They may also limit an IEO to investors who held an account https://www.xcritical.com/ at the exchange at the time of the IEO announcement, limiting the ability of new customers to join the IEO. An IEO is a mechanism by which new cryptocurrency projects can offer a token to the public. Additionally, an IEO has lower risks and more flexibility compared to ICOs. For investors, this makes it easier to exit their position, should they feel the need to do so. There are thousands of cryptocurrency and blockchain projects in existence or under development. Most projects require some sort of financial incentive to keep developers and contributors engaged.
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- A hard cap ensures that no more than a certain amount of money can be invested.
- This is because IEO projects are put through a rigorous vetting process before they’re accepted by exchanges.
- A growing number of projects are simultaneously launching IDOs on multiple blockchain launchpads and releasing tokens on a combination of different smart contract platforms.
- Members of a crypto exchange can join an IEO by signing up to purchase the token when it is released.
- The main difference between IEO and ICO is the presence of a crypto exchange as an intermediary.
In addition, most IEO providers require investors to complete KYC requirements in order to join. This means that investors must provide and verify their identity in order to join an IEO. Identity verification is typically not required to join an ICO, which means that investors ieo marketing services can purchase a new crypto token anonymously.

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IEO investors can also potentially earn a profit through staking rewards and lending their tokens. Staking and lending are often most valuable when a project is new and the token supply is limited. IEO tokens are always available for trading on the exchange they list on after the IEO is finished, so there’s a steady pool of liquidity for buying and selling. There’s no guarantee that an IEO—or any other crypto token listing—will result in a profit.
The Rise of Initial Exchange Offerings
Members of a crypto exchange can join an IEO by signing up to purchase the token when it is released. Investors must be a member of the listing exchange and meet requirements like owning a certain volume of the exchange’s own token. The process is similar for most major crypto exchanges and may vary depending on the requirements to join a particular IEO. A project’s tokenomics should be covered in its whitepaper, but it’s worth discussing this aspect in more detail. New crypto projects can undergo verification through crypto audit services like Certik and Coinsult. These services comb through a project’s code, including its smart contracts, to ensure there are no bugs or scams built in.
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Most crypto exchanges will require new investors to go through the KYC process. This includes uploading a copy of the investor’s ID, taking a photo with their webcam, and verifying their phone number and email address. Of course, monitoring social media requires that investors already have a shortlist of crypto projects they’re watching. Investors can build that shortlist using ICOBench, then follow up on social media. Another advantage to investing in an IEO is that centralized exchanges make it relatively easy for beginner crypto investors to buy new tokens. An IDO (initial decentralized exchange offering) is very similar to an IEO, but involves listing a token on a decentralized exchange (DEX) instead of a centralized exchange.
During an IDO, the DEX’s community is responsible for approving a new listing. This can be done by a vote, but in practice most DEXs simply list all new tokens without a formal approval process. So, tokens listed through an IDO often don’t undergo the same due diligence process as tokens listed through an IEO. For projects looking to raise money with the help of an exchange, an IEO is a reliable option. Most Initial Exchange Offerings sell out very quickly, depending on the project’s vision and use cases.
All exchanges that are offering IEOs require you to register or create an account on their platform. Exchanges also will require users to complete Know-Your-Customer (KYC) account verification before participating in an IEO. Finally, many exchanges require you to use their own native tokens in order to participate. For example, Binance requires users to use the Binance coin (BNB) and Huobi requires users to use Huobi Token (HT) in order to purchase tokens during an IEO.
As a result, crypto enthusiasts looking for a decentralized form of fundraising may be put off by this model. Uniswap and similar crypto decentralized exchanges are increasingly becoming the preferred platform for fundraising for DeFi tokens distribution. IDOs are gaining in popularity and are likely to become the new industry standard. An ICO, or initial coin offering, is a decentralized process whereby anyone can buy a crypto token directly from a project.
An IEO, or initial exchange offering, enables members of a crypto exchange to buy a new token through the exchange as a middleman. In an ICO (initial coin offering), coins are listed directly for purchase by investors without going through a crypto exchange. Many ICOs use crypto presales, airdrops, or other mechanisms to distribute tokens without a middleman.
Most exchanges accept deposits by credit card, debit card, bank transfer, or e-wallet. A crypto whitepaper will also typically cover the project’s development roadmap. This includes details about when the IEO will be held, whether there will be additional token releases, and when new features will be released to the community. Project roadmaps may be optimistic in their timing, but they should still be realistic about how long things will take. While exchanges perform some due diligence on IEOs, there’s no guarantee that they filter out all scammy projects. There’s also no guarantee that a token will rise in value just because it held an IEO on a major exchange.
Yes, you can use a .io domain for email addresses just like any other domain. Most domain registrars offer email hosting services that you can use with your .io domain. However, it can be faster or slower depending on the registrars involved and the accuracy of your contact information. Using hyphens on your domain name is an outdated practice and can be a red flag for experienced internet users. Keeping your domain simple and clear without hyphens helps maintain a professional image. If your domain has Domain Name System Security Extensions (DNSSEC) active, you’ll need to disable these settings to prevent DNS resolution issues.
New crypto projects require a large amount of capital to actualize their ideas. Since the crypto market is not regulated, borrowing funds from banks and institutional investors is not an option. Instead, new crypto projects turn to the public or individual investors to raise the money needed. From here, Initial Coin Offering (ICO) was born, quickly gaining popularity among crypto start-ups and investors. Next came another trend to fund new crypto projects, the Initial Exchange Offering or IEO, followed by Initial DEX (Decentralized Exchange) Offering or IDO.
The lower frequency of IEOs has helped weed out some of the less savory projects in the cryptocurrency and blockchain space. However, no method is foolproof, but it appears that IEOs are at least on the right track. Additionally, they need to determine if their Initial Exchange Offering will have a hard or soft cap. A hard cap ensures that no more than a certain amount of money can be invested.
When it comes to domain names, the .io domain extension has established itself as a favorite choice among tech startups, developers, and innovative businesses. And currently, the .io domain ranks 49th among top-level domains, with 221,191 active websites. The only real difference between security tokens and stocks is that security tokens are on a blockchain instead of being registered.
Contact your current registrar for instructions on how to update nameservers. Remember, you cannot change nameservers while the domain name transfer is ongoing. Blockchain companies use .io to underscore their involvement in pioneering and disruptive technologies.

IEOs were first introduced in early 2019 and have since become a hugely popular way to launch new crypto projects. Like an ICO, an IEO involves the distribution of new crypto tokens to either a set of investors or the broader public. However, in an IEO the organization trying to raise funds has to partner with a cryptocurrency exchange, which acts as the facilitator for the actual token sale and distribution.
With that said, IEOs can present favorable investment possibilities as well. Being able to buy upcoming tokens early while knowing that they are to be listed on markets with good liquidity can create some opportunities. Even though every IEO is vetted by the participating exchange, no investment is without risk. It is possible that the project raising funds will not be able to realize its vision. This can and often will impact the token price, regardless of its value during the IEO. Investors send money through exchange wallets, rather than sending it to the project directly.