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Blockchain Developer's Guide
book

Blockchain Developer's Guide

by Brenn Hill, Samanyu Chopra, Paul Valencourt, Narayan Prusty
December 2018
Beginner to intermediate
564 pages
17h 34m
English
Packt Publishing
Content preview from Blockchain Developer's Guide

Misleading token practices

Despite ICO and IPO being similar from the point of view of their names, there is no real connection between blockchain tokens and company shares. Ownership of a blockchain token backed by a company provides no ownership, influence, or rights to the company's profits, behavior, or business in any way. The value of the token is instead driven entirely by the value of the network itself and what that network enables. Moreover, if a company creates a blockchain project and then abandons it, the token holders likely have no recourse.

Because of this, the way tokens are released can have a huge effect on how a company supports a blockchain project. For instance, if a team were to sell 90% of network tokens in an ICO, ...

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Publisher Resources

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