Initial Exchange Offerings (IEO) is a blockchain platform for fundraising, similar to ICO. In ICO, fundraising is carried out directly by blockchain developers, whereas in IEO, fundraising is carried out by crypto exchanges such as Binance Launchpad, Huobi Prime, KuCoin Spotlight, Bittrex Exchange. etc. How Initial Exchange Offerings Work IEO creators or developers must first register their project on the crypto exchange, So the developer must be able to convince the crypto exchange or IEO party that the project is in accordance with the smart contract, After that the team from the crypto exchange will review, evaluate and analyze an IEO project, and analyze the white paper, to ensure there is no element of fraud. After the token/coin project has successfully passed testing from the crypto exchange, the developer will pay a registration fee, and send the token/coin to the exchange for sale. In general, exchanges make promotions to attract buyers. IEO is more Trusted than ICO Because the crypto exchange selling IEO will risk its name and reputation, and can give investors confidence and security instead of making huge profits. Like the Read project which was canceled by Bittrex exchange before it was launched. So basically crypto exchanges are not going to help scammers. IEO example Binance Launchpad launched many tokens such as BitTorrent (BTT), Band Protocol (BAND), Axie Infinity (AXS), WazirX (WRX), Alpha Finance Lab (ALPHA) etc.
What's Initial Exchange Offerings (IEO)?
- Thread starter Suba
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- #3
The downside of ICO is that there is no supervision from third parties, such as crypto exchanges. The main difference between ICO and IEO is in raising funds directly. Meanwhile, IEO crypto exchanges act as supervisors and sell ICOs.
This helps to gain confidence in these investments although the problem may also be that many of the exchanges that offer it do not have a clear regulation either, but it is a point of confidence really.
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- #6
Why there's no difference between them, means you didn't read the thread, even though I've explained it in detail. Crypto exchanges will be responsible and risk their name if they sell fake or fraudulent IEOs.
You must stop to read what you write, this detailed above one is offered by start-ups that do not ensure anything and the token can be a scam and the other is offered by an exchange with the guarantee that if something happens the most affected will be the exchange.
I think that this is more reliable and better than the ICO because the possibility of getting scammed is very slim.
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- #9
I agree with you, IEO is more reliable and better than the ICO, because before a crypto exchange accepts fundraising from crypto developers, of course they will do research and ask for the terms of the coin/token to be launched, because they don't want the name of their crypto exchange which are already reputable have been destroyed because of a crypto scam.
It is true because it is a more secured project that is worth trying out.
Engaging in a more secured investment in cryptocurrency is better.
