{"id":6636,"date":"2019-07-26T10:46:00","date_gmt":"2019-07-26T10:46:00","guid":{"rendered":"https:\/\/qa-front.dev.techhub.cloud\/blog\/?page_id=864"},"modified":"2025-11-03T13:41:12","modified_gmt":"2025-11-03T13:41:12","slug":"what-is-an-ieo","status":"publish","type":"glossary","link":"https:\/\/paybis.com\/blog\/glossary\/what-is-an-ieo\/","title":{"rendered":"Initial Exchange Offering (IEO)"},"content":{"rendered":"

After the rise and fall of ICOs<\/a>, a safer model for token sales is coming to reward early investors of new crypto projects.<\/span><\/p>\n

What does an IEO work?<\/span><\/h2>\n

An IEO, also known as Initial Exchange Offering, is a coin offering conducted by a cryptocurrency exchange. The goal of such offerings is to raise funds on behalf of a startup company by offering their newly issued tokens.<\/span><\/p>\n\nhttps:\/\/paybis.com\/blog\/wp-content\/uploads\/2019\/10\/21-What-is-an-IEO-and-how-is-it-different-from-an-ICO.mp3<\/a><\/audio>\n

How does it work?<\/span><\/h2>\n

Since an exchange is conducting the token sale for the startup company, the token issuers usually offer a fee and a percentage of their tokens as payment for the additional exposure.<\/span><\/p>\n

In return, the tokens are sold on the platform and the coins are subsequently (after the conclusion of the sale) listed on the exchange.<\/span><\/p>\n

How is an IEO different and better than an ICO?<\/span><\/h2>\n

Hosting an IEO adds additional safety as it addresses two key components that are often problematic with ICO\u2019s, namely:<\/span><\/p>\n