Initial Coin Offerings (ICOs) used to be hottest thing around when it came to crypto-investments. However, that bubble has burst as many ICOs being proven to be a bad choice.
Now, the investment world is buzzing with a different investment opportunity. This time it is Initial Exchange Offerings (IEOs). The idea behind it is to combine token sales and exchange listings into just one event so that investors would be able to trade immediately.
The main attraction of IEOs is that investors don’t have to wait for it to perform well like an ICO before they can start trading.
Immediate trading means big swings in value from the beginning. Though IEOs sound like a good idea, the trouble is that a lot of people think that it might be very similar to ICOs but in another form.
Hack Crypto
The main reason that ICOs crashed was that many companies were setting up these ICOs with just an impressive website to lure people in. Investors didn’t realize they were getting a bad deal until long after the sales were done. There are some market analysts who believe that IEOs will pose the same problem for investors.
The trouble with this kind of market chatter is that the legitimate companies who are starting IEOs are getting hit. However, it is still not deterring those companies that were not able to join the ICO craze from shifting to IEOs. The global market is open for to the next big thing in the crypto world and it looks like IEOs are going to fill that void in the near future. A lot of investors are confident that IEOs are a lot safer than ICOs and are willing to take on the risks and make the investment.
Token Generation a Better Option
For a safer investment option, there are Token Generation Events (TGEs). These are not as new as ICOs and IEOs but they are actually a better way to expose investors to the cryptomarket. TGEs are essentially what bitcoin and other cryptocurrencies used to start up. Apps are distributed which will help in generating new tokens on an ongoing basis and participants will be awarded with tokens as an incentive of joining.
A good example of this is LiquidApps’ DAPP Token. New tokens are generated regularly and then regular public sales are done via a Smart Contract. Other developers are following in their footsteps. Interested investors who want to be safe should look into buying tokens developed in this way to avoid bubbles like IEOs and ICOs
