Topic: Advantages and disadvantages of IEOs - page 2. (Read 522 times)
The advantage I see in IEO is that it has a guarantee that it would be listed in an exchange, investor may feel secure not to be scam since crypto exchanged are the one who filter and scrutinize coins if it has a capacity to operate or might be a scam coin only.
Of course it is very good that IEO excludes scammers and lists tokens after the sale. that's all. I don't see any more pluses at this subject. ICO is more useful for scripts in General.
There is no IOTA of doubt about that, ICO is far more useful and more beneficiary to the society than IEO but the main factor that might make ICO very irrelevant is the issue of scam that you mentioned.This scam issue has really put a lot of stress on the current market by not encouraging investors to participate that much in ICO and skeptical in investing on the existing ones too but as IEO has been able to build their confidence back, that is all that matter and reasons why IEO will gain more popularity, the only thing that is still keeping ICO in the system is because of the regulation and cost of IEO.
Sorry, I don't think it is like disadvantages. Everyone should research before the investment, I don't know any other investment source where people can guarantee the profit! Except for the binance launchpad, everyone needs to research a lot before buying coins from the IEO, every exchange are not trustable!
I am agree, not every IEO profitable and only from trusted exchanger can deliver it. Binance having a good strategy on their IEO and its already proven profitable for investor. Many big exchanger will follow binance step and its good for new investor in cryptocurrency
Of course it is very good that IEO excludes scammers and lists tokens after the sale. that's all. I don't see any more pluses at this subject. ICO is more useful for scripts in General.
1. Trust
We cannot trust exchanges all the times. Only due to the reason of changing platform, we cannot assume crowdfunding will be a highly trusted one for better ROI. I mean people will pay extra for IEO to make their fake project success through crowdfunding. In this case ICO and IEO will not have big differences.
2. Security
KYC is a headache only for airdrop and bounty rewarding and definitely not for ICO contribution. I am not sure what category it will fall like I am not seeing it as neither advantage nor disadvantage.
Over all, IEO will not change things for a common contributors. We still need to be more careful for choosing and spending money for better ROI and to avoid scams.
Yeah, the trust and security really matter and the exchange reputation, I think the current hype started by binance will only happen on binance because in the past years they have proven themselves some IEO the effects is not the same with binance which is sold out in seconds or minutes. Also binance verification and researchers are good they are not listing any projects that want to partner with them they go thru a long process. We cannot trust exchanges all the times. Only due to the reason of changing platform, we cannot assume crowdfunding will be a highly trusted one for better ROI. I mean people will pay extra for IEO to make their fake project success through crowdfunding. In this case ICO and IEO will not have big differences.
2. Security
KYC is a headache only for airdrop and bounty rewarding and definitely not for ICO contribution. I am not sure what category it will fall like I am not seeing it as neither advantage nor disadvantage.
Over all, IEO will not change things for a common contributors. We still need to be more careful for choosing and spending money for better ROI and to avoid scams.
I have read so many feedbacks with IEO. But the thing is even in IEO, there are still scammers that are using it to fraud people. Just as you have mentioned, crowdfunding will be an alibi to scam others. If one of the advantage of it is the security, i think many investors will turn their back with ICO and go with the IEO.
Now, we should be really careful about IEO! Because after successful Binance IEOs, most of the exchanges are coming with an IEO. So, people understood the business! Many ICO projects are turning into IEO to make money or maybe to scam again! I have known most of the exchange according to the Coinmarketcap listed, but at this moment, Many exchanges I never have seen them, and they are coming with IEO with some catchy words! So, except big exchanges like Binance, Bittrex, Houbi, everyone again need to be aware of all of those IEO!
The main thing, and the only doubtful aspect for me is the fact that exchange coins are absolutely centralized and depend on the reputation of the exchange. In case of any problems with the exchange, the price of a coin will instantly collapse.
Certainly, we have already witnessed this in the last sale of Binance. On the 17-minute sale, all of my applications were sent back and still nobody knows what that is. 
There is nothing in this world that has an advantage that don't have a disadvantage, though the advantage of IEO is more than that of ICO because it is regulated by exchanges, as you have mentioned, trust will be one of the major advantage of IEO since this token sales are carried out on exchanges that have already made name for themselves and also gotten trust from investors. The disadvantage is that not all company will have funds to least their token for sale via IEO.
1. Trust
We cannot trust exchanges all the times. Only due to the reason of changing platform, we cannot assume crowdfunding will be a highly trusted one for better ROI. I mean people will pay extra for IEO to make their fake project success through crowdfunding. In this case ICO and IEO will not have big differences.
2. Security
KYC is a headache only for airdrop and bounty rewarding and definitely not for ICO contribution. I am not sure what category it will fall like I am not seeing it as neither advantage nor disadvantage.
Over all, IEO will not change things for a common contributors. We still need to be more careful for choosing and spending money for better ROI and to avoid scams.
We cannot trust exchanges all the times. Only due to the reason of changing platform, we cannot assume crowdfunding will be a highly trusted one for better ROI. I mean people will pay extra for IEO to make their fake project success through crowdfunding. In this case ICO and IEO will not have big differences.
2. Security
KYC is a headache only for airdrop and bounty rewarding and definitely not for ICO contribution. I am not sure what category it will fall like I am not seeing it as neither advantage nor disadvantage.
Over all, IEO will not change things for a common contributors. We still need to be more careful for choosing and spending money for better ROI and to avoid scams.
Let's see what happens next, while many exchanges are trying to grab a piece of the pie and exchange tokens looks like another bubble, be careful.
Compraed to ico's, ieo's have zero disadvantages.
There is only advantages which are, guaranteed listing, secure middleman for kyc and transperancy about raised amount.
There is only advantages which are, guaranteed listing, secure middleman for kyc and transperancy about raised amount.
I think IEOs are great only on exchanges that can guarantee a great price increase. Because I have hard doubts on fact that every token sale on an exchange is going to have success. Only Binance can give such opportunities, but no other exchange.
The main thing, and the only doubtful aspect for me is the fact that exchange coins are absolutely centralized and depend on the reputation of the exchange. In case of any problems with the exchange, the price of a coin will instantly collapse.
The main winners with this new model are the exchanges. They charge a fee to carry out the process and they get new customers since investors need to register in their platform to participate in the IEO. In addition, we are starting to see how people need to buy the exchange's token to participate in the IEO, so exchanges have a way to make their token more valuable.
The reputation of the exchange strongly influences the interests of coin buyers. However, I think this is a temporary phenomenon, just like the hype around the ICO (in 2017).
IEO is not the replacement of ICOs and it is not 100% pure, IEO has some disadvantages too! Like, A lot of shit exchanges are coming with IEO, if people go for those exchange's IEO, they will be scammed again! So, IEO is like ICO in this term, because everyone should research about the project and also the exchange. Look at the latoken exchange IEO, they listed many project's IEO but most of them are nothing but shit. So, You have to be selective if you want to avoid scam in IEOs too! I prefer only big and popular exchange's IEO, and any other would be ignored!
Crypto exchanges are also not to be trusted,since they are also here to make money.Only the exchange with huge reputation may do enough research before promotion of project but new or shitty exchange will promote any project if they pay them.
IEO is not the replacement of ICOs and it is not 100% pure, IEO has some disadvantages too! Like, A lot of shit exchanges are coming with IEO, if people go for those exchange's IEO, they will be scammed again! So, IEO is like ICO in this term, because everyone should research about the project and also the exchange. Look at the latoken exchange IEO, they listed many project's IEO but most of them are nothing but shit. So, You have to be selective if you want to avoid scam in IEOs too! I prefer only big and popular exchange's IEO, and any other would be ignored!
Crypto exchanges are also not to be trusted,since they are also here to make money.Only the exchange with huge reputation may do enough research before promotion of project but new or shitty exchange will promote any project if they pay them. 
The only advantage that I see from IEO is the "listing" because of some the ICO`s cant be listed on trusted exchanges, while for AML I still don't have trust in this. IEO maybe better at some point but still, after all those promises no one can ensure an investor event if its AML compliant in the future its project to grow.
I think IEOs offer far more than listing. The most essential offer of IEOs is trust and confidence for investors. Investors need to invest in a project that has verified team members and won't shutdown after collecting funds. Investors also need to be assure that listing wont be a problem after crowdsale too
Let me be honest here.
I saw the title, checked the first post to see if it's not a typing error for ICO and then asked my self what the hell is an IEO???
Now, reading this I see a lot of problems with it:
Yeah, like trusting Bitcoinica, MtGox, Bitfloor, Cryptisy, CoinEX , Mintpal, Youbin, Coinbin, Cryptorush ,QuadrigaCX, Gatecoin , should I add more? Cause I got a lot more!!!
Same as above.
I read this as easier to fool noobs in buying worthless shitcoins that don't even bother to have a plan.
Just reinventing the ICO concept to try and milk some more money in a bear market and after a period in which 99% of all ICOs have come with nothing at all and 1% is going to follow.
I saw the title, checked the first post to see if it's not a typing error for ICO and then asked my self what the hell is an IEO???
Now, reading this I see a lot of problems with it:
1. Trust
One of the main advantages of IEOs is trust. As the crowdsale is conducted on a cryptocurrency exchange platform the counterparty screens every project that seeks to launch an IEO on its website. Exchanges do this to maintain their good reputation by carefully vetting token issuers.
One of the main advantages of IEOs is trust. As the crowdsale is conducted on a cryptocurrency exchange platform the counterparty screens every project that seeks to launch an IEO on its website. Exchanges do this to maintain their good reputation by carefully vetting token issuers.
Yeah, like trusting Bitcoinica, MtGox, Bitfloor, Cryptisy, CoinEX , Mintpal, Youbin, Coinbin, Cryptorush ,QuadrigaCX, Gatecoin , should I add more? Cause I got a lot more!!!
2. Security
Same as above.
3. Easier for the projects
So, startups launching their IEOs require a lower marketing budget than if they decide to go with an ICO. Moreover, token issuers can take advantage of the exchange’s stable customer base to receive more contributions to their projects.
4. Listing
As token listings are also “in the deal,” it is a natural process that the cryptocurrency exchange where the IEO is conducted lists the coin of the startup after the crowdsale is over.
So, startups launching their IEOs require a lower marketing budget than if they decide to go with an ICO. Moreover, token issuers can take advantage of the exchange’s stable customer base to receive more contributions to their projects.
4. Listing
As token listings are also “in the deal,” it is a natural process that the cryptocurrency exchange where the IEO is conducted lists the coin of the startup after the crowdsale is over.
I read this as easier to fool noobs in buying worthless shitcoins that don't even bother to have a plan.
Just reinventing the ICO concept to try and milk some more money in a bear market and after a period in which 99% of all ICOs have come with nothing at all and 1% is going to follow.
Maybe this is an upgrade to deceive people, using a known exchange as a new strategy to get money from gullible users. You can't blame the exchange if something goes wrong in the future because they are not liable to someone else's investments. There's always loophole in the system. So couple of years from now, how many of those projects will still be alive and living up to their objectives. I doubt, those projects will implement their overwhelming technology as presented on their whitepapers.
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