Manukyan: Be Careful With ICO Investments
It is possible for investors to buy tokens that can be called digital shares of the company by participating in the ICOs (first digital currency offering) of promising start-up companies, and invest in companies in this way. However, experts state that ICOs are organizations open to fraud due to the lack of authority control.
Is Investment International Markets Manager Shant Manukyan “Although both are the sale of an asset to investors, an ICO can be defined as the sale of a business idea built on blockchain to savers, usually via the Ethereum platform and smart contracts. ICOs are not led by a brokerage house and, unlike IPOs, they do not currently have any regulation.” It is a suitable method for the growth of structures that are more prone to fraud, but too small to obtain funds from the financial markets. If there is an investor who has a high risk threshold and understands what he is getting, it can be invested. Of course, ICOs have a much higher risk and return potential than IPOs”
AA