💰 The difference between IPO and ICO in brief 🚀

1️⃣ Initial Public Offering (IPO)

Selling the company's shares to the public for the first time.

The investor receives actual ownership stakes in the company.

Subject to strict government oversight and regulations.

Example: Companies like Apple and Tesla when they sold their shares for the first time on the stock exchange.

2️⃣ Initial Coin Offering (ICO)

Selling digital tokens with the aim of raising funds for blockchain-based projects.

The investor does not receive ownership in the company, but can use the tokens within the system or trade them on the market.

Subject to lighter regulation or sometimes not regulated at all depending on the country.

Example: Projects like Polkadot and Ethereum raised their funding through ICO before launching their network.

💡 The essential difference:

IPO → Real ownership shares 🏢

ICO → Digital or utility tokens 🔗

📊 Advice for investors:

If you are interested in blockchain-based projects, learn about ICO before investing.

If you are looking to invest in traditional companies, look for IPO.