INITIAL COIN OFFERING (ICO) ESCROW SERVICES
ICO escrow services are essential as they involve using a third party which is trusted for the facilitation of transactions for projects and their investors. Most important, they are responsible for withdrawing money once the ICO has been completed and will either transfer it or return the funds to investors.
Advantages of ICO Escrow Services
- Protects investors and their funds, and hold project planners to their obligations.
- The company could identify the reliability of an investor by implementing the use of the Escrow.
- The company will not have to undertake additional PR and marketing for the ICO funding.
- Through the financial model, the company will be able to attract corporate and fund capital.
- The company’s ICO will be easily distinguished from other ICO that do not use the financial model.
- The price is also stabilized through the distribution of the open cryptocurrency to the market after listing.
ICO Escrow Services
There are several options available for ICO Escrow Services in the market today, and no one size fits all. Working together with ICO Advisory Services, Valsen Fiduciaries provides the alignment for your ICO and investor requirements for establishing an ICO escrow.
Escrows serve a critical function when it comes to ICOs. Unlike a traditional IPO, buying a token does not give the investor a stake in the company. Instead, they receive tokens and if the ICO is successful, the value of these tokens will increase. As is the case with any investment, there are risks when it comes to whether an ICO will be successful or not.
An escrow helps protect against some of the risks of the ICO world. Having one can help prevent developers from just running away after the initial ICO period. They need to deliver what they promised, so that 100% of ICO investment and payments are made in a proper manner.