Most of the new offerings are tokens. A whitepaper will list the benefits to the user, usually a % of profits of some new product that the team will bring to the market. So they are acting as company shares.
I'm not trying to justify this and I don't buy them myself, but I am watching teams raise serious amounts of cash.
To me this seems an easier way to raise cash than going to a bunch of VC's becuase with the ICO craze the due diligince is negligable.
I'm not trying to justify this and I don't buy them myself, but I am watching teams raise serious amounts of cash.
To me this seems an easier way to raise cash than going to a bunch of VC's becuase with the ICO craze the due diligince is negligable.