Token Investor Relations

A professional token sales project must have an assigned IRO (Investor Relations Officer) who is accountable for creating and presenting a consistently applied investment message to the investment community on behalf of the company, and for monitoring and presenting to management the opinions of the investment community regarding the token’s and/or the company’s performance.

Token Investor Relations

  • Develops and maintains a company investor relations plan
  • Performs a comprehensive competitive analysis, including financial metrics and differentiation
  • Develops and monitors performance metrics for the investor relations function
  • Establishes the optimum type and mix of token holders, and creates that mix through a variety of targeting initiatives
  • Monitors operational changes through ongoing contacts with company management, and develops investor relations messages based on these changes
  • Provides Regulation Fair Disclosure training to all company spokespersons
  • Creates presentations, press releases, and other communication materials for earnings releases, industry events, and presentations to analysts, broker-dealers, and investors
  • Oversees the production of all annual reports, financial authority filings, and proxy statements
  • Manages the investor relations portion of the company web site
  • Monitors analyst reports and summarizes them for senior management
  • Serves as the key point of contact for the investment community
  • Establishes and maintains relationships with exchange representatives
  • Organizes events, conferences, road shows, earnings conference calls, and investor meetings
  • Provides feedback to management regarding the investment community’s perception of how the company/token is being managed, and their view of its financial results
  • Represents the views of the investor community to the management team in the development of corporate strategy
  • Provides feedback to the management team regarding the impact of token repurchase programs or tokenomics changes on the investment community
  • Executes contingency plans
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ICO Communication Contingency Plan

An ICO Communication Contingency Plan is for unexpected situations when the ICO Team sends the message to its crypto community (mostly its token holders) that everything is under control and the ICO Team is prepared for the upcoming challenges.  A good ICO contingency plan must contain communication protocols of when, what, where (and how often) and how to call others attention to our communication as follows:

Triggers

There can be unlimited number of reasons to trigger a communication contingency plan, but let’s list the typical ones:

Price collapse

Technical issues with the ICO platform

Hacking, Phishing

Hostile media activity

Sudden leave from the ICO team

Related legislation change

Legal actions against the ICO project

Content

The typical content of our communication should contain several items. Depending on the media outlet or channel it can vary by size but the structure must be as follows:

General overview of the situation

Project status report

Specific effects on the project (if any)

Financial status of ICO (adjustments if necessary)

Promise of follow-up of the situation (updates daily/weekly)

Publishing

When we publish our content and ask others to share and publish it as well our publications must follow the principles below:

Utilisation of all communication channels

Coherent communication content (matching wordings as much as possible)

Raising the frequency of publishing (from monthly to weekly or daily etc)

Promotion

As always our publications need traffic and beyond our organic visitors we must drive extra traffic for the highest possible reach by

Paid ads

Newsletter sendings

Manual traffic (direct messages to influencers)

Press releases

 

Any unexpected situation is a good opportunity to differentiate our ICO from our competitors by professional, disciplined and prepared management of our communication.

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Chapter 1 – Investor Summary

Investor Summary is the chapter that your token buyers will actually read so this must be the essential of your very best content. Short, but strong and clear.

The best-practise is to write this part at the end of the whole whitepaper (Draft Red Herring Prospectus) and these are the subchapters to include:

INVESTOR SUMMARY

THE ICO – Your token sales pitch in few sentences.

BOOK BUILDING PROCESS – Here you should explain your token distribution plans.

DATE, ONLINE LOCATION AND CRYPTO ASSET ID’s – Timeframe of issue and blockchain IDs to verify your tokens.

TOKEN FEATURES – Describe here the basic features of your token (service credit, discount, reward, loyalty etc.) features

SPECIAL VALUE GUARANTEE – If you have any guarantees to offer keeping your token’s value write about it in few sentences.

RISK IN RELATION TO THE FIRST ISSUE – This is a very important subchapter, be honest. If there are risks in relation of the issue, and there are, write about them.

GENERAL RISKS – There are general risks of any region, industry and business. Show your token holders that you are aware of them.

ABSOLUTE RESPONSIBILITY – This part is to reveal who is taking final responsibilities of doing all related Due Diligences.

LISTINGS – The ways and exchanges how and where your token is and/or will be available.

ANNOUNCEMENTS, NEWS, OFFICIAL COMMUNICATIONS – Your token holders must be able to verify your official communication channels.

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How to structure an ICO white paper

If you want to write any kind of white paper, these are the general guidelines to follow:

KNOW YOUR AUDIENCE – Make sure you use the right vocabulary matching your readers’ knowledge.

ADDRESS A PROBLEM – Problem details (background stories, history, current trends, infographics etc.)

SELL YOUR SOLUTION – From the beneficiaries point of view pitch, explain and summarise your solution.

But an ICO white paper is much more than a typical white paper.
When I do an ICO Draft Red Herring Prospectus (white paper or whitebook etc.) this is the usual content structure I recommend:

INVESTOR SUMMARY
Investor Summary is the chapter that your token buyers will actually read so this must be the essential of your very best content.

GENERAL INFORMATION
This is where you create the common vocabulary between you and your investors and you convince them that you are aware of all conditions and circumstances of your business.

RISK FACTORS
Each and every possible risk must be described here that could affect your business and your ICO from legal risks by jurisdiction to internal risks of business processes.

BUSINESS INTRODUCTION
The story of the team (CV’s), your industry, your business with essential financial metrics, future trends etc.

THE ISSUE
This chapter is about the details of the planned token issue (purpose, object, platform, amounts, token distribution, fees, costs, legal opinions etc.)

MAIN PROVISIONS OF THE ARTICLES OF ASSOCIATION, OTHER INFORMATION
Copies of agreements, social contracts, articles of incorporation for inspection and other declarations

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