First, let’s throw some light on Initial coin offerings. Initial coin offerings are a way of getting money from investors on a project. Money from investors is used to fund the project and create an actual product or service. Investors make a profit when the token price increases. When the value of the ICO token decreases, investors make a loss. To make money from ICOs you’ll need to do the following:
Take your time and research: Researching on where to buy ICO token is one step to making a profit. However, you should go further in analyzing the different ICOs open to you before investing. Take a look at their project ideas to evaluate how it will solve problems for the customer.
Buy some ICO tokens: when you’re satisfied with the project of an ICO, you can proceed further to buy some tokens. However, don’t invest all your resources in only one ICO. Be sure to spread your investment across the top five ICOs that are worth investing in.
Track cryptocurrency trends: After you’ve obtained cryptocurrency of your choice you need to stay abreast of how its value fluctuates when the price increases above 100% of the ICO value sell them off. Otherwise, retain them until the price increases. That’s how Bitcoin investors made a whopping profit selling their tokens.
Making money from ICOs is similar to making money from IPOs. The major difference is the dividend that IPO offers to investors which ICOs don’t.