The latest report unveils that the United States crypto exchange Coinbase is eyeing to launch its own “Initial Exchange Offerings (IEO) and a platform for security token offerings (STO).
Coinbase Deciding to Launch IEO
Coinbase cryptocurrency exchange is pushing itself harder to adopt widespread awareness from the worldwide crypto industry. Although the official announcement is yet to be revealed, the Coinbase’s Chief of institutional sales, Kayvon Pirestani told media;
We think there’s a really interesting opportunity there for Coinbase,” said Pirestani, continuing: “In a nutshell, Coinbase is carefully exploring not only the IEO space but also STOs (security token offerings). But I can’t make any formal announcements right now.
IEO – Exchange-led rebirth of the ICO
Although Initial Coin Offering (ICO) was a fancy term in 2017, the ICO market is pretty much dead now. But in the year 2019, Initial Exchange Offering (IEO) is becoming a new trend in the crypto industry. In fact, there’s nothing wrong calling it as – the exchange-led rebirth of the ICO wherein Exchange sells token on behalf of the new projects needing to raise funds from the public.
One of the critical aspects that differ IEOs from ICOs is that the whole project will be carried out in high standard security frameworks, set out by several exchanges. Investors are likely to rest assured with their funds invested in IEOs hosted by crypto exchanges.
Coinbase’s IEO launch is no surprise as its competitors have already launched and flourished in the crypto market well enough. Prior to Coinbase, competing giants such as Binance, OKcoin, Bitfinex, and KuCoin are already in a top list of hosting multiple IEOs.
While Coinbase’s executive didn’t open to more information about their IEOs, he further said that the firm would reveal the detail information about its IEO plan in the “next few months.” He also adds that STOs are quite near at their launch but added that the company felt rare demand for the STO product right now– henceforth, it will wait a bit more.
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