What is the Difference between ICO Listing and ICO Rating


What
is an Initial Coin Offering (ICO)?
An initial coin offering (ICO) is quite similar to the concept of an
initial public offering. The main difference is the fact that crowdfunding is
in terms of a cryptocurrency rather than a fiat currency. The money raised is
used by the founders and developers of the blockchain based project to fund
their research. In turn, investors are provided with cryptocurrency tokens.
This serves as a form of investment as these tokens are likely to increase in
value if the project value increases with time. These tokens can be stored in a
cryptocurrency wallet affiliated to the token and eventually traded for another
cryptocurrency, or sold privately.
The number of ICOs available on the market is huge and it is quite
difficult to segregate the good from the bad. In today’s date, 5-6 new ICOs are
emerging on a daily basis. While this is all well and good, there are several
ICO exit scams that are taking place. Teams of fraudulent individuals pose as
project members and initiate an initial coin offering, only to abscond with the
generated funds and leave investors with nothing to show for.
Please refer to –
While searching for upcoming and active
ICOs, individuals will come across a large number of ICOs to choose from.
The lack of a regulatory committee to govern the actions of these ICOs
only complicates matters as it is difficult for investors to figure out a
potential scam. The fortunate set of investors having the necessary resources
to conduct detailed research procedures are unharmed, yet there is a large
portion of the community which do not possess this luxury and end up getting
duped if they are not careful. There are
several ways an individual can determine whether an ICO is fraudulent
himself/herself, but this requires extensive research and many people do not
have the time for this. Centra is an example of a scam ICO. Several
cryptocurrency platforms take advantage of celebrity endorsements to set up an
ICO. Centra was endorsed by Floyd Mayweather and the two co-founders, Sohrab
"Sam" Sharma and Robert Farkas were arrested for fraud. The ICO
raised 32 million USD and was banned by the SEC. They claimed to offer a debit
card authorized by MasterCard and VISA that would allow its users to convert
cryptocurrency to USD and spend in stores. This was not the case as they had no
connection with both companies. Their profiles were fake as well.
Please refer to-
https://www.cnbc.com/2018/04/03/floyd-mayweather-backed-cryptocurrency-ico-fraud-sec-says.html
ICO ratings enable an individual to be at ease, as there are several
institutions adopting these methods to provide convenience of trade to
potential investors. ICO ratings help investors establish the sanctity of an
ICO. There are several ICO rating and listing websites available but only a few
are authentic and are genuinely reliable. Crypto Asset Rating Inc.
is a genuine independent ICO rating website offering two security tokens for
US-based (ANSA token) and non-US based (AND token) investors.
Refer to for ANSA token details-
Refer to for AND token details-
One should never base their investment scheme on the basis of these
ratings or listings. They merely serve their purpose to establish that an ICO
is not a fraud and can be invested in.
What
is an ICO Listing?
An
ICO listing is a comprehensive list of concluded, ongoing and upcoming initial
coin offerings. There are several ICO listing websites available. They merely
describe the essence of the project affiliated to an ICO, the duration the
initial coin offering will last and the percentage of expected funds raised. ICO
listing websites enable investors to choose from a potentially vast list of
ICOs. The major drawback of ICO listing websites is the fact that none of the
information published on such websites is verified. All information provided by
an ICO is published on these websites. This makes decision making for investors
difficult as the information is unverified and may result in them losing money
if the ICO turns out to be scam.
The above mentioned website has published a list of deceased
cryptocurrencies, scams and scam ICOs. Several ICOs mentioned in this website
have been listed on ICO listing websites and this proves that the information
on ICO listing websites is indeed unverified and untrustworthy. An ICO listing
basically provides investors with some unverified information about an ICO
without really suggesting or comparing ICOs with one another. ICORating,
CoinSchedule and ICOAlert are some of the most popular ICO listing websites.
What
is an ICO Rating?
ICO
listing websites bring a lot of unverified information related to an ICO to
your doorstep and do not necessarily ease the process of selection of a
particular ICO. The information provided by these websites cannot be trusted
and this is where ICO rating websites come into the frame. There is no
parameter to compare between different ICOs and come to a conclusion. Sadly,
the market is full of people looking to exploit the lack of a regulatory
committee and are determined to abscond with the funds generated during an
initial coin offering. ICO ratings could go a long way in solving this problem.
Projects can be rated on the basis of the risks involved in investing in
them and their long term future. Extensive research is done by teams who
analyse several aspects of ICOs. This would enable investors to have clearer
picture of what the project has to offer. Investors could then segregate projects
on the basis of this rating and choose a particular ICO on the basis of what it
has to offer in the long term future. ICO ratings merely removes the fraudulent
bunch from the market. Investors should not invest in an ICO merely on the
basis of an ICO rating. There are several people questioning the relevance of
ICO rating websites.
There are several ICOs being endorsed by celebrities. These celebrities
are paid a fee for their endorsement. Hardly any details are provided on the
project and investors are drawn into investing in the ICO because of the
celebrity associated with the project. ICO rating websites are paid off by
these ICOs in turn for a good rating. There are several rating websites paid
off by ICO teams to give them a good rating. Some other ICO rating websites and
ICOs pay bounty rewards in the form of tokens for promotion of their website
and ICO. Crypto
Asset Rating Inc. falls under neither
category and is a good option going forward for investors.
Of the many ICO rating organizations, Crypto Asset Rating Inc.
is a trusted option to choose from. It is a United States based Rating Agency
for Crypto Assets and makes use of an algorithm created by a dedicated team of
developers to rate different ICOs. The viability of an ICO in the long run is
put to test by this algorithm. The blockchain based rating
engine is based on 150 different rating parameters and is divided into over 15
categories, depending on the business, legal, financial and technical risks
involved in investing in a particular cryptocurrency asset. Crypto Asset
Rating Inc. is an independent
rating agency with a trusted team of competent individuals.
Conclusion
While
an ICO listing provides investors with the unverified details of past, ongoing
and upcoming ICOs, ICO ratings enable an investor to determine whether an ICO
is fraudulent or not. ICO listing websites send emails to their subscribers
whenever a new ICO project is launched on the website, when an initial coin
offering is to commence, and when an initial coin offering is to end. ICO
rating websites are a better option as they bring verified information to the
table, of which Crypto Asset Rating Inc.
is a viable option. Visit the website for more details on the project!
http://www.cryptoassetrating.com/

Crypto Business World
CBW - External Analyst
INDIA