What on Earth is IFO after ICO?
ICO (Initial Coin Offerings) began to prevail this year with its low threshold, high return, high liquidity and other characteristics. While this new form of fundraising has broadened the way in which start-up companies raise money, it also poses a number of risks – the project may fail, the low transparency of capital operation, and potential fraud are all laid time bomb for investors.
In the near-uncontrolled release of tokens, the time bomb finally broke out. China’s ICO activities were forced to an end with the “Announcement of preventing the risks of ICO of Tokens” jointly issued by PBoC, Office of the Central Leading Group for Cyberspace Affairs(CAC), Ministry of Industry and Information Technology of the People’s Republic of China, State Administration for Industry & Commerce of the People’s Republic pf China, CBRC, CSRC, and CIRC.
Since then, the cryptocurrency community has begun to focus on the development of bitcoin, and the long-standing issue of blockchain scaling has exploded.
On 1 August 2017, Bitcoin Cash (BCH) Blockchain succeeded in breaking off from the parent chain at block 478559. The default block size of this new cryptocurrency is 8MB and allows for dynamic adjustment. Although it was born during the controversy, after several price spikes and tumbles, BCH was gradually developing and won many supporters.
If you say BCH was born to meet the needs of lovers of the big blocks as a choice to the market, then I really cannot think name a better excuse for the appearance of BTG (bitcoin gold), BCD (bitcoin diamond), SBTC (super bitcoin). In fact, you can go to coinmarketcap search above, and bitcoin-related cryptocurrencies are numerous.
The SBTC project announced today is on the antenna of communities particularly. The super bitcoin team, chaired by Lee Hsiao Lai, announced that it will stage forking at 498,888 on December 17 to begin technical testing of zero-knowledge proof of BTC, support of Turing complete smart contracts, and expand the block size to 8MB.
The author lurks in various groups to observe and found that the community is not optimistic about this project, many people said that “make bitcoin great again” intention is made bad use by these fork coins.
The commonality of the above items is that they are all bitcoin’s fork chains, so users laugh and say there is an interesting phenomenon called IFO (Initial Fork Offerings) after ICO. They generate new altcoins by forking bitcoin’s parent chain and claim they can do better than bitcoin.
In my opinion, this is just a disguised form of token issuance and fundraising. The technical threshold of such projects is low. They are used for speculation under the banner of “better than bitcoin”. In short, anyone can fork bitcoin as long as a new codebase is created on GitHub, and tutorials are available on the 8btc forum … In addition, the initiator is free to DIY the project content, for example, SBTC’s checkpoint functionality is easy to cause the problem of centralization. There may be exchanges putting these types of tokens on line, but only for speculation purposes probably.
As to whether someone really wants to pay for it in the end, it depends on the final choice of the market. You do not have to worry about it. Here I just want to tell you that speculation is risky, remember to stay calm.