Cryptocurrency terms

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Avatar for Mike190
3 years ago

In Cryptocurrency world. There are some terminologies which are very much similar or a bit confusing to some aspects to newbies based on what and where they are encountered. The three basic ways of Coin offerings or distribution will be discussed in this post. every regards deals with how the coins are shared and disbursed among the community members and users. 

Different between ICO, IEO and IPO.

ICO: Initial Coin Offering. This is a 

way of securing fund procurement for a project to enable the moderator to facilitate the Roadmap of the project white paper and the coin are the traded back after it has been launched. Though the real project requires KYC to get idea of those that bought coin during the need and most of the remaining coins that are left unsold are burnt and spoil to create liquidity for the coin and coin value is based on sold ones.

Examples are Electroneum,  and the likes.

IPO: Initial Public offering

This is more like a company seeking help from the investors by selling shares with regards of the investment they had with the company and it's very much facilitated by  SEC. But it's done on Blockchain network via smart contract

IEO: Initial Exchange Offering. 

This is an extension or enhanced version of the ICO stated above,

It is released by the exchange itself and due to the Data leakage that usually happens in ICO and Privacy leakage due to KYC process. Exchange are usually safe as the real exchange are very conscious and have much regards for their clients. Hence the coin has value as alot of ways has been laid out to create liquidity for it. Hence, IEO is more reliable than ICO nowadays. Example are BNB, KUCOIN, CNB, Probit and the likes.

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