In the crowd-funded the project you will realize that the use of the word IEO (Initial Exchange Offering) will be part of the things that you will stand to hear in the world of today. Its beginning comes from the use of the ICO. You will realize that for the blockchain based projects, the word ICO is crucial for the trade.
It is good to know that in the blockchain projects funding the use of the ICO is one of the top methods that are in use. Use of the ICOs is exclusively for funding of the projects where the use of the regulations and other forms of checks and intermediaries such as banks and the stock exchanges will not be a factor to consider.
As for most of the methods you will note that there are some disadvantages that do occur with them and the use of ICO would have its own share of problems as well. The potential threats that the ICO platform would offer is one of the aspects that would discourage the investors. For the investors it will not be that easy to hold the company under the perfect kind of responsibility in the projects that they would take.
That means that the investors would not know the rates of the companies completing the tasks that they do pledge to them. The other danger would be that of lack of regulations. It is good to know that the use of the regulations will be crucial when it comes to the protection of the investors against scams.
You will note that if you don’t have the best knowledge for the investment methods that the company will use for your money it can have some devastating impact as you will not have control over the same. Following many risks that the ICOs has, you will realize that a shift to something better such as IEOs would be relevant.
You will realize that if you will take a look at the IEOs they have the same sort of definition derived from ICOs where they are now regulated through great channels such as exchanges. The use of the exchanges does vary where some arise from invitations and the other are free to the public. You will realize that the use of the IEOs is a better version of the ICOs and hence it will have some essential kinds of gains when it comes to the blockchain investments.