“IEOs are Not a Perfect System”, Can Be Black Box or a Golden Goose: HarmonyProtocol’s ONE CEO
- Harmony protocol's ONE token has surged considerably since launch on Binance.
- The project's CEO explains why IEOs are centralized and why it might be the right approach.
Binance's Launchpad Has Helped Many Projects Conduct Token Sales
Binance's decentralized exchange (DEX) is growing in value and volume as more token projects are launched through initial exchange offerings (IEO), the new trend in the market. The long and gruesome crypto winter is finally taking its first steps towards previous all-time highs and IEOs are playing a huge role in the recovery journey. Binance DEX is playing its role as the top decentralized exchange, announcing multiple listings in the past few weeks.
In the sunshine and glory of the exchange, there is one project that is standing head and shoulders above the rest on Binance DEX Harmony protocol’s ONE token. The token has experienced massive success in its price and community status since its launch on the exchange. However, not everyone is on board with the “success” stories surrounding the IEOs as investors compare the offerings with the ICO bust of 2017.
IEOs vs ICOs
ONE token’s CEO, Nick White is critical of how the market responds to the concept of IEOs as it is “not a perfect system.” He further explains the benefits associated with IEOs in comparison with the initial coin offerings seen in 2017.
IEOs Are Centralized?
IEOs presents a new way of projects in the blockchain space to offer their digital assets to the public through an exchange. Unlike ICOs, this way of offering is taken through a process of due diligence and the team is required to pay a fee in order to be listed (this is to make sure only serious projects are listed).
The benefits, however, come at a cost of centralization as White said in an interview. He believes the centralization is necessary and a consequence of the IEO process being centered on exchanges. Furthermore, the process is important to the blockchain projects as they are able to raise capital quickly and efficiently from the public.
Harmony protocol’s CEO further went on to praise Binance’s CEO, Changpeng Zhao, and his leadership skills stating,
“And with cz_binance’s leadership, who knows, we may see binance decentralize itself in the future. Imagine if they were able to decentralize the IEO process too. Unstoppable crowd fundraising to build the future we all envision.”
Binance Coin (BNB) has seen rapid gains since the start of the year despite the current downturn in price. The gains are strongly attributed to the IEOs launching on the platform and the increased media popularity of CZ and Binance itself.
The token is currently trading at $31.23 USD across major exchanges representing a slight 2% drop in the past 24 hours. Harmony protocol’s ONE token is not performing as well with the token losing 10% value in the past 24 hours to trade at $0.024528 USD.