See our ICO investment guide 1 if you new to ICO

This is not financial advice and purely to explain the process of investing in any ICO of your own choosing. ICOs are fascinating and offer the potential for massive returns but with anything of this nature, the path is riddled with risks and you could easily sprain your ankle.

Participating in such an event is more than an investment, it’s a real race. And it isn’t only stressful, it is riskier too. There are so many things that you can do wrong and lose all your investments. This is why you should prepare yourself properly and know exactly what’s about to come.

Initial Coin Offerings (ICOs)are referred to the new IPOs or next generation crowdfunding. In this post, we explain how to participate in a token sale with an easy step by step guide.If you are participating [Dafzo]9www.dafzo.io) ICO please refer to guide below.

How to invest in DFZ token Step by Step Guide. Please note that Dafzo ICO used as an example of a guide for good ICO participation framework, not a promotion.

Top-3 most common mistakes while making the transaction:

• Not enough gas (you should have enough spare ETH in your wallet)
• Writing the sending address by hand (you should copy paste it or scan the QR code)
• Not checking the transaction (you should always check you received the tokens after the sale ends)

Background Info

Most of the ICOs today run on Ethereum blockchain through a smart contract that collects Ethereum tokens and automatically exchanges these for a new token (ICO tokens/ERC20 crypto coin) presented by the start-up company. For more info on understanding the risk please refer to our guide to Investing in ICO.

Step 1: Always participate from ICO website

Always refer to ICO website for participate information. There are many scams lately on the telegram, where people pretend to be ICO founder and sometimes say they can take fiat or any other currency for ICO contribution. Stay from such things, always double cross telegram channel from ICO website. Login /signup on ICO website. Most of good ICO have signup method account to track and avoid phishing attack and send you to alert every time you log in so you know if the account is being used by someone else. Dafzo used advance security layer to avoid phishing.

Always check on ICO website what is the accepted method of contributions. All ICO website display what are they accepting i.e. USD, ETH, BTC, BCH or LTE, usually its Ether or Bitcoin. 90% of ICO do n’t participate in a fiat currency like USD, EUR or Yen.

Step 2. Register with a Cryptocurrency Exchange, if you don’t have cryptocurrencies (ETH or BTC)

To participate in an ICO, you need cryptocurrencies, usually Ether or Bitcoin. You cannot participate in an ICO with fiat currency with most of ICO. If you don’t own required accepting ICO cryptocurrency, you can purchase from an exchange. In order to participate Token during the sale, you will need to have Ether (ETH).You can purchase ETH with your Visa or Master card by using such services as:

• Bitstamp check guide here to set up Bitstamp guide
• Bitfinex
• Bittrex
• Bity
• Changelly
• Coinbase
• Gemini
• Kraken
• Liqui
• Poloniex
• Shapeshift

Some of these service providers are more expensive than others, please conduct your own research regarding where to purchase Ethereum at the best rate. Also, most of the exchange required KYC verification which may take few days so if you are planning to contribute in ICO you must have some ETH or BTC at hand.

Step 3. Transfer your Coins from the Exchange to a Blockchain Wallet you Control

Don’t use exchange wallets where you don’t control the private key to fund an ICO. Another reason for you to move your coins to a wallet which is under your control is the token sale participation. Unless your exchange offers the explicit possibility to participate in a particular ICO with your online wallet, the general rule is not to send funds from an exchange wallet since you won’t have access to the new token. This means that if you use a random online wallet to participate in an ICO and send money to the ICO address, you won’t receive the tokens you bought, which is the equal to losing your investment. If this happens to you then you, contact tech support and try resolving the problem. Note that most exchanges are currently overloaded with requests and mostly still have poor customer service. Furthermore, exchanges might not be obliged to process your request depending on the conditions set in their general “terms of use .”Don’t use exchange wallets where you don’t control the private key to fund an ICO.

• **Important: DO NOT BUY TOKENS WITH EXCHANGE WALLET. Do not use any wallet of your exchange account or generated by your exchange account.

• Check our Guide part 3 on how to verify Cryptocurrency Transactions.**

Step 4. Set up your wallet

The first step is that you need to create a wallet that Supports ERC20 and fund it before buying tokens.We recommend using myEtherWallet.

You may also find these ERC20 Wallets:

• MetaMask (Firefox and Chrome browser addon)
• Mist (Desktop)
• Parity (Desktop)
• Parity + Ledger (Hardware wallet)
• imToken (iPhone / Android)
• Trust(iPhone / Android)
• Cipher(iPhone / Android)
• MyEtherWallet + Ledger / Trezor (Hardware Wallet)

Step 5. before you Buy ICO Tokens see other details

When the token sale starts, you will have to send ETH to the address specified by the team. You will need to set a proper gas limit which is controlled by the MetaMask interface or any wallet you are sending. After you send the transaction there are a couple of scenarios:

• You receive your tokens right after the token sale ends ( as ICO declare the token distribution dates or month). Some may give you instantly.
• You need to wait for a couple of days for your tokens it may take some time even if ICO credit your account with the token,
• You will need to redeem your tokens manually

Note! In some cases, hackers have manipulated ICO websites, by exchanging the real ETH address with their own ETH address, which means that the address indicated on the ICO website to which investors sent their money was corrupted and the hackers got all the money instead of the team behind the ICO. Always Ensure the ICO team is taken care of the same like DAFZO use 2-factor authentication also advise its user to opt and enabled for two-factor authentication during purchase.

Step 6. Buy tokens from the wallet

Now post step 5 Buying tokens is easy, What you need to do is simply transfer Ethers (ETH) from your wallet into the Smart contract announced or share on ICO website. Again make sure you send to the same smart contract or wallet address provided on ICO website, do not send to elsewhere.Any ERC-20 token can be added to your local MyEtherWallet interface by following these instructions.

• In a new tab, open MyEtherWallet and navigate to the “Send Ether & Tokens” page on MyEtherWallet.
• Unlock your wallet.
• Enter the token smart contract address:
• Click “Save”.

The alternative way to open Ether Wallet on Metamask

Step 7. Secure your Tokens

After you receive your tokens in your MetaMask — or MyEtherWallet, or Parity — address make sure to transfer these to a more secure wallet. You will need to have some extra ETH (small amount) stored in your wallet to pay for transaction costs of sending money from wallet to wallet. Note that this will change once Ethereum updates to Metropolis, but currently it is still something you will need to keep in mind.

Buy more and sell on the exchange

After all of that, you could wait until the token will be listed on an exchange and start buying and selling there, or you could wait until the project will be ready and your tokens will increase in price. Your investment strategy is your winning point! Remember to Download and store your key-store file (Save your private key/seed word). Make sure to back it up and keep it safe. You can also print it to keep it as a paper wallet. Remember, there is no way to retrieve your forgotten or lost private key and password, therefore, take all necessary safety measures suggested by the page. Check Turbo Panumarch guide on how to Setup a Wallet to Securely Store Your Ethereum and Ethereum ICO Tokens on MyEtherWallet

write us or visit us www.nassandguild.com if you are looking to launch your ICO or looking for advisory service related to same.