Technabyte
Power Member
- May 31, 2019
- 758
- 31
What do you think about Initial Exchange Offerings (IEO)? Do you participate in them?
With the ICO craze in 2017, IEOs seems like a much better version of the ICO because it is supported by exchanges and you can guarantee that it will be listed on the exchange straight after the sales of the token. During the ICO craze in 2017, one big problem was that some ICO projects were taking a very long time to list on exchanges and that meant you ended up holding tokens with zero liquidity. There were also a lot of scams during that time but with IEOs, exchanges would do the due diligence before working with them so IEO are much less likely to be scams so investor's money is better protected. IEO on top exchanges also create a lot of hype. For example, Binance's IEO all made at least 2x profit with some going to as high as 7x profit upon listing.
Unfortunately, IEOs are so oversubscribed, they are normally sold out within seconds and thats why exchanges like Biannce and Kucoin uses a lottery system for their IEOs.
EDIT: Sorry, created this in the wrong forum. Can a moderator move this to the Cryptocurrency forum? Thanks.
With the ICO craze in 2017, IEOs seems like a much better version of the ICO because it is supported by exchanges and you can guarantee that it will be listed on the exchange straight after the sales of the token. During the ICO craze in 2017, one big problem was that some ICO projects were taking a very long time to list on exchanges and that meant you ended up holding tokens with zero liquidity. There were also a lot of scams during that time but with IEOs, exchanges would do the due diligence before working with them so IEO are much less likely to be scams so investor's money is better protected. IEO on top exchanges also create a lot of hype. For example, Binance's IEO all made at least 2x profit with some going to as high as 7x profit upon listing.
Unfortunately, IEOs are so oversubscribed, they are normally sold out within seconds and thats why exchanges like Biannce and Kucoin uses a lottery system for their IEOs.
EDIT: Sorry, created this in the wrong forum. Can a moderator move this to the Cryptocurrency forum? Thanks.