Research On The Financing Model Of Crypo-token-Based On Blockchain

In recent years,a new financing mode called ICO has emerged in the block chain ecosystem.ICO was interpreted as Initial Coin Offering firstly,however,considering the sensitivity of the private digital currency issue,the term "Coin" has been replaced by "Token",and combined with the prefix "Crypto"(which means"encryption").Therefore,it is more accurate to interpret the ICO as Initial Crypto-token Offering,which is to raise funds by issuing cryptographic tokens.The so-called "token",in reality,usually refers to some kind of certificate of substitution currency used in a certain scope.It can also be seen as a cryptographic equity that is distributed and circulated on the block chain.ICO is an emerging business model or financing model.It has been a hot issue during these years,especially in 2017.Although there has been a lot of controversy about ICO,systematic academic researches are very few.Especially in China and the United States,regulators take different attitudes.China has banned ICO altogether,while the US has encouraged ICO to be included in the regulation.Therefore,it is necessary to study the mode and connotation of ICO.This paper firstly analyzed block chain technology principle and make a introduction of digital tokens and ICO market.Then take ICO project "star chain plan" as a case and analyze the business logic and product design of it.Finally,this paper studied the actual value,risk and economic significance of the financing model and put forward some constructive policy suggestions about ICO regulation.