It is common knowledge that fiat currency is the legal money of every country, and that we use it to pay for our daily needs. USD, euros, pounds, pesos, and dinars—you may simply make transactions or payments in any of these currencies, and they are all controlled by the country's banking system, ensuring a high level of security. The value of fiat money is influenced by a variety of circumstances, including the country's economic stability, hyperinflation, supply and demand, fraud, and so on. Convertibility is a key attribute of fiat money. You can exchange any cash for gold, silver, or any other precious metal or gemstone.
The Advantages of Using Fiat Money in Your Initial Coin Offering
What are your options for contributing fiat money to an ICO? Yes, you read that correctly: crowd sales accept USD and EUR. It's worth noting that several ICOs used to accept payments in USD or EUR from potential investors in order to receive their tokens ahead of the public sale. Approximately 15% – 20% of current ICOs accept currency as a form of payment, which helps to attract more potential investors. At Cryptoauxiliary, we've looked at many options for investing your fiat money, obtaining tokens, and becoming a crypto investor.
Types of Wire Transfer Payments
Let's take a look at wire transfers first. To contribute fiat money to one of the current token sales, the first and most straightforward option is to send USD to a bank account. This will involve a third party (the bank), and you will be responsible for paying the fee set by the bank you select.
Keep in mind that the bank will impose some restrictions on you, and the money transfer will not take place immediately after you pay the funds. As a result, you must be prepared to wait for payment. To be on the safe side, keep an eye on pre-sale and ICO dates.
You're now ready to learn more about these types of transactions.
The CrowdWiz ICO accepts BTC, ETH, and LTC as payment methods. Payments in fiat currency (USD) can also be made using your bank card or wire transfers. Simply log in, select the payment method, and receive all of the essential wire transfer details.
The Anacoin was founded by the Ananas Foundation, which promotes peace via technology. It is used to create content for charity and building projects. After completing the whitelisting process, you can purchase their tokens with your bank card or Ethereums.
Anacoin accepts 135 different fiat currencies, including Visa, Mastercard, American Express, and other credit cards.
Stripe, an online and mobile service that accepts all major bank cards from all over the world, processes credit and debit card payments. It's easy to use, and you can keep your information so you can make money transactions later.
If you want to participate in the Ser TokensICO, you just contribute money by wire transfer, specifying your ETH address. Then simply wait for your coins to arrive in your wallet.
To purchase NVB tokens, you must first construct and pay an invoice that will be emailed to your email address. You will get a deposit in this manner. Following that, you'll be able to purchase NVB tokens.
Exchanges for Cryptocurrencies
The second option is to use cryptocurrency exchange services to contribute your funds. In this scenario, an investor must carefully select a good exchange and follow the following guidelines: website security, ability to provide sufficient liquidity, transaction costs and spreads, high ratings, and so on.
Coinbase (considered the best), Bittrex, Kraken, BitFinex, CoinMama, LocalBitcoins, Gemini, Bisq, Bitstamp, and CEX.IO are some of the most well-known cryptocurrency exchanges. These exchanges provide stability and security.
If you wish to take part in a crowd sale, you should be aware that you will require Ethers to do so, as the most common tokens are ERC20 tokens based on the Ethereum network. Furthermore, when using a bitcoin exchange, the exchange automates the conversion process.
The price of a cryptocurrency varies from one website to the next. In any event, you should conduct research and select the most consistent option. Here's an example of how to use this type of bitcoin exchange to make an exchange transaction:
From the investor's FIAT payment gateway to the exchange market to acquire the ICO's preferred cryptocurrency, depositing the preferred cryptocurrency to the ICO's designated wallet address, and receiving the token equivalent
Because this path is complicated and convoluted, several ICOs create platforms to make it easier. You can use fiat-based payment gateways to subscribe.
The ICO's designated payment gateway receives the token equivalent from the investor's FIAT payment gateway.
LHcoin, for example, allows wire transfers for contributions over $10,000 USD. For Visa/Mastercard transactions, they recommend utilising IndaCoin. IndaCoin is a widely used cryptocurrency exchange that accepts USD, EUR, and RUB as fiat currencies.
TOKIA, for example, takes more than 50 fiat currencies without requiring KYC or a maximum contribution of $500 USD, which is handled by IndaCoin. You can also use your Mastercard or Visa to purchase Tokia tokens directly.
CUBITS, a site where you can purchase and sell Bitcoins using fiat currencies, may be used to invest in Brickblock's ICO and create a digital wallet. You'll need to fill out your personal information, validate it, and make a Bitcoin payment.
You can contribute to Brickblock's ICO once you have your BTC:
Are Broker Services Reliable?
Let's take it a step farther. Brokers and Initial Coin Offerings (ICOs)? Doesn't it sound strange? On the internet, you can locate a plethora of businesses. Fees (commissions) are charged by brokers for their services. A broker can provide you with information on the current situation of the market. They are in charge of successful transactions between buyers and sellers, and they are well-versed in the market, therefore it is critical to pay attention to these types of crypto-trading services.
Using the services of a middleman to buy bitcoin using fiat money is the final option. The Bitcoin Suisse service is the most well-known. On their website, you can see a list of ICOs that use their broker service:
MOEDA, for example, employs the Bitcoin Suisse broker to convert all cryptocurrency contributions and donations into Bitcoin and fiat currency.
Experty specifies on their website that they only accept donations made through the Bitcoin Suisse service; otherwise, any contributions are considered illegitimate.
As you can see from the list, Bitcoin Suisse is a well-known service, so ideally a large number of people will trust them and become customers.
Contributors to Initial Coin Offerings (ICOs) are Increasing at a Rapid Pace
While using your preferred browser, a large number of advertisements and pop-ups offering live crowd sales appear on the Internet. People are battling to construct a new era with crypto tokens, fee-free trading, crypto wallets, and investors all over the world in terms of decentralisation, thanks to the popularity of ICOs. Do you believe I'm exaggerating?
Take a look at it. According to CoinMarketCap, the cryptocurrency market cap reached $712,459,914,205 at the beginning of January 2018, with Bitcoin dominating at 33.6 percent. This appears to be rather remarkable, given that bitcoin is acquiring increasing trust among individuals all around the world. This statement is supported by the data presented above.
The number of crypto investors is rapidly increasing as more people become involved in the cryptocurrency sector. If you own Ethers or Bitcoins, you can easily donate to one of the many ICOs using traditional means. Rentberry, a decentralised house renting network; Trippki, a hotel booking and incentives site; and HOQU, a marketing platform, are among the most active for winter 2018. The list seemed to go on forever.
Smart contracts are also at an all-time high, with more and more people using the Ethereum platform to construct their ICO projects. Cryptoauxiliary provides a handbook to show you the basic ideas of smart contracts in order to keep you informed.
These platforms make it simple to keep track of all upcoming and existing crowd sales:
In a word, the first step before spending your money is to research the service you intend to use. Do not rely on unreliable sources of information. Think again because you are accountable for your own safety and business. Wire transfers, cryptocurrency exchanges, and brokers are some of the most popular ways to invest your fiat money in an initial coin offering. Now it's up to you to make a decision and get active in the decentralised cryptocurrency world.