The choice of token Blockchain and smart contract is one of the first and most basic needs an ICO team would be confronted with when preparing for their crowd sale. A number of considerations go into the final choice for the particular Blockchain on which both the project token and technology would eventually run.
Some factors that should ideally inform the choice of Blockchain for an ICO project and consequently the resultant smart contract are as follows in no particular order:
The susceptibility of a Blockchain to bugs and quantum computer attacks should be one of the foremost considerations. It is advisable to use a robust Blockchain which has solid and crack team of dedicated developers working round the clock to prevent such mishaps.
Ease of Use
A Blockchain that is malleable yet secure is one to consider. The ICO team should make their choice based on the freedom the Blockchain gives for the development of both smart contracts and Decentralized Applications (DAPPs).
Decentralized and Public Blockchain
It is very important to make use of a decentralized Blockchain to ensure the continued existence and functionality of project tokens – the team does not want to wake up one morning to realize that their underpinning Blockchain has stopped working because it was being controlled by centralized servers from centralized locations.
The team would want to consider making use of popular Blockchains and their smart contracts as that will ensure that a large number of users and investors are drawn to the project. Popular Blockchains mean that tokens off the network are more easily tradable in comparison to less popular ones – this will consequently determine investor-appeal. According to figures from ICO Watchlist Stats, the Ethereum Blockchain is the ICO market leader with a whopping 83 percentage lead on rival Blockchains.
There are a few more factors to consider when making a choice for the best Blockchain to use in running an ICO’s token and more research by teams will reveal them. ICO teams can also seek further industry expertise by consulting outfits and making use of tools that platforms like ICOWatchlist present.
Finally, it is always a good idea to study the success stories of the past. Here’s an infographic we put together with 11 such examples:
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