GLOBCOIN is a digital coin that marries the best aspects of current cryptocurrencies with the best aspects of fiat currencies. The value of the coin (GLX) is linked to a basket of fiat currencies of the 15 largest world economies and 5 % Gold. Its value reflects the world economy including its new components and trends such as the booming economies of countries like China or India, while maintaining a good balance of the currencies of Western economies. Launched in 2013 by a team based in Switzerland and the UK, the product under the brand GRC “Global reserve Curency” has been already offered to large corporations and high net worth individuals. The Platform will enable the launch of customised currency baskets for a variety of uses. Currency baskets are portfolios of selected currencies with different weightings.
GlobCoin to Launch an ICO
Globcoin is going to launch an ICO in about 30 days. An Initial Coin Offering (ICO) is when investors are offered a few units or token of a digital currency. These ICOs have been around since 2013. They are usually used to fund development of the cryptocurrency. The tokens can be traded or sold with ease on digital currency exchanges if the demand exists for them.
ICO has been an important tool that could revolutionize the financial system and not just digital currencies. In future, ICO could become the shares and securities against which people can trade.
What Is the Legal Status of ICO
There is still an unclear legal status on ICO. Ideally, a token is sold not as a financial asset by as a digital good. That is why ‘Crowd Sale’ is often used when talking about ICO. In most times, funding with ICO is not regulated. It makes it quite easy and paperless.
However, some jurisdictions regulate ICO in the same way as securities and shares are regulated. Thus, although most ICO are in a legal grey area today, most of them will likely happen in clear legal structures in future. However, this could create legal and financial risk for investors. Besides that, the cost to comply with legal requirements could reduce the benefits of ICO.
Profits from ICO
Most of the ICO have turned out to be a good choice for investors. For instance, ETH was initially offered 0.0005 Bitcoin. Today, it is worth 0.05 BTC. That is a profit of 10,000 percent. In most cases, ICO investors stand to make an average of 100 percent to 500 percent profit.
However, there are still some shady ICO in the market. These are usually small and have existed for about just a year. If you are not careful, your money could end up in this drain. It is up to you to conduct due diligence and assess whether you will gain anything from such an ICO. In most cases, industry chatter will help you make your choice.