Bounty ICO: Definition
To promote the ideas of ICO, he needs to attract the crypto community. It is necessary that as many people as possible show interest in the product that ICO offers. The more people will be interested in developing a product, in order to raise money for which an ICO is carried out, the more in demand will be the product itself.
The attention of the crypto community attracts potential investors to the ICO, who, seeing activity around the product, begin to invest in it. Investors hope for the demand for the product that will be created after the ICO, and, therefore, predict the growth in the rate of purchased tokens.
At the same time, do not forget that the developers conduct ICOs solely for the reason that they do not have money to implement the ideas that they planned. If they had money, then an ICO would not be necessary. Why should they share future profits with someone?
The project also has no funds to promote the ideas of the project and bring these ideas directly to the investor in order to raise money. Therefore, it is necessary to conduct a bounty. If the ICO had money for marketing, they would hire professionals who are much cheaper, but for real money, whether BTC, ETH or Fiat, they would provide services at a higher level, as professionals have experience.
Therefore, the main reason for the bounty is the lack of money at the ICO itself. Due to the fact that there are no funds necessary for promotion, but investors need to be attracted to implement ICO ideas, bounties are being held.
A bounty is an opportunity for each participant, without investing money in the project, to become his investor, promoting the project’s ideas among the crypto community. In return for work to promote the project after the end of the ICO, if the project can raise the necessary minimum funds to implement their ideas (Soft cap), the bounty participants will receive project tokens.
How to make money on bounty programs
Any bountist works for an idea, that is, for project tokens. He is an investor in the project, only the bountist invests not money in the ICO, but his time, knowledge, labor, skill, ability, which also costs money. A bountist spends time promoting an ICO. And time costs money.
Therefore, the choice of any project to participate in the bounty programs must be treated very carefully. And the bounty should, among other things, possess the knowledge and skills of an investor.
According to the statistics of ICOs, about 80% of all completed ICOs did not reach the declared result. Their tokens could not rise above the nominal price. That is, only 20% of projects were able to meet the expectations of their investors. In them, investors did not lose money. In most cases, after the ICO, the project tokens sharply fall in price, because advertising on the promotion of the project ends, and the tokens on the exchange are no longer needed.
2019 clearly showed that for most projects, the main thing is to raise money for an ICO. Then they disappear somewhere. News ceases to be published, social networks become empty, the project branch on bitcointalk also ceases to be updated.
Therefore, when choosing a project to participate in the bounty program, you need to proceed from the criteria used when investing in ICOs, namely:
It is necessary to evaluate the usefulness of the product, calculate how much platform tokens will be in demand, how many people and how often will use tokens
Check at what stage of implementation the product is located. If there is a demo version you need to download and test it. Assess how convenient it is compared to its competitors, how many people will use it
Juxtapose elements of a roadmap development. See how much has already been done and how much time has been spent on it and how much will be done, how long it will take, compare the data
Analyze the composition of the team, how competent they are in performing this work, study team profiles on Linkedin
Examine carefully the site and the White Papers. How competently, clearly and attractively from an investment point of view, they are written
If there is an opportunity to analyze the dynamics of token sales. It is possible that the project will not collect the soft cap at all, and then you, as a bountist, will not get anything
These are just some of the criteria for selecting a project to participate in a bounty. As you can see, it takes a lot of time to analyze a project by these criteria. But on the other hand, the correct analysis will save you a lot of effort that you would have spent on participating in a bounty project where you will not get anything.
Do not forget about the statistics: 80% of all ICOs did not live up to the expectations of their investors. Therefore, be careful when choosing a project to participate in the bounty.
Bounty programs as an option to receive cryptocurrency without investments
Participation in bounty programs is a great way to become an investor in a crypto start-up without investing your own money. Tokens will be given to you for work to promote the ICO. The main thing is to learn how to choose the right project.
Unfortunately, even listing all the criteria for proper selection does not save you from mistakes. Therefore, most investors, as well as bountists, learn from their own sad experience of mistakes and disappointments.
To become an experienced bounty player, you need to start by completing the simplest tasks that do not require much knowledge and time.
The fact is that in good projects there are very strict requirements for the selection of bountists. If you do not have sufficient experience and competence, your work may not even be missed to participate in the bounty. For example, if you did not make a quality translation, then it may not be counted, and you spent a couple of weeks on the translation. Consider doing your job in vain.
Same thing with a video clip or review for a blog. An article may not be accepted just because it is written in Russian. Therefore, details such as the language for the article or video review for the blog must be clarified.
If you do not have your own blog or high rating in the forums, then it is better to start participating in the bounty from social networks. The work is simple, you need to like and repost from the project news. In parallel, you will promote your accounts on social networks.
All bounty participants are registered in the tables. Make sure you are in the table and do not forget to submit reports weekly and monitor your status in the table. After all, a participant can be banned while participating in a bounty.
Before participating in the bounty, carefully study the general table of participants. After all, the more participants in the bounty, the less you will receive tokens. Funds allocated for the bounty will be proportionally divided between all participants. Also pay attention to the number of banned accounts. When a lot of banned participants is bad. It is possible that after a while you will find yourself among the retired bountists ..
Carefully study all the conditions of the bounty, see how real they are for execution. Do not forget to submit reports on time.
Features of bounty campaigns in ICO
Each bounty campaign has its own pre-agreed conditions. Before participating in the bounty, carefully read what you are offered.
- For the dates of the bounty campaign
- The order of distribution of tokens and the timing of their receipt
- On the conditions for obtaining tokens
- Carefully study the conditions of the program where you participate
- The order of preparation, type, timing of reporting on a particular campaign, where to submit reports, in what form
- Examine the table of bounty participants, make sure that you are in this table, after each report, check yourself in this table.
These are the main points that the bounty should pay attention to when participating in the bounty. In fact, a lot of time is spent on choosing a bounty program, studying its conditions and providing reports, as well as monitoring your position in the table. Often, job reports take longer than the job itself. This is especially true for posts and reposts, as well as likes in social networks.
Each step of participating in the bounty must be fixed. Therefore, for each project, so that later it will be easier for you to present evidence of your work, you need to keep a separate report. And already from this personal report to transfer reports to the general table. If you would participate in many projects, such reporting would be simply necessary, otherwise it would be easy to get confused, miss something. For your mistakes you can be banned and all the work will be in vain.
Therefore, it is very important to pay special attention to reports.
Choosing a profitable bounty program
Unfortunately, at the stage of participation in the bounty, not a single participant will be able to calculate how much money he will receive for participating in the program.
Moreover, neither the bounty manager of the program, nor the creators of the project themselves can calculate this.
Usually, a certain percentage of the collected funds is allocated to bounty campaign participants.
Thus, the bounty’s income will depend on several variables:
Total amount of funds raised for ICO
Total number of participants in a particular bounty program
The number of days of participation in the bounty (this constant value often turns out to be variable, since the bounty’s terms are regularly moved and instead of one month the bountist can participate in the bounty for six months. At the same time, the bountist cannot stop participating on his own, otherwise he will not receive anything).
Even if the terms of participation in the bounty are clearly specified in the conditions, I think they should be attributed to variables, as life experience shows that the terms are constantly shifted and postponed.
More or less constant values include:
Percentage of funds allocated to a bounty company. But even the allocated percentage ICO developers manage to change.
For example, if too many people participate in the bow, they can increase the percentage of tokens allocated for the bounty so that the participants in the bounty get at least something. Although in most cases, if too many users participate in the bounty, there is a tougher screening of participants so that others get more tokens.
It is necessary to be extremely cautious of those companies where a large number of bountists are involved, and to fulfill in detail all the conditions of the bounty and provide full reports. Usually in such bounties, participants are expelled for the slightest offense, so that others get more tokens.
If the bounty lasts instead of the promised 1 month 6 months, then in the end you will get a lot of tokens. If you are not expelled during this time. Usually, experience shows that by the end of 6 months people’s nerves can’t stand it and the first participants begin to actively resent, for which they are excluded. In the bounty, no one likes those who receive a lot. After all, tokens of excluded first participants are distributed between subsequent ones.
As cruel practice and experience shows, the latter often win in the bounty. Those who come to an end, as the first ones cannot stand the nerves. There are even bountists who specifically participate in closing the bounty.
Often, after the end of the ICO, tokens listed on the exchange are cheaper than those that were bought by the first investors. A similar situation exists with the bountists. Cream is removed by those who have come to an end.
But not always. There are such projects where in the first days all empty seats for bounty participants end and certain bounty programs are closed. However, recently such things have been happening less and less and usually projects are welcome to all participants of the bounty.
Profitability of bounty programs
The profitability of the bounty depends on the specific program in which you participate, as well as on the total number of participants.
Least of all competition and most valued blogging and Youtube bounty. But in order to participate in such bounties, you must have resources. For example, you need to have your own video channel with a large number of subscribers. If you participate in a blogging bounty, then there should be your own untwisted blog.
To do video reviews you need knowledge, experience, equipment. It is also important to be able to express your thoughts and write beautifully in order to maintain a blog that will be popular.
For this reason, there has always been a special relationship with the bountists – participants of Youtube and the blogging bounty. In this area, there is little competition and the highest earnings.
In other areas, your income will directly depend on how many participants in a particular program will be, how long the bounty will last, how long you will personally participate and how much money the ICO will ultimately collect.
The most important thing is to choose the right ICO, in the bounty program of which you will participate. Do not be lazy, spend time and effort on it
Carefully study all the conditions of the bounty program before proceeding to participate
Carefully study the participant tables
Be especially careful with your reports. Follow the form and deadlines
After writing and submitting a report, check yourself regularly in the table.
Do not swear with the bounty manager. Try to explain your problem as concisely and politely as possible. The more the bounty manager bans the participants, the more others will receive. Do not forget this and do not give reasons for the ban.