An Initial Coin Offering (ICO) is a fundraising mechanism used by blockchain-based projects to raise capital. It involves the sale of digital tokens or coins, which are usually issued on a blockchain platform such as Ethereum. These tokens represent an investment in the project and can be exchanged for goods or services within the network, traded on cryptocurrency exchanges, or held as a store of value. ICOs provide investors with an opportunity to get involved early in potentially profitable projects while also providing entrepreneurs with access to much needed funds for development and growth.