Initial coin offerings are the talk of the cryptotown when it comes to fund-raising and blockchain. Lesser-known, however, is the concept of a reverse ICO. This is because they are generally used by companies which are already established and are moving to tokenize their project or expand the business. This, as opposed to a brand new startup which is looking at ICOs as a means to get off the ground.
So, generally speaking, reverse ICOs act more similarly to initial public offerings (IPOs) which are used in non-cryptocurrency related markets. Reverse ICOs, however, do not have the restrictive regulations that IPOs need to consider.
In this, we will be recapping the three of the most notable reverse ICOs currently on the market.
This foundation, also known by KIK, issued the coin Kin as an ERC20 token. The Kin Foundation is hoping to extend the Kik application – a social media platform which allows users to chat, share videos and other media files with and to one another. The kicker about Kik is that a user is not required to verify their number or identification. This means that the platform automatically gives a sense of anonymity.
This aims to assist photographers who battle with copyright infringement and image theft as the platform will flag licensed images and ensure copyright protection for the owner. KodakOne will take care of all of the annoying admin regarding payouts and royalties for registered photographs. The platform will aim to ensure that the owner of the image is paid out timeously. Using blockchain as the primary platform, this will create both efficiency for photographers and a community around image-related intellectual properties as well as establishing an online trust for both customers and photographers.
If you keep abreast of ICOs in the industry, you’ll have definitely heard of this one.
This company has been making and breaking cryptoheadlines time and again. The funds have seen up to a shocking $1.7 billion USD. Massively popular, the Telegram train seems to gain steam at every cryptocurrency turn. Although the crowdfunding method is still categorized as an ICO, the company has scrapped the public offering and will maintain the building and development of the platform with the funds that have been raised by the initial private investments.