Bitcoin- Billionaires Admire it too? Cryptocurrency Crowdfunding “Tezos”
Mr. Tim Draper, Bitcoin investor and known billionaire venture capitalist, revealed to start another new cryptocurrency investment after investing in Bitcoin.
Mr. Draper’s real aim is to take part in ICO (initial Coin Offering) through blockchain platform “Tezos”, rather than excavating the nova in cryptocurrency.
Many investors hesitate to invest in cryptocurrency despite high price of Bitcoin
IPO (initial public offering) has been settled as the way of large-scale fundraising in enterprises. ICO, which is IPO’s cryptocurrency version, generates operating funds by selling the newly issued token in cryptocurrency to investors.
In investment, the difference is only the investment object which is the cryptocurrency, and cryptocurrency exchange has a security company role. The investment structure and concept are mostly the same as the general IPO. Those investors that invest in new cryptocurrency are expected to increase the price and value in the future, and the issuing side works further to develop and improve through the funds collected.
In fundraising by using ICO, the best example would be Ethereum, which raised funds approximately 18 million dollars as an advance sale in 2014.
However, there are many specialists who consider that ICO is high-risk investment because it is not regulated like IPO. As of the current situation, ICO has not reached the same criteria as general stocks, even though cryptocurrency is well-known for its high price like Bitcoin.
Mr. Draper says that “Bitcoin is the best in cryptocurrency”
Mr. Draper, who founded venture capital company “Draper Fisher Jurvetson” in 1985, initially invested in Skype and Baidu, China’s largest search engine. He also noticed Bitcoin’s leap quicker than most.
His first purchase of Bitcoin was 30,000 coins in 2014 (approximate price was 19 million dollars), then he energetically carried on by investing in Bitcoin without any influence of fluctuation in the price.
In the meantime, various cryptocurrencies were paid attention to by investors, but Mr. Draper consistently kept with “Bitcoin only”. He declared that “no other coins exceed Bitcoin”, though he also admitted the potentials of other cryptocurrency including Ethereum.
“Tezos” started up by think-tanks on Wall Street and computer scientists
Mr. Draper was interested and took part in “Tezos” which surprised the world. The crowdfunding platform was established in 2014 by Wall Street think tanks, computer scientists, mathematicians, and physicists under the concept of “digital community”.
Tezos is similar to current blockchain platform including Bitcoin, but the aspect of management diversification differs greatly.
Although it is pointed out that the current Blockchain tends to centralize the authority to some participants, but Tezos attempts to solve such problems through diversifying Blockchain’s governance.
Appeal the safety and benefits of cryptocurrency extensively
Mr. Draper’s stance is “to show that cryptocurrency and ICO are safe and beneficial” regarding cryptocurrency through Tezos against investors who get nervous about unstandardized ICO.
Mr. Draper is convinced that financial markets are undergoing a major turning point and insists that much more investors should be interested in the new investment products such as ICO. He represents the enthusiasm to lead the opening of next generation’s investment industry.
It is highly expected that Tezos’ reliability will be soaring by the famous investor Mr. Draper, who is becoming a member. Rough information of Tezos can be viewed on its website (https://www.tezos.com/). Full-fledged commencement will be at the end of May. An investor who is looking for the nova of cryptocurrency should check it out.