MISTAKES TO AVOID WHEN RUNNING AN ICO (PART II)
Note: This is a second part of the article. Make sure you read the first part of the article before proceeding.
The information provided in the article is neither legal nor financial advice and is intended for informational purposes only.
Failure to perform the PR campaign in time
The importance of the PR specialists in the team should never be neglected as it helps the startup to ensure the press coverage responsible for the generation of the Public Awareness and Brand Trust.
Development of the Media relationships takes time and dedication, thus we recommend partnering with the well-established PR agency with an established network of media sources and influencers.
Note: With an increased demand for the media coverage among the ICO campaigns it is recommended to start distributing the Press Releases 1-3 months prior to the projected date of the publishing.
Failure to handle the Community
Community-driven, the ICO campaigns are always expected to maintain a persistent level of activity on the social platforms.
Telegram has been highly regarded by the crypto community as the most popular way for customer support among the Startups. Its customizable bots and very agile approach to the chat management are the key competitive advantages. The founders are advised to dedicate a team of experienced moderators to handle both the incoming questions from the potential investors and ban all of the malicious actors posting scam and spamming the groups.
Note: creating the chats dedicated to different languages helps attract a broader international audience. Make sure your ICO campaign targets only relevant investors though. The SEC’s report on Munchee Inc illustrates how selling the utility tokens to the audience that won’t be able to use them as intended in the White Paper may shake its utility status quo.
Failure to provide enough updates
Twitter, Medium, Steemit, Reddit and Bitcoin Talk seem to be the most popular update publishing platforms used in the ICO campaigns.
Updates are a vital element of the ICO process contributing directly to the Community Trust levels. Consider dedicating a special team that will be keeping your community in the loop.
Failing to prepare is preparing to fail
Being a product of the p2p economy, the success of every ICO campaign naturally built on the Trust of its community.
- Make sure you secure the Soft Cap way before you launch a public offering through the solid commitments from the IR department.
- Partner with a talented HR rep to help you build the strong team for the project.
- Consult with the legal advisors before approaching any investor in the private or public form.
- Your press releases won’t be published overnight. Make sure to bring a specialist on board or partner with an established PR agency to handle to communications with media.
- Moderate your community public discussions to protect your project and the community from the bad actors.
Starting your ICO? Consult first!
We live in the world of changes where the advanced security protocols are aiming to change the very structure of the Internet we’ve come to know up until today. The innovations in the blockchain and the services and infrastructures that are being built on top of it are changing the landscape of the Web.
If you’re looking to launch your ICO consulting with the legal professional is a must! At Crypto Lawyers Corporation we provide a free consultation for the founders. Feel free to reach out now with questions or concerns. Additionally, if you’re seeking for the pre-sale investors one of the core features of the Crypto Lawyers Corporation is our extensive IR network, modern and trustworthy legal and escrow services. Learn more about why every ICO needs an escrow here.
Learn more: How to choose the right country for your ICO?
About Crypto Lawyers Corporation
This blog was created in order to educate the Crypto Lawyers Corporation clients and partners about the developing world of ICO campaigns, be an introduction to the world of Blockchain, the latest industry updates and share our professional experience.