Cryptocurrency

What is White Paper ICO?

If you’re planning a crypto startup then you must know about the ICO whitepaper. This is the document that company has to publish while launching their ICO.

You must also check, how to invest in ICO – The Complete Guide 2018.

Meaning of White Paper ICO

An ICO white paper is the document that includes everything about the project and technology behind it. The whitepaper document is based on blockchain technology. It also contains information such as anticipated growth, market cap and technical details including terms and conditions explaining the use of tokens. It states the problem and proposed the solution along with the product description and their benefits. The document also contains the information about the team and advisors.

A white paper is a document that explains the difficult situation in the marketplace and provides a solution based on the decentralized technology. It describes in detail the technology used in the project, token purpose and potential profit for the investors. The goal of the white paper is to convey the company’s message clearly explaining the project and inspiring potential investors to invest in the project.  A well structured ICO white paper raises the awareness about the project and influences the competitors.

Without a whitepaper, the company cannot invite the investors. The whitepaper should be well written following a proper structure. The content should be unique and not plagiarized from the other white papers available on the net. What you all need is the well-described information about the investment that investors look before investing. Some companies also write the secondary document to include the technical details that cannot be accommodated in the primary white paper.

ICO White Paper Benefits

If written correctly, white paper is an effective tool for fixing the ideas in reader’s mind. Here are some of the benefits of ICO white paper.

  1. It is the way of promoting the project and ideas to the potential investors without any direct reference to the products or services.
  2. It helps to fund the project and provide profits to investors by generating the higher sales.
  3. White paper defines a problem and also provides a solution for it. This motivates the investors to invest in order to resolve the market problem.
  4. If you propose the white paper correctly then it can be successful to get you the good number of investors.

Steps to Write Your Own White Paper

Step 1- Title

Write an appealing title knowing your audience well. Keep in mind the necessities of investors. It should be based on the problems that are resolved in the ICO. For the attractive title, search online which expressions are more searchable in the form of queries.  Make your title comprehensible and clear. The heading should contain exactly what is described in the white paper.

Step 2- Outline

It is another tool to capture the investor’s interest.  Try to provide brief and accurate information in the white paper. Usually, the suggested length is between 150-250 words. It contains the information that why should potential candidates read the document and what is the value proposition of this document.

Step 3- Introduction

Your introduction should suggest an appropriate decision by warning the readers about the problem.  Use the key points to prove them thoroughly.  Try to raise the problem and tell the investors why centralization can lead to inefficiency.

Step 4- Problem

Start your white paper with the current or future problems. It should contain all the information and difficulties it is causing to the start-up.

Step 5- Solution

Propose the proper solution to the problem mentioned in the white paper. You should also answer all the queries the investors may have before investing. Provide the roadmap in this section.

Step 6-   Token System

This is one of the crucial steps of any ICO project. Address the significance of cryptocurrency, economic aspects of the funds, technical aspects and its distribution.

Step 7- Product Distribution

The product is the answer to your problems. In this step, describe your product and strategy for its development. There should be the detailed aspect of the blockchain technology used in the project.

Step 8- Legal Aspects

In this step, explain all the legal regulations of your white paper relevant to your security plan. Potential investors should know about the reimbursement system if there is any.  They understand all the risks associated with the project.

Step 9- Proficient Team

The team should be proficient having the experience of successful ICO development. Keep in mind that investors look for the expert advisors and the team who can solve their queries and inform everything about the ICO.

Step 10- Summarize the White Paper

At last, summarize everything that has been explained in the white paper. Write a proper conclusion emphasizing the solutions to the problem and explain its significance to the target audience.

This is all about white paper. Consider the key points mentioned in this article for successful ICO.

About the author

Raj Hirvate

Hi, I'm Raj Hirvate and I am a Tech Blogger from India. I like to post about technology and product reviews to the readers of my blog. Apart from blogging i'm a big Anime fan I Love Watching Naruto, One piece and Death Note.

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