The Rise of Initial Exchange Offerings: Top 3 IEOs in the Crypto World To Keep an Eye Out For
One of the main applications for crypto is fundraising on the blockchain. Since their inception, there has been mixed feelings regarding the initial exchange offerings (IEOs). However, whatever your feelings are, it's crystal clear that this unique fundraising method is going nowhere.
Binance unveiled IEOs through their Launchpad on the verge of ICOs failing to deliver on quick capital, and since then, there has been no looking back.
Breakdown of an IEO
Perhaps, you may not be aware of what precisely an IEO is, leave alone differentiating it with an ICO. Closely the two resemble, but the main difference is that in an IEO both the developer and the contributor have their transactions facilitated by a third party, an exchange.
Looking closely, with the digital fundraising methods, the term IEO has been fancied by crypto enthusiasts across the globe. For instance, at various Reddit threads as well as Telegram channels, the IEOs have become famous over the past 6 months or so.
But What Benefits do IEOs come with?
IEOs gaining attraction is not for nothing. First, they make the process simplified for startups as well as developers. Also, there's a reduced risk of fraud. On the exchanges, the risk for scams is highly reduced, and the smart contracts can't be endangered.
Moreover, there are more options for customers. The fact is that they provide an array of coins for new customers as well as enabling traders with more freedom and transparency.
The Top 3 IEOs to Watch in the Crypto Market
Initial Exchange Offerings are growing in prominence slowly but steadily and now that you're aware of what they are capable of, let's have a look at the top 3 IEOs to keep an eye this year.
It's a layer-2 scaling solution for Ethereum and uses a modified version of plasma with sidechains that are based on the proof-of-stake, which wants to assist scale decentralized apps.
It will be conducted on April 24th on the Binance Launchpad.
Ampleforth is a digital-asset-protocol for the smart commodity-money created with a mission to create fair, politically independent money whereby some commodity-money such as silver and gold are naturally fair and independent.
Unfortunately, they can't effectively respond to the changes in demand which make them poor substitutes for the central-bank money. Therefore, in addressing the shortcoming, Ampleforth was designed to propagate price-info into the supply. The IEO is yet to be stated where it will launch.
There are still no details about their IEO with a chance that they choose an alternative funding mechanism. The goal is to provide a privacy-focused form of cloud computing that is powered by blockchain technology using zero-knowledge proofs to ensure privacy.
The crypto market is changing, and since the first IEOs on Binance, several exchanges have been launching their platforms. With the change in fundraising shifting to IEOs, there's a wave of optimism across the crypto community. What remains to be seen now is how the future of the sector unfolds going forward.