Frequently asked questions
Is the Eqwitty platform similar or different from an ICO?
The Eqwitty platform is different from an ICO (Initial Coin Offering) in several key ways:
Regulatory Compliance:
Eqwitty: Focuses on regulatory compliance for equity crowdfunding, ensuring that all transactions adhere to legal standards.
ICO: Often operates in a less regulated environment, which can pose legal risks.
Investment Structure:
Eqwitty: Connects SMEs and startups with investors through equity crowdfunding, where investors receive shares or equity in the company.
ICO: Investors receive digital tokens, which may or may not represent ownership or utility within the issuing company
Post-Transaction Management:
Eqwitty: Emphasizes post-transaction management, including maintaining cap tables, conducting digital general assemblies, and ensuring ongoing compliance.
ICO: Typically lacks structured post-transaction management and may not provide ongoing investor relations.
Transparency and Security:
Eqwitty: Utilizes blockchain technology to enhance transparency and security in equity transactions.
ICO: Also uses blockchain but often lacks the rigorous transparency and investor protections found in equity crowdfunding.
What technology is Eqwitty built on:
Like ICO's, Eqwitty is built on blockchain technology. While both platforms use blockchain technology, Eqwitty focuses on regulated equity crowdfunding with strong post-transaction support, whereas ICOs are more about token sales with varying degrees of regulation and post-sale management.