The ICO Bounty program is becoming an essential element for blockchain start ups. This is especially true now that all crypto businesses must use alternative marketing techniques in the face of pervasive mainstream social media bans. Like everything else in the crypto industry, it pays to do your research before participating in a bounty. Whether you are an ICO preparing your launch and thinking about offering a bounty, or you’re an investor ready to dig in, here’s what you need to know.
In the simplest of terms, bounties create a way for ICO start-up projects to create buzz around their project. They do this by offering token rewards for the completion of social media or referral tasks. For example, an ICO’s bounty program might offer a certain amount of tokens, to be later airdropped. In return, participants must perform a number of tasks, such as tweets and retweets or joining and inviting friends to social media platforms. They may have to join an email list or comment on certain pages in a specific way.
A bounty helps ICO projects build up their social media following. Additionally, they are getting their tokens into the hands of many people pre-ico. It’s a good way to build excitement for the project because these token holders become engaged in the social media platforms of these ICOs. They are also now waiting for the token to go live on an exchange. So there is anticipation, which often translates into a greater buzz level.
Usually, a set schedule is made available, oftentimes on Reddit or Bitcointalk.org. You can also find the information on the ICO’s website. Many projects use Telegram to help manage the community that builds around the bounty and subsequent airdrop. First time bounty hunters often have a lot of questions about how to participate. Normally, Telegram is the standard place where they can go and get answers.
It’s similar to asking the question, “Should I invest in this ICO?” Thus the answer is the same: do your research on the project. The ICO website makes the white paper readily available so you can read all about the project and make your own determinations. You can also find reporting and scoring on ICOs in places like Token Market and TruDex to help give you an idea of how industry experts view these projects.
One consideration to make is time. Some ICO Bounty programs require weekly tasks that may seem like a lot to handle. Look for ICOs whose bounty process is simple and easy to understand. You don’t need this turning out to be like a part time job. It may seem tedious, especially if you are involved with multiple bounties at once. If you involve yourself in high quality ICO projects, remember: you are getting some free tokens for your engagement.
Helpful Hint: Some bounties will offer a lot of tokens while other projects offer very few. This is relative to the quality of the project and the abilities of the team to follow through and make a success of it. So, closely study the prototypes, user case scenarios, as well as the team’s history of blockchain and tech project execution. Don’t be disappointed if one project offers only 10 tokens. It may well be that those 10 cryptocoins will be worth far more than the 1000 shitcoins you just shilled yourself for.
Sometimes ICO companies will just do a quick airdrop to many wallets at once for those that signed up, without getting the social media tasks completed and without deep participant engagement. This is considered a straight airdrop and not a bounty program. Sunny Oseao, who is overseeing the Potentiam Bounty program which runs until April 23, 2018, had this to say:
“I do not like airdrops, I think bounty programs are much better. People in cryptocurrency have literally become entitled and instead of companies trying to come up with a legitimate, genuine bounty program, they are looking for ways to make airdrops easier. That is why so many chats are filled with ‘when is my airdrop.’ I think it promotes ignorance for the most part. I would rather have 500 people who truly want to see something succeed than 10k waiting for free coins.“
If you’re considering participating in a bounty, you can also check out this helpful video by Bitcoin for Beginners:
You will see in the Telegram chats for a project’s ICO Bounty and airdrop that many investors, usually the newest entrants to the cryptomarket, just want to cash in their tokens as soon as possible. But the best policy is to hodl. If you have been given free tokens, the value can only go up. If you’ve done your research and then fully participated in the bounty, you’ll have a much better idea of your token’s worth.
Some people are disappointed to learn they cannot trade their tokens as soon as they wished. An ICO that gradually allows tiered levels of token trades will have a better chance of lasting and growing. Other times, ICOs have promised tokens that cannot be exchanged for a seemingly endless amount of time (in crypto that’s a month). Still more will never make it to an exchange. So again, do your research and save yourself some time. If you need helpful techniques for ICO research, we’ve got you covered. Simply download our free ebook over at Amazon.
As our industry develops, ICO Bounty campaigns are also innovating and for the better. Rublix.io, for example, offers a multi-faceted ICO Bounty program including choices. In other words, you can choose from many options for what type of task you want to take on to receive your token rewards. Choices include posting a video, and creating content; even a bug bounty is available with an affiliate bounty under development. All this in addition to the traditional, social media follows, likes and shares.
Bounties allow ICOs to build up their social media followings and create buzz and excitement for their start-up projects. They also give investors a chance to really get to know what they’re investing in. In the decentralized world, it’s a perfect match.
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