With ICOs being the new investment vehicle for individuals and firms looking for a chance to hit a big runway, there are many questions about how to get started.
First off, we would be remiss if we didn’t point out a few of the risks involved when investing in ICOs.
- Regulatory – Only invest in ICOs in regulatory compliance. Make sure they run KYC checks and restrict token sales to accredited investors
- Business – ICOs are a vehicle for start up companies to raise capital, similar to crowdfunding. Make sure you understand the business model and projections.
- Financial – While there is potential for a huge upside on these types of investments, this is also a riskier type of investment. We would NOT recommend investing in ICOs with your child’s college fund or your retirement savings.
- Cyber Security – Be smart with wallet keys and private wallet information. They should be secured like a safe deposit box key. Most hacking happens within exchanges where large amount of tokens are stored for long periods of time. Use a hot wallet/cold storage strategy. Spend some time selecting the best wallet for security and your needs.
If you understand all of these and are ready to join the ICO world, then please keep reading.
How to start investing in NEO ICOs
Step 1: Get a Neo Wallet – The NEON wallet is a good universal option by City of Zion. It holds NEO and GAS.
Step 2: Find an exchange – These allow you to not only trade but also buy and hold.
Step 3: Withdraw your Funds – always best to keep your tokens in your own wallet. It reduces the chance that an exchange hacking will affect you.
Step 4: Find reputable ICOs to start investing in. Take a look at these lists.
ICO Investing Must Reads:
Bitcoin WhitePaper – to understand this crypto craze, it’s best to go back to the beginning
NEO WhitePaper – in depth view of NEO Platform.
Investopedia – NEO Deep Dive
Master the Crypto – User Friendly Literature