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IEO and ICO — What is it and how does it work?

The world of cryptocurrencies not only innovates in its digital currencies but also in the form of funds.
Have you heard of IEO (Initial Exchange Offering) and ICO (Initial Coin Offering)?
Possibly not. Our goal is only to introduce the theme, it will be up to each one to seek a deeper analysis, if interested, as it is a recent subject, which requires much study and immersion, besides the variations or applicability.
In 2013 came the first ICO initiatives in the world, the start of INITIAL COIN OFFERINGs. This new form of funding supported by crypto-economy became more famous in 2017 and 2018 and reached levels of up to $ 4.1bi in a single funding. Famous companies like TELEGRAM and BINANCE have made their fundraising through this format.

They look like astronomical sums, but these were the scales reached in this period of euphoria. Given this sudden warming, not-so-attractive or even non-legitimate entrepreneurial actions emerged and caused investor harm and, consequently, led to the cooling down shortly thereafter. Observing these risks, the market itself has found a path of evolution from ICO’s to what is known as IEO (Initial Exchange Offering), which consists of a flow intermediated by a Crypto Exchange, the intermediary seeks to “guarantee” that the offers of tokens that occur on Exchange are reliable and projects promising, preventing frauds.
We imagine that other variations of “O’s” will emerge, but the fact is that the crypto-economy has found and will not stop looking for new ways of making large scale viability of projects supported by Crypto and / or Blockchain, exponentiating the disruption.
Welcome to the future!

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