BitcoinGrowthFund issues initial coin offering worth $2 million

BENGALURU: Blockchain-based BitcoinGrowthFund, which caters to the venture capital industry, has raised more than $2 million as part of its first initial coin offering (ICO) held in Bangkok last week.

The Dubai-based startup said it raised about $1.6 million through the ICO within 24 hours.

An initial coin offering is similar to an initial stock offering or exchange, said Arvind Sehmay, director-communications at BitcoinGrowthFund. "When you launch a new crypto currency or a token, the issuance of the tokens is usually referred to as ICO," he said.

The company allows investors to buy the tokens named MCAPS.The funds collected are then invested in mining of various cryptocurrencies such as DASH, Ethereum, Monero, Litecoin, Zcash and Bitcoin. "We provide an opportunity to investors (regular small) to invest in cryptocurrency ecosystem through purchase of our MCAPS. They are entitled to monthly payouts based on the fund's performance," Sehmay said.

Further, token owners can trade and exchange these tokens with other users. "In the next one year, we plan to raise $5 million and invest in mining as well as further ICOs," Sehmay said.