I was Hit hard after Reviewing IEOs against ICOs in a Biased Review, Then I became ‘Reasonable’

I was Hit hard after Reviewing IEOs against ICOs in a Biased Review, Then I became ‘Reasonable’

By Ayobami99 | Cryptostocksreviews | 10 Apr 2019


The Rollercoaster Rush

190903265-0f6f34c95c2e11a51fbe0a53978ba42a983c9909d531504d358f276ce717b5d3.gif

How I felt like a child who stumbled upon an Island of candies after reading more about IEOs- Initial Exchange Offering. I rushed off to my computer to create ‘the most wonderful’ content I could about it. To me, I did an in-depth biased review of IEO side-by-side ICO- Link. Sure, ICOs are dead, nobody wants to have anything to do with it.

IEO-Without Demerit

Obviously, IEOs carries some intrinsic advantages that ICOs did not have. Investors don’t have to trust the project team, all they needed is to trust the exchange in question. Good enough the exchange must perform due diligence on them because if the project failed, it is going to tell on the reputation of the exchange. Investors don’t need to send funds to an unknown smart contract, all they needed is to fund their account on the exchange. The project will not need to worry about spending funds on advertising, performing KYC, creating an onboarding page for the collection of funds, or listing their tokens on exchanges. All of these are achieved automatically with an exchange. Exchanges are not left out, they are paid listing fee and tokens by the project team.

Will you blame me for my Understanding?

You can’t really blame me for being excited though. IEOs are making waves presently. Though they’ve been around for a while, IEO became mainstream with Binance Launchpad. Bittorrent sold hard cap in a matter of 15minutes. Other projects did better. The latest was MultiVAC on Kucoin Spotlight- Oh you didn’t hear.

MultiVAC did its IEO on Kucoin Spotlight and sold out tokens within Seven seconds to 1661 people on April 3rd, 2019. As though that wasn’t enough, because of the requests from investors who couldn’t get tokens, they planned on doing a second round. April 9th, 2019 MultiVAC second round IEO sold out in 11seconds after selling to another 5000 investors. They listed their tokens on the same day. So you see, IEOs are trending.

Hurggh! The Bummer! 😟

190903265-3e425098109296c228d3757327799bf0ac11b67bfb59390ea15c8c84f2492841.gif

After writing about IEOs in my biased review, I went off to share it to my social media and Cryptocurrency forum namely-Reddit as was my habit. Yes, r/cryptocurrency has been a cruel place to post, but I still continued. This particular post was different, aside from the ‘normal’ downvote, I had a comment. This comment really opened things up as a pessimist. Some of the points you can make about IEOs disadvantages are:

  • What If the Exchange got hacked? Today we've seen a lot of exchange hacks. If the exchange got hacked, the repercussion will be worse than an ICO scam.
  • It means that if all startup adopted IEO, then IEOs will inadvertently be a park of ‘what the exchanges liked or wanted’. Exchanges only choose a project they like and they can easily reject a startup. This may not be a real disadvantage as a startup can approach another exchange, but what about the bad name they must have gotten from their first application.

Becoming ‘Reasonable’

After reading this particular comment my hilltop emotion had stopped and I literally became ‘reasonable’. Of a truth, those risks are real and should be taken into consideration.
There you have it - Now a non-biased review of IEOs.

Do you love me? Follow me

Do well to read my first article on IEO Vs ICO, where IEO won without demerit, I am sure you'll like the understanding. Follow my updates and articles on FinancialReport24 and also check The Currency Analytics out- a google approved news platform that fights against fake news with its REAL protocol. You'd be glad you do.

Thanks for reading, I am your neighborhood CryptoMan 😁. Ayobami99

How do you rate this article?


0

0

Ayobami99
Ayobami99

I am a blockchain enthusiast (especially startups)- The wonders of the blockchain technology.


Cryptostocksreviews
Cryptostocksreviews

The microscope for the Blockchain Ecosystem- Experience the wonders of blockchain Technology. Visit https://cryptostocksreviews.org for more exciting content.

Send a $0.01 microtip in crypto to the author, and earn yourself as you read!

20% to author / 80% to me.
We pay the tips from our rewards pool.