Topic: IEO can be a safer investment option than ICO - page 11. (Read 2191 times)

Binance launchpad has a strict due diligence on the project they accept on their platform. it is 100% safer compare to random ICO that is born everyday.

But one thing is true, ICO will become a cartel and centralized to Binance launchpad.

I agree with OP IEO is safer as compared to ICOs, IEO is not the new concept this method has been used in the past successfully. The IEO fund raising model is again in the demand because of two recent succesful IEO BitTorrent & Fetch.AI launched by Binance & we are seeing competition among the exchanges like OKEX, Kucoin, Huobiprime, Binance, Bittrex.

To conduct an IEO, the project team must meet and comply with the exchange’s requirements in order to launch the token sale. Contributors are, therefore, protected by the exchange. Although some may argue that the exchange may go along with the project team to scam customers, this will put the exchange’s reputation at risk. Exchanges that look for a sustainable business model would not consider taking such an unethical move. Instead, the exchange is risking their credibility when doing IEOs, since it has no control over the IEO project team’s operation and product delivery as promised in the latter’s white paper. To maintain trust with its customers, the exchange must carry out a comprehensive assessment of the project before launching the IEO. This provides an extra layer of protection to contributors.

Compared to ICOs, the risk of IEOs is much lower for both the project team and contributors.

On the customer’s side, not only will the exchange help them review the projects and filter out scams, but it also provides better liquidity for trading afterward as a large user base is already guaranteed. The exchange will also offer a convenient platform for contributors to manage their funds as all assets can be stored in the exchange account instead of different wallet addresses.

For project teams, they are eased of operational hassles. For example, all the exchange users have been vetted by the exchange’s KYC/AML verification. The exchange will also provide liquidity with its user base, and also help on marketing promotions.

With all the scams and frauds out there, an IEO is no doubt a better model for the contributors/customers. Despite more processes required for both project teams and contributors for the token sale, the extra protection offered is worth the cost.

Reference :- https://dailyhodl.com/2019/03/13/initial-exchange-offering-ieo-vs-initial-coin-offering-ico-what-are-the-differences/

i disagree, in fact i say IEOs are even less safe than ICOs because exchanges are involved. they don't care about legitimacy of the projects they advertise, they may only do it at first but eventually they will end up promoting only those that pay them the most. and before you know it you will start seeing only big scams being promoted in these exchanges that can cause so much damage to the whole market.

True, it makes it easier for investors to choose and curate because the IEO is chosen by Exchange.
full responsibility is on the Exchange that holds it. maybe to add,The following Exchange IEO:

idcmkorea 
Coineal Launchpad,
Exmarkets,
Kucoin Spotlight,
LBank,
OKEX - OK Jumpstart = Soon wil Announcement in here 
Probit Launchpad.

Many people say that STO will be the trend of 2019 but I remembered saying somewhere that IEO (but STO) is 2019's real trend. But in comparison with ICO, IEO is much harder to buy due to imbalance between supply and demand. That's not to mention the shady interference from exchanges during and after the IEO (restrict the buyers or pump token's price to create hype).

However, for lucky people who can buy token during the IEO, they'll get a fortune. Consider the latest IEO - Top Network as an example. Its price at the time of writing is USD 0.0125, which is 7 times higher than IEO price of USD 0.00177. Clearly IEO is on the footsteps of ICO on its early days and deems safer than ICO at the moment.

Aside from exchanges mentioned in OP, I can name some other trustworthy exchanges also offer IEO platform:

• Houbi Global
• OKEx
• Idax

Website for upcoming IEO: https://coincodex.com/ieo-list/

P.S: IEO is just a way of investment and investment always goes along with risk.

True that, its still about due diligence in the end.

Those who get scammed at least once would be more or less aware of what's going on next time.

I totally agree with OP's idea that IEO is safer than ICO. To IEO investors, they are exonerated from the fear that their tokens will not be listed on any exchanges. To project development team, they have the money to continue the project. And to exchanges, they obviously get a part of fund raised from IEOs. This way, all parties are benefited from IEO.

It is only right for those three exchanges' IEO, but might turn out to be wrong with IEOs from small, less well-known or unknown exchanges.
As I raised my opinion above, it is only right for big exchanges.
Investors will get nothing back if they invest into IEOs from small exchanges, that eventually make scam exits.

Joining IEO remove's the risk of holding a bag of worthless tokens compare to traditional ICO.

With IEO all investors are secure that they can freely liquidate their bought coin after the IEO sale. While in traditional ICO it carries a heavy risk that the token/coin might not be listed on a exchange.

Actually, i wouldn't prefer IEO as there are already many exchanges floating around here and are in a very worst condition you cannot expect that they will be easily successful.

Just another hype that will soon turn to a scamming mechanism used to defraud investors. For starters, IEO isn't that new. if you have been in the crypto-ecosystem for quite some time you'll notice some exchange carrying out ICOs on their platform especially mercatox exchange. It's just getting hype right now because binance bought into the idea. If IEO achieve half of the success ICO did achieve exchanges will just go in for the money and list shitcoins without concerning the safety of their investor. It happened to ico rating site, cryptocurrency influencer etc so I'm sure IEO won't be any different. It's safer now but will it be tommorow?

On a contrary, those exchange sites are reputable so they somehow filter what projects they'll launch though we can assume that this project can offer more pay just to be launch on those sites. We can in fact use these sites as a guide but don't depend your decision on it either be in hype. We're on the space of uncertainty so choose and think logically.

In general, IEOs might be a little bit safer than ICOs.

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Especially IEOs come from well-known, reliable exchanges, like those one you listed in the OP.
In contrast, for IEOs come from un-known, young, new-born, small volume exchanges, they are more risky and it is difficult to judge that invest into such IEOs is safer than invest into ICOs.
Exchanges can make scam exits, can get hacked and go into dead/ bankcrupted, so it is obviously risky too.

Additionally, it is hard to say IEO invesment is safer, because even exchanges don't got hack, or scam exit, investors can get losses too.
Buying at highs, selling at lows, and eventually get losses as ICO's invesments.

Hello Everyone,

There's so many users on this forum who take ICO investment as a earning source and honestly its never been so easy to make handsome profits from every ICO projects. As we all know that recently ICO scam has been a common issue where in every week scam accusation section getting crowded with these ICO scam related thread.   

Investment safety is the most important thing for a investor. Everyone will be glad to know worldwide crypto exchanges have started IEO system for upcoming crypto projects where I think its a safer investment way for a crypto investor. Recently some famous exchanges are running this Initial Exchange Offering and they are;

1. Binance 
2. Bittrex 
3. kucoin 

As a crypto investor I personally believe that this system is pretty much safer than ICO. Basically investors had to think about a lot of things before putting their fund on a ICO project such as research whitepaper, project Accuracy, team members and many more. In case if a project can't be able to be listed on exchanges then its another big problem for the investor. But this new IEO system has made this easier for investors IMO. Where recent Binance launchpad Projects gain 10x price from the starting price.


I am not encouraging you guys to make IEO investment but just trying to show a safer way where there is lower chance to be scammed.