What is an ICO (Initial Coin Offering)?

An Initial Coin Offering (ICO) is a fundraising method used by companies or projects in the cryptocurrency space to raise capital. In an ICO, a company or project creates and sells a new digital currency or token to investors in exchange for funding. Investors typically purchase these tokens using existing cryptocurrencies such as Bitcoin or Ethereum. The tokens issued in an ICO can represent a stake in the project, access to a product or service, or some other form of utility within the project's ecosystem. ICOs have become a popular way for blockchain startups to raise funds quickly and easily, but they also come with risks such as regulatory uncertainty and potential for fraud.