Why the China ban is a good thing for ICOs

The initial coin offering is an incredible financial invention that in its short history, has revolutionised the funding of early stage innovations having overtaken early stage VC money as the biggest contributor to new startups, helping them overcome the initial funding gap that many startups struggle with.

Like any nascent industry, there will be some people who take a chance and don’t play fairly, so as it grows bigger there will be a need to self-regulate or to be regulated. It appears the ICO industry has grown too quickly and was too out of control to regulate itself so there should be no surprises to see the actions taken by the SEC and China over the past few weeks.

The Cove team from the start has sought to run a credible token sale , using it as a vehicle to fund the development of what we think is a viable and world changing product. So we welcome the tightening of the rules from governments as it will reduce the number of scammy and unsavoury token sales out there that we have to compete against for attention. We’re happy to be in the company of other credible token sales that help boost the reputation of an industry that has the potential to drive innovation and change the world like never before.

We raised this concern before the SEC regulations and the China ban took place and pledged to run a credible token sale right from the start. Here is what we are doing to make sure people feel certain that they are contributing to a legitimate token sale:

• We have already launched a fully working MVP that we have developed over the last year. It’s available on both the iOS and Android app stores with 100s of people already using it.

• Our whitepaper is clear and thorough, and explains our product ideas in detail, showing we have thought this through.

• We have a credible team with good experience and a track record of delivering on projects.

• We are transparent with the details of our team members, including LinkedIn links, pictures and bios.

• Our token structure and token sale instructions are simple and clear.

• We have a product roadmap that extends into 2019. We will publish a public Trello board spelling out a more detailed roadmap.

• We have a solid growth plan and have identified revenue streams already.

• Our smart contract will be available for review on Github.

• We are clear in our communications and are available across multiple channels to answer any questions that arise.

We will continue to put our full effort into running a credible token sale and creating a groundbreaking product, keeping you updated every step of the way on this blog, the website and our social channels. Feel free to ask us any questions on any of our channels listed on our website.

Pre-registration is now open for our pre-sale. You can register on our token sale website.