Due to the early stage of investment with cryptocurrency, not every ICO has predefined what a token should represent. It is completely up to each company to decide upon its token’s relevance. A very generic definition is that a token is simply a digital resource (often purchased with „real“ currency) which you control and can reassign to someone else.
However, there are some rules to follow when issuing tokens, and investors should know that what they receive when buying into an ICO is up to the individual company’s discretion.
If you would like a more in-depth definition of tokens, check out “a gentle introduction to digital tokens”.
Now that you have a better understanding of tokens, it’s important to mention that both investors and companies seeking funds must consider whether the issued token is compliant with local laws. Even though ICOs are not regulated in many countries, the token might be liable to the laws or regulations of the country it is issued in.
Check out our white paper to get an overview of the CRWD Token and what value it holds on CONDA’s crowdinvesting platforms.