Crypto Academy Week 9 - Homework Post for @imagen

ICO is an abbreviation for 'Initial Coin Offering', which is a popular crowdfunding by startup for a new cryptocurrency or blockchain environment that might give some kind of utility for a cryptocurrency products and services in return, ICOs are similar to an IPO (Initial Public Offering) that Fundraises for a company when they venture into a new stock but differs in terms of having a share in the company that you gave money to but rather ICO is like a game of chance by investing in the new unpopular and uninfluenced cryptocurrency now will be valuable later on to bring whooping money. There are two types of initial coin offerings ICO namely:Private ICO and Public ICOs
In the private initial coin offerings, the number of investors that can participate in the process are restricted and definite and are usually accredited investors (financial organization and a good financial ndividuals) that can take part in the private ICOs, and minimum investment amount can be set up by the start-up company.

However, the Public initial coin offerings are a type of fundraising that is publicly open to everyone interested. Public offering is a type of investment that is regularize in a democratic system making it possible for anyone to invest, but these regulatory concerns makes private ICOs to become a more logical choice in comparison to public offerings.

Mention the differences between ICO and IEO

Start-ups companies in the Blockchains and cryptocurrencies environment that are daily going into the mainstream needs a fundraising to kickstart their project that would engage developers and investors. There are many different ways to fundraise a project in cryptocurrency environment suchlike acquiring funds from a venture capitalists (VCs) or pre-mining. But neither of the two are better as the former is time consuming and and the latter can cause community critique. So initial coin offering (ICO) and initial exchange offering (IEO) are the new ways of fundraising in blockchain and cryptocurrencies projects.

Well as defined above ICO is a shortening form of initial coin offering which involved the raising of funds to a new cryptocurrency creation and the investors will be given new cryptocurrency coin known as 'tokens' which might not be beneficial to them in the beginning but become valuable later in the future and earn them (investors) more money than their initial investment. Historically, ICOs is dated back to the year 2013 where it was first held by a digital currency and communication protocol layer company MASTERCOIN, where they raised a whooping sum of almost $600,000 for the creation of bitcoin blockchain platform. This motivated many cryptocurrency companies to start ICOs. IEO on the other hand is the abbreviation for'Initial exchange offering' it is also a way to raise funds to a new start up in the cryptocurrency environment just like ICOs where tokens are offered to investors before they become available in the market, unlike ICOs that is democratize, contribution in IEOs are only to the registered members of that exchange and the company that launch IEOs I'm the cryptocurrency and Blockchains environment have to pay a percentage amount of money to every tokens sold during the IEOS period, IEOs become more popular and reliable when scam and fraud became too common in ICOs projects.

Despite that both ICOs and IEOs are different ways of fundraising in blockchain and cryptocurrencies projects they have some kind of differences in between them

Initial coin offering ICOs is consolidating a decentralized blockchain technology system in fundraising activities that will make various stakeholder have the same interest.on the other hand cryptocurrency exchange control the IEO processes tending to push it towards a Centralized structured, that whenever tokensale happens on their platforms, only a few investors will be IEO hosts and control the market, example of financial organization that is operating like this is Central banks that control every flow of money.

This cannot happen in ICOs projects because they are not hosted by a third party.
Conducting a fundraising through IEOs is regarded as much more safer than ICOs because unlike ICO, IEO is backed by a digital currency exchange platform. The IEOs will address the project, the contraversy of the option to sell the tokens at a later date that plighted many investors in ICOs and ensure that it is not a scam. ICOs on the other hand can be launched by anybody, including scammers and fraudsters.

In ICOs, there might be a case where the tokens that will be offered to investors were not even listed on exchange, as coins were normally bought with only promises that they would be available on exchanges. While, on buying tokens on IEOs, you buy it with the assurance that the exchange made some thorough review and inspection and is launching a coin that it definitely has a valuable future.

The exchange’s paramount important focus is not to disappoint it's customers/investors by realising invaluable tokens. Simple expression of this is 'what I ordered vs what I got' in the today's online market
Crypto exchanges in IEOs conducts a thorough audition procedures for start-ups. way, this obligates each and every investors/customer to provide all the details concerning their project, like the number of members, information of the company in details, and lots more, They also have to complete their KYC procedure by verification of their identities. This long procedures will be very difficult for scammers to follow. I'm ICOs on the contrary, there's no all those procedures. As a token issuer, you are can just launched your ICOs platform and starts selling tokens to people by designing a website and publish a whitepaper.

This is the main problem of ICOs and the main reason IEOs came into existence because anybody can fundraise through ICOs, make a lot of money and disappear into a thin air. Lack of transparency is the main problem of ICOs and this is the basis where IEOs came into existence.
The event of tokensale in both ICOs and IEOs usually lasts for a short period of time making it impossible to numerous people who wanted to join the tokensale but were not able to, to overcome this issue, ICOs and IEOs tend to solve it differently where GAS WARS idea was brought up by ICOs in which the overestimated commissions by the investors meant the GAS. The earlier an customer come to invest the lower the discount they will benefit from, and the discount price depends on how early they get in to the project. IEOs on the other hand differently solve this issue in a better way by lottery where any investors that won a ticket randomly will buy their tokens with the first bidders and those that deposits their token in the last 20 days will get additional tokens thereby having the chances of winning the lottery to rise up.

(2).What are the advantages and disadvantages of ICOs?

Termination of middleman from the fundraising process and create a connections that is directly between the company and investors is the major advantages of ICOs, and the interest of both parties is also aligned.

Fund Invested in ICOs are easily convertible to cash with so much value unlike some other opportunities where the Invested funds is inaccessible until many years afterwards.

ICOs is a decentralized blockchain structure that is publicly available , especially if the ICO is accepting cryptocurrencies. What is required alone is the ability of the contributor to send the capital in time when buying.

With ICOs, anyone can invest at any time. This makes ICOs to differs from all other funding startups,in which it's very impossible to be among the an early investors only if you are in direct association with any one of thes start up founders.

The value of tokens differs in ICOs from one start-ups to another there by lowering the risky and strengthening the opportunities of getting a considerable profits and also enable many investors to contribute even a bigger projects.

ICOs have a very simple procedures of fundraising that let anyone running a startup project to get capital hence lessen competition.

ICOs is a best way to sale and liquidate contributors tokens for those who are hesitant to sell it.

(3). List at least 1 ICO that is starting, is in development, or has ended. Explain the project of the development team and add information of interest. (Example: IOTA, Spectercoin, Ark)

DAFI PROTOCOL

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Dafi creates synthetics referred to dTokens, to reward long term users' networks
Same chains. Better users.
Since Bitcoin, every decentralized economy now is forced to distribute large amounts of tokens to their network and this brings about too much tokens in to the market that affect the price as a result of excess supply and with no regards to the earliest contributors. This is where Dafi come in to solves this disturbing problem to later reward those long term users not in the beginning. The rewards is not given directly in tokens but rather Dafi protocol creates dTokens in a reduced amounts where the price gradually increases as the demand increases.

Meaning that the long term users are incentivized and maintain the network when adoption is low.
Dadi protocol ICOs is to started in 15 March 2021 and ended on same where it announced it winner on 17th March 3pm.with a total supply 2,250,000,000 DAFI.

Dafi protocol have reached 12 milestone since from :

2018 where dafi tested it theories in the Blockchains environment

2019 made presentation at some events, institutions and even at the incubation of Natwest bank

2020 changes it branding.

2020 privately confirmed it strategic partnership

2020 development of MVP

2020 made a platform that a User can create dTokens on.

2021 had DAFI tokensale that last for a whole day.

2021 To create synthetic to the network by dafi staking

2021 To create a flavors as a New protocol of dToken.

2021 For Dafi NFT minting by using the dTokens

2022 To have DeFi features to be built on DAFI.

2022 to create a financial world revolving all around
DAFI

Dafi consist of 5 Teams members as Zain Rana is the CEO, Founder Takes part in this project as the first time in blockchain environment. Zain hails from a family background of analysing foreign currency markets, and is working on the financial digital system for big UK brands The decentralized nature of Blockchain technology was what draw his attention and became so much interested, thereby he made quite numbers of presentation at the largest, and most big events of blockchain technology in the Europe as well as Asia, with much audiences not fewer than 5000+. History will not forget zain as the personality that introduces blockchain technology to many prestigious universities in the UK. Many of the DAFITeams are of a Blockchain, traditional backgrounds,Babar Shabir, Head of partnerships and takes part in this project for the first time,Oleh Pashchenko a Blockchain Developer that Participates in several projects. Walleed Mehmood who's a Software Specialist but takes part in this project only Adam Ben, a Growth & Marketing Lead and involved in this project as a first timer and a technical Advisors John Milburn that have Participates in several projects. They all believe to create a new model to reinvent finance and blockchain’s of value, forever.

@imagen