ICO Market

Sometimes known as ICOs, an initial coin offering, or initial token crowdsale are an offering of securities on the blockchain that creates a new instrument for ownership – digital tokens.

A brand new capital market

Recent ICOs – Issuers Doing It Themselves, The Regulators Will Notice
  • Several recent ICOs raised record amounts in minutes: for example, SingularDTV – c.$7.7m Golem – c.$8.5m in less than 20 minutes
  • Substantial market caps and trading volumes for popular ICOs, in line with small-cap stocks
Major ICOs in 2016 – Number and Amount Raised by Month

ICO Is An Emerging Alternative Funding Source

  • Offering size increasing as appetite and awareness grow
  • Offerings structures starting to get more sophisticated
  • Digitization of asset from Gold to Insurance to Video Games – much more to follow: equity, debt, commodities, mass-owned goods
  • Deep markets for popular issues
  • Large community of active traders
Public
offering
Private
offering
Crowfunding Tokens
Global investor base
Transaction size
Access for retail investors
Fast execution
Low deal fees
Low regulatory burden
Secondary liquidity / transferability
Low trading / transaction fees
Dividends
Source Argon Group Analysis

Lack of Regulatory Compliance is a Major Problem

New Market, Unclear Regulation, Unaware Issuers, No Experts
There are virtually no legally compliant token offerings to date
  • 20 noticeable token issuances in 2015-2016 for a total of c.$250MM
  • Only one token offering to date has even come close to being compliant with securities law - the rest are breaking the law and enforcement is not far behind
  • The complexities of reaching a simple but legal offering structure are enormous
  • We spent 6 months on a fully bootstrapped deep dive into the Digital Finance and built the first globally compliant offering structure
  • We have developed proprietary Ethereum-based smart contracts in the form of Digital Tokens with unique investment aspects including the potential for dividend delivery and security-like rights and voting
The market is rapidly maturing and needs a secure, reliable platform that is synonymous with quality and stability