You’ve probably heard of the Ethereum Smart Contract, but you would be forgiven for having not heard of Neo. This is a company that has plans to be a launching platform for the Initial Coin offering. Like Ethereum, it plans to use its solution to become a delivery option for ICO.
The Neo platform has a lot of features that enable companies planning ICO launch get guided on what need be done to accomplish their objectives. Though a new entrant, Neo will likely become better known by next year as more companies use it. Like the Ethereum platform, Neo could be modified to accommodate user aspirations.
It is likely that the first quarter of 2018 will see a surge in ICOs, especially if the expected regulations didn’t kick in and there have been concerns on the capacity of the Ethereum network to handle an upsurge in the number of crypto startups. The network clog and high gas fees experienced by users during token sales of companies such as Cryptokitties is an indication that the industry has a need for other ICO platforms. Companies like Waves and Neo will make the crowdfunding space better and competitive.
It’s obvious that Ethereum will be the leading ICO solution for a long time as many companies will still prefer it based on antecedence. No one is yet certain that the Neo solution will be able to accommodate a surge in Initial Coin Offering related activities, though that is an issue that will be better assessed when it arises. The real challenge of the company may be from the Chinese government which has banned ICOs in China.
It will be interesting to see how the platform fares in view of the ban or how it hopes to convince the government that its activities do not necessarily mean evasion of the ban. The company has said that the government isn’t about intervening in their activities since their objective is to render ICO services to foreign companies and not Chinese based ones.
The Neo infrastructure has all the right features such as refunds and lockups. ICOs whose crowdsale had ended wouldn’t be able to accept more payments and the funds wouldn’t leave the potential investor’s wallet. The platform also has a unique way of ensuring that the KYC protocol is applied for all investors. Unverified investors are basically excluded and all participating addresses are automatically processed for verification adding a regulatory compliance dimension to the system.
Neo may become one of the well-known platforms associated with ICOs next year. However, it is yet speculative to say how much impact it will make considering that the year will certainly see a lot of activities, especially from a regulatory point of view. There is no doubt that it is a year when Initial Coin Offering will be proven as a crowdfunding of choice even with its many downsides.