With the passage of time, initial coin offering is proving a fine opportunity to raise the funds for the Blockchain based projects. If we see the number of ICOs published in the past five months:
- In October 2017, the number of ICOs published = 279
- In November 2017, the number of ICOs published = 302
- In December 2017, the number of ICOs published = 244
- In January and February 2018, the number of ICOs published are 295 and 477 respectively.
The notable thing here is that despite the immense popularity of ICO initial coin offering, not only that people have mixed opinion on the token sales, but the countries too. Where some countries banned the ICOs, some other countries have a higher success rate for ICO initial coin offering. In this blog post, we will see three countries where the concept of token sales or initial coin offering is proving a super hit.
With $ 18.57 trillion GDP, USA is the first on our list. Yes, the United States government has taken a generally positive approach towards Blockchain technology and ICO initial coin offering. At the same time, several USA government agencies are working on preventing the misuse of Bitcoin and initial coin offering. Apart from that, a lot of factors make the United State of America a fertile ground for initial coin offering.
Interest in Blockchain technology:
Definitely due to challenges and lack of suitable procurement option USA government was late to embrace cloud computing. But due to decentralized model and top-notch security features, Trump administration has shown deep interest in Blockchain technology and adopted it immediately. First of all, The Food & Drug Administration in the USA adopted the technology and later U.S. Department of Defense Transportation Command also shown a recent interest in the blockchain. Now Blockchain technology is immensely popular and to date, USA has accomplished 348 ICO projects successfully.
Regulation of Cryptocurrency:
Unlike world’s major power like China and South Korea, the United States government adopted a slow and steady approach to the adoption of cryptocurrency. Now cryptocurrency is legal in the USA and gradually with the passage of time, the country is emerging as a top place for ICO initial coin offering. Bitcoin is the most popular cryptocurrency and with a market capitalization of $28.49 billion, Ethereum is the second-largest cryptocurrency in the USA.
Technological change and innovation:
The USA is setting a paradigm in the field of technology and innovation. During the second tenure, the USA president Barack Obama challenge the combined public and private sector to invest 3% of the nation’s GDP on research and development, thereby country remains as the leader in the field of Aerospace, computing and internet technology. On October 2017, President Donald Trump has signed a $700 billion military spending bill that includes a mandate for a blockchain cybersecurity research study.
With 250 successful ICO initial coin offering projects, we have placed Singapore second in our list. Since the inception of Blockchain technology, Singapore government adopted significant steps to regulate the Blockchain technology. Now the country emerged as a favored ICO destination for Blockchain companies. Here in this section, we will review that why Singapore is fertile ground for ICO and cryptocurrency?
Singapore has relatively low- income tax structure (ranging from 0 percent to a max of 20 percent) and easy rules for starts ups.
Light touch rule
There is no complicacy in the system and light touch rules influence entrepreneurs to invest in the emerging technology. While the Bank of Canada, Bank of England, and People’s Bank of China have also experimented with tokening their national currencies on the blockchain; the same the Monetary Authority of Singapore (MAS), Singapore’s central bank has created a tokenized version of the Singapore dollar, available on Ethereum- based Blockchain technology.
With 146 successful ICO project, Switzerland is another promising land for ICO initial coin offering. Recently Swiss startups planned to invest 100 million Swiss Francs to invest in the ICO initial coin offering, this is the latest sign of Switzerland’s emergence as a crypto power. Apart from that, following things make Switzerland a global hub for initial coin offerings.
Positive environment for startups:
The positive and less complicated legal structure of Switzerland motivates startups to invest in the emerging technology like Blockchain. Now Blockchain technology is gaining immense popularity and appreciation. Swiss government offering concession on tax on the project that is based on blockchain technology and Banks are providing an easy loan. This is a positive environment for startups. The co-founder and Chief Executive of Crypto Real Brigitte Luginbuehl told that Blockchain technology is growing at exponential rate in the country thereby company is planning to invest 80 million to 100 million with ICO.
Regulation of Cryptocurrency:
Where other countries like China and India express their concern about the cryptocurrency craze, citing worries about security, regulation, volatility and a speculative bubble, same Switzerland embraces the cryptocurrency culture. This attracted thousands of entrepreneurs who invest in cryptocurrency to flock to the country and establish businesses. The most successful ICO in the country was the Bancor’s where more than $153 million was raised within hours after the ICO was started.
The bottom line:
Although the concept of initial coin offering is getting popular, and now it is not restricted to a specific country. In this blog, we have selected three countries USA, Singapore, and Switzerland, because in term of adoption of Blockchain technology and regulation of cryptocurrency their countries have set a successful initial coin offering model, which other countries are still experimenting.