Ultimately the market for ICOs is about the companies that make up that market. When you buy a token, you are holding a promise. You’re not holding a piece of that company. It’s important to understand at a deep level what that promise is.
From Skeptic to True Believer
For the past few days, I’ve examined the top performing ICOs that are backed by Ethereum’s ERC-20. Almost all of them are promises to deliver value and some even commit to a return on token.
Going in, I was skeptical about these high performing ICOs and their business plans. But except for a few gambling endeavors, the level of business innovation was shocking. As a marketer, I listened to the ICO hype of easy money from sleazy imposters and I was skeptical. But not anymore.
Take Golem for example, if you haven’t heard of Golem you’re not alone. Golem has given a 1958% return on their ICO from a year ago. That means had you invested just a $1000 in their ICO, it would be worth $19,580 today.
Golem’s business model is also innovative – this isn’t a commodity play. In short, Golem allows users to make money ‘renting’ out their computing power or developing software. And, they’ve tied their token value to the success of the overall platform which theoretically will increase the value of their token over time. That means if you’ve purchased a token or earned a token, that token may get even more valuable over time (on top of the 1958% return).
But investing in utility backed tokens is a completely different intellectual experience than we are ever taught about invest and how to make money. It’s more Kickstarter than stock market, but the token has a secondary market which may pay off in the future.
I wanted to learn more about companies like Golem and the potential of tokens so I decided to research 25 of the top performers. I’ve also rated them by an innovation score based on my own business experience. Why? Because I went in with the theory that most of them would be “me too” copycats. I was wrong…