What is IDO that this concept is no longer strange to crypto investors?
Since decentralized markets became popular, IDO is no longer a strange term for investors. After the trend of investment in the form of IEO was popular (blooming in the years 2017 – 2018), followed by IDO. Currently, there are many projects that open to sell tokens under IDO and bring relatively attractive profits to participants.
What is IDO?
IDO stands for Initial DEX Offering
DEX stands for Decentralized Exchange
I will briefly talk about the DEX so that you can easily imagine: This is a type of cryptocurrency exchange built and operated in a decentralized manner based on the blockchain platform. The DEX exchange allows users to trade peer-to-peer on the blockchain network without having to go through any intermediary organizations.
The IDO model is the successor of other crypto fundraising methods such as ICO, STO, and IEO.
An IDO is when a project issues tokens through a decentralized liquid exchange and manages fundraising events on behalf of project members.
The first IDO project was hosted by Binance DEX.
What is the purpose of IDO?
Investors:
Users can buy and hold tokens of potential projects through IDO. If lucky, the token can multiply and increase in price many times after the first sale, bringing huge profits to investors.
Projects:
- Mobilize capital from the community to develop their projects.
- If you choose a popular DEX, the project will be widely promoted in the exchange’s user community.
- Build relationships in the ecosystem of that DEX, can cooperate with similar IDO projects.
DEX:
- Attract traffic and increase trading volume for the exchange.
- Build an ecosystem and relationship with potential projects.
- Increase the reputation and popularity of the floor.
Join X1k.co Telegram to keep track of news and comment on this article: t.me/x1kcrypto
Disclaimer: This article is for informational purposes only, not investment advice. Investor should research carefully before making decision. We are not responsible for your investment decision
Follow the Facebook Group | Subscribe to telegram channel | Follow the Facebook page
