METAPAX — IN VISION THE FUTURE
What is IEO and what are its benefits?
IEO — Initial exchange offering. Every year more and more crypto projects turn to IEO. In this article we will tell you why it happens and why MetaPax also chooses it.
Basic Understanding
Any cryptocurrency project in its initial stage attracts funding. Financing is the most important stage, on which the further perspective as a whole depends. For example, until relatively recently, it was popular among crypto projects to raise funds through ICO — “Initial coin offering”.
In the ICO, the conditional developer of the project acted as the main one in raising finances. All events took place around him.
But ICO hasn’t passed the test of time first of all by its methodology and unreliability from investors’ point of view. Therefore, recently, more and more projects, including MetaPax are turning to IEO — Initial exchange offering.
What are the differences?
In IEO — the main party is the crypto exchange, organizing further token sale. The developers, having created a conditional token (issuer) for the project, send it to the crypto exchange. Thus, all responsibility for further processes of buying/selling tokens lies with crypto exchange.
Considering the aspect that no crypto exchange benefits from ruining its reputation, it will treat fundraising responsibly.
With IEO, the parties also have mutually beneficial obligations. Thus, the issuer must transfer a percentage of token sales to the exchange. The issuer must also pay the crypto exchange for listing the token.
The crypto exchange, apart from listing and token sales, facilitates transactional activity for the sake of earning interest from it.
What’s the advantage of IEO?
Perhaps the most important advantage of IEO is its security and reliability. In fact, it is a more “developed” version of the ICO.
In IEO, the parties are equally interested in the project. The whole procedure is carried out with the help of smart contracts and users of the crypto-exchange are potential clients.
After the sale there is always a listing of the token in pairs, at least to stablecoin. This is also a plus because users will be able to trade the token and buy/sell it immediately. They won’t have to wait for listings to purchase.
In the long run, this method of fundraising also provides an opportunity for entering new markets. All this happens because of the simplified approach to the listing process.
MetaPax chooses IEO
MetaPax is a new generation streaming platform. In the case of MetaPax, we also choose IEO. First of all, this type of fundraising is impressed by its reliability.
MetaPax platform users will use custodial wallets which will give them additional benefits in platform.
MetaPax has already demonstrated success in the crowdfunding phase, exceeding the norm.
And given the outlook and well-established plans, there is no doubt about the project’s success.
