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April 27, 2018, 03:40:24 PM |
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Steps to invest in an ICO
Transfer your ETHER or BITCOIN to wallet from the exchange:
The reason for this is that when you use a centralized service such as a company like Coinbase/Unocoin/Poloniex, you do not own the private keys to your bitcoin or ether address. The way the ICOs typically work, you send them your ether or bitcoin, and the smart contract immediately sends the tokens back to your address. But since you dont have private keys in Zebpay or Liqui or Coinbase account, if you send ether or bitcoin to an ICO address from your exchange account, youll simply be enriching the exchange instead of getting your desired tokens.
If youre using ether, which is commonly accepted in ICOs, you can use a site like My Ether Wallet to create a new Ethereum key there and transfer your ethers on Coinbase to that wallet. Another option is Parity, which enables you to do things like invest in an ICO at an exact time a feature that you might want to use if you believe the ICO will sell out within seconds. Once youve transferred your coins to a user-controlled wallet, youll have an ether or bitcoin address whose private key you control and that means that youll be able to receive tokens there as well.
The token sale will post an address where money is being collected during a certain window of time. Be very careful that the address to which you are sending coins is actually the address of the token sale. Scams trying to get people to send their ether and bitcoin elsewhere abound. In fact, yesterday, during its ICO, Coindash.ios website got hacked, and the crooks appear to have made off with $7.9 million worth of ether simply by changing the address on the website to their own.
You will receive the tokens based on your contribution.
After receiving the tokens, you can transfer it to Liqui.io or Binance or EtherDelta.io to sell those tokens if you feel like and get BTC/ETH in return.
Thank You!
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