A reverse ICO is the process of a company that already has a product or service (usually a publicly traded company) and sells its assets or stocks to the public to fund a new cryptocurrency venture. The company then launches a new token or coin that is used to power its product or service.
Reverse ICOs are very similar to IPOs (Initial Public Offerings), except the primary goal of a reverse ICO is for a Web2 business to transition into Web3 (blockchain).