EXMO Cryptocurrency Exchange launches a new service – Initial Exchange Offering (IEO). Learn how to participate in the project.
The initial exchange offer is a token sale that is held at the exchange. The key difference between IEO and traditional ICO is the emergence of the exchange as an intermediary of the process. The exchange team conducts a due diligence and technical verification of the project and tokens, assesses the investment attractiveness and potential of the project, and then announces the start of the token sale on the exchange. Those who want to purchase tokens do not need to send funds to a smart contract (as it was in ICO), but register on the exchange and buy coins immediately from their personal account.
The main advantage of this tool for projects is a large number of existing customers of the exchange, who automatically become potential investors.
A key advantage for investors (in addition to have an exchange as a safe intermediary), is simultaneous listing on the exchange, as the exchange is a key partner in organizing the sale of tokens.
Coin distribution follows the same principles as in ICO. Depending on the project, conditions may be adjusted. For example, developers may require a fixed price to sell tokens during the entire IEO process or set limits on the number of tokens for each investor.
Register on EXMO, go through the verification procedure, find out in which currency the funds will be received, exchange them on the exchange or immediately deposit the necessary currency on your account and wait for the start of the tokensale.
When choosing the project, EXMO takes into account 4 main criteria:
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