NSSC Blog: Before You Invest

Question of the week: What is an Initial Coin Offering and is it a security?

Initial Coin Offerings (ICOs) using cryptocurrencies are a new way for businesses to raise capital.

Cryptocurrencies are online currencies that have their own monetary value but are not tied to a country or bank. They run on a distributed public ledger also called a blockchain which is a decentralized record of all transactions by currency holders. The most popular and known cryptocurrency is bit coin, but there many others including Ethereum and Ripple.