ICO Crowdfunding: Incentives, Pricing Strategy, Token Strategy and Crowd Involvement

Abstract

Blockchain technologies provide means to develop services that are secure, transparent and efficient by nature. Unsurprisingly, the emerging business opportunities has gained a lot of interest that is realized in form of successful Initial Coin Offerings (ICOs) that are able to raise billions of USD through crowdfunding campaign. In this exploratory research we study 91 ICOs through content analysis in order to investigate the special characteristics of ICO crowdfunding as business models towards the possible investors. We found that ICOs can be described through (1) the model for providing incentives for investment, (2) the pricing strategy, (3) the token strategy and (4) the activities for crowd involvement in value co-creation.

Longevity Foundation: Perspective on Decentralized Autonomous Organization for Special-Purpose Financing

“…The Foundation provides incentives to achieve targets for such financing, significant part of which originates from backers' donations. No universally effective marketing strategy to increase charitable behavior is known [51]- [55]. And we are not going to invent it but rather to provide best practices as options for backers.…”