Overview
In an IEO, a centralized exchange acts as the intermediary and 'gatekeeper' for a token sale. The exchange vets the project, manages the sale process, and lists the token on its platform immediately afterward.
Advantages
- Trust: The exchange's reputation is on the line, so they perform due diligence on the project.
- Security: Users participate using their existing exchange accounts, which are already KYC-verified.
- Ease of Use: Simpler for retail investors compared to interacting with smart contracts directly.
Popular Platforms
Binance Launchpad is one of the most well-known IEO platforms.