the token will be demanded more and thus the price of the token will increase in the market. This rise in value benefits investors in the long run.

Could Celebrities ICO Be Scams?

However, these Celebrity ICO promoted companies advertise a company which is almost hollow; they present a white paper with great technology and don’t follow through with the project. Since ICOs aren’t regulated, it’s legal for them to just stop working on the project in a later date. That leads to a loss of the token’s value and thus the investors lose their money. Meanwhile, the founders or fundraisers end up with millions in BTC and ETH.

The people that buy these tokens aren’t seasoned investors, they’re regular people. It’s not hard to invest into a company during an ICO. So, if you like a project and you think they could be successful, you buy their token during their ICO. That’s why it’s easy to use Celebrities ICO promotion to lure in people who aren’t experienced enough to read their whitepaper.

What should you do before investing in an ICO?

You should definitely spend time and try to read their white paper. This usually explains how the company works and seeks to create value for users. Once you know that the token has potential to rise in value, take a look at their forecasts. Now, you might see an exaggerated price gain that the company forecasts, but you need to see whether it’s real or not. One of the most important things to decide is to see whether the company will continue with the project or not. Because if you were to send them BTC or ETH and receive another coin, you could lose all of your investment.

How to Invest in Cryptocurrency?

The easiest way cryptocurrency is to purchase ETH or BTC. You can purchase them easily on Coinbase. Coinbase is a trustworthy exchange since it’s regulated in the US and is backed by several big media such as New York Times. Moreover, it has many security measures in place in order to secure your bank credentials and your online wallet. Sensitive data is cut off from Coinbase networks, encrypted and copied to USB drives and paper backups. These paper backups and USB drives are kept in deposit boxes to ensure no breach is possible. All of these security concerns and measures make sure that Coinbase is quite safe to use for the average bitcoin enthusiast. Coinbase has been the benchmark of good quality online exchanges, providing great security standards and several different coins.

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About Article Author

Michael Serrano
Michael Serrano

Michael is an engineer and a bitcoin evangelist. He has been involved in cryptocurrencies since 2013. His biggest wish? 1 billion users of bitcoin, ether and litecoin by 2020. In the last 10 years he has worked for various early-stage start-up as a back-end developer.

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