Crypto Asset Exchange “OKEx” Shows IEO Active Development! The Era Transition from ICOs to IEOs
IEO trading is showing signs of success mainly at major exchanges such as on Binance, Huobi, and OKEx. IEO stands for an exchange examining ICO operators and issuing tokens from the exchange platform. Investor security is secure compared to conventional ICOs.
If secure ICOs can be established, you can expect a large increase in token prices and secure, high-return crypto asset investments will also be possible. In this article we will talk about IEOs, which are expected to become more and more active in the future, and its features and how to participate in them.
Major exchange OKEx publishes its own blockchain | OKB token becomes a major currency
Speaking of exchanges, the world’s major players such as Binance, Huobi, and OKEx are said to be the three major exchanges, and are considered to account for the majority of cryptocurrency trading volume.
One of the exchanges, OKEx, made the following major announcement on March 23, 2019:
・ We will carry out test release of our original blockchain “OKChain” soon
・ Exclusive use of our unique token “OKB coin” for “OK Jumpstart”
・ Launching service of a distributed exchange (DEX)
Of particular concern is the topic of “OK Jumpstart.” “OK Jumpstart” is a service that enables ICOs on the OKEx platform. ICOs (Initial Coin Offering) are a form of fund raising using cryptocurrency, and ICOs are still giving birth to a wide variety of tokens (cryptocurrency).
However, it is also true that there are many investors who are plagued with fraud because the environment and laws have not yet been established for ICOs. The risk of investment can be mitigated by carrying out the ICO on OKEx. That is also because a major exchange called OKEx is examining companies that issue tokens by ICOs.
The ICOs that use such exchange platforms are called “IEOs (Initial Exchange Offerings).” IEOs are more secure than ICOs, and it also have high expected returns, so it has been booming in recent years as a way to invest in crypto assets.
(Reference: https://crypto-times.jp/okex-okchain/CryptoTimes, 2019/3/23, OKEx announces its own blockchain “OKChain;” OKB is the key currency of its own IEO platform – CryptoTimes, 2019/3/23, OKEx announces its own block chain “OKChain;” OKB becomes the key currency of its own IEO platform)
What is an IEO (Initial Exchange Offer)?
IEOs will attract more and more investors from now on as a means to solve the problems of past ICOs (such as fraud). Here, we will tell you about the features of IEOs and how to participate, so please use it as a reference.
An IEO is a method of consigning ICOs to a specific exchange. For example, a business operator says “I will create a great business idea on the blockchain and raise its development funds from you,” and will try to raise funds using crypto assets. This is the basic procedures of ICOs.
It is called an IEO as it mediates through an exchange without changing the idea of the ICO. Of course, IEOs also allow investors to receive tokens developed by the business. If the token is listed on the exchange and the price goes up, investors will receive a high return on the sale.
Benefits for investors using IEOs
The benefit of investors using IEOs is that it is more secure than anything else. In the past, ICOs did not have to apply to the FSA or the country, and anyone could issue or create a token. In addition, there is no law concerning ICOs, and the way of understanding varies from country to country. Then, some fraudulent cases come out to forgive the investors and try to steal important assets.
Tokens issued by ICOs have been regarded as a high-return investments by law due to their prices rising sharply when they are listed on exchanges (generally known as public disclosure). However, because there are many fraudulent methods involved in ICOs, there is also a big risk that the money will be stolen.
On the other hand, with IEOs the exchange examines companies that register on the platform. Since the unscrupulous parts of business are eliminated during this process, investors can safely invest in the tokens. This can be said to be the biggest benefit for investors.
How to participate in IEOs
It’s easy to participate in IEOs. You can buy tokens in much the same way as you buy a desired cryptocurrency on an exchange.
The procedure is as follows:
(1) Register on the exchange where the IEO is conducted (account opening)
(2) Send identity verification documents (passport, etc.) and complete identity verification
(3) Deposit Bitcoin (or other cryptocurrency) on your exchange account
(4) Join your favorite project from the IEO’s list
All you need to do is the four steps above. Of these, the three steps from the top are the same as buying and selling cryptocurrencies on an exchange. In the case of IEOs, you just need to register and purchase the project you chose from the list of IEOs, with the crypto assets you possess.
However, to participate in IEO with OKEx, the “OKB coin” is required. OKB coin is a unique currency issued by OKEx, and can be purchased with Bitcoin from on OKEx exchange.
Speaking of ICOs, attention is often paid to the range of rising prices after public release. In the past, token values issued by ICOs increased more than 500 times, and the highest returns can be expected among crypto asset investments.
If you use an IEO, you will be able to take advantage of the rising prices of ICOs while ensuring security for investors. Also, there is a high possibility that the token will be listed on the exchange where the IEO is conducted. This has the advantage of reducing the risk of unlisted tokens.
Since IEOs are expected to further expand in trading volume, let’s pay attention to the trends of major exchanges such as OKEx.