How does the lost IEO open the next battlefield

The ICO in 2017 detonated a big bull market in the currency circle. When the ICO was banned, the STO in 2018 became the successor, but the popular STO did not help the currency circle in 2018 to drive away the ferocious bear market. . However, 2019 unexpectedly ushered in a wave of small bull market. The biggest contributor to this wave of small bull market in the currency circle is our protagonist "IEO" today.

IEO's "sudden force" detonated the currency circle

The crowdfunding method of IEO is not a new thing that only appeared in 2019. In fact, it was implemented by individual exchanges after 1794. Just because ICO was so popular at that time, even after being banned, it was still favored by project parties, so IEO did not cause much repercussions at that time.

However, when ICO gradually retreated and STO failed to take the lead, IEO finally broke out completely in 2019 and successfully defeated the haze of the currency circle in 2018, bringing hope of recovery to the currency circle in 2019.

At the end of 2018, it was the last precipitation of IEO. The IEO project that was not optimistic in the year was restarted, and successfully launched the first shot of the IEO market explosion. In the long bear market of the blockchain industry, it successfully ignited a new round of war between trading platforms.

After IEO quickly ignited the enthusiasm of investors in the long-hungry currency circle and the attention of the market. The IEO project has become a star project, and with the popularity of the IEO project, it also indicates that the IEO project will quickly occupy the market. Unsurprisingly, the major exchanges seemed to smell the bloody sharks, and they all rushed forward, developed IEO-related projects one after another, and began to divide up the funds in the market. The addition of several major exchanges has given the market a sense of security and trust, and since then the IEO wave has officially started.

There are various IEO projects in the market, and the project parties of large and small exchanges will not miss this opportunity. The currency circle in 2019 is gradually becoming lively due to the rise of IEO, and the currency prices are rising steadily. All kinds of conferences have also been held, and a wave of small bull markets has also arrived properly.

As for why IEO can cause this wave, it is obvious that its rise is not only because of the desolation of ICO, but because it conforms to the development of the currency circle. IEO is a win-win thing for both the project party and the exchange. First of all, based on the project side, with the support of the big tree of the exchange, financing will definitely be much smoother than before. At the same time, the previous steps of private placement, issuance, and listing on the exchange have also been greatly simplified, saving a lot of manpower, material and financial resources for the project side. , and the exchange will bring huge natural traffic to the project, especially the traffic that large exchanges can provide to the project side is a level that the project side can hardly reach through its own promotion. And through the publicity of the exchange, the project is likely to become a hot topic in the industry while greatly increasing its popularity, so why not do it.

During the implementation of the IEO project, the platform currency will be used to raise funds, which is undoubtedly a good thing for the platform itself. In addition to stimulating the demand for the platform currency, it also extends the ecosystem of the platform currency. For investors, the most obvious benefit is the objective income after the project participates in the public offering.

And it is precisely because many parties can benefit from it that the popularity of IEO projects has become an inevitable thing, but the success is also Xiao He or Xiao He, regardless of the pros and cons, various exchange project parties rushed into the IEO trend. The market is flooded with more and more low-quality IEO projects. Less than half a year after the rise of IEO projects, they began to go astray.

Cheng also Xiao He defeated Xiao He

Some third-rate exchanges took advantage of the reputation established by the big exchanges to abuse this phenomenal product, and then under the blessing of various things, IEO quickly fell. In fact, after the start of IEO, quite a lot of achievements have been made. According to Coinschedule statistics, the IEO financing amount in 2019 reached 1.65 billion US dollars, of which the Bitfinex exchange platform token LEO financing amounted to 1 billion US dollars. Excluding LEO, the IEO financing amount is concentrated in March to August, with an average monthly financing amount of 107 million US dollars, but the IEO financing amount in July and August is only 51.87 million and 65 million US dollars, which is far less than the monthly average financing amount. Forehead.

It is an indisputable fact that IEO is cooling down and declining. In fact, most people participate in this discounted IEO with a speculative attitude. After a long time, enthusiasm will gradually recede, and it cannot sustainably support the entire The heat of the market.

And most of the IEO projects are going high and low, and they are invisible. They almost all go up and down. Some projects have evaporated 90% of their currency prices, and some projects have even returned to zero directly. Some people ridicule that buying IEO is faster than running faster. How many investors are willing to insist on "value investing", which is essentially a game of running fast at the opening.

The short-term prosperity of IEO has given the bear market users hope to turn bullish, but when more and more IEO project currency values ​​have dropped sharply or even returned to zero, the confidence of users at the bottom of the currency circle has been greatly hit. In addition to snapping up the winners, IEO projects lack the effect of making money in the transaction process, which will lead to the increasingly less attractive market of IEO projects, and the profit of snapping up will gradually narrow. An IEO project that is too impetuous cannot reach a consensus with users at all. If only relying on the reputation of the exchange to cut leeks endlessly, when the big tree exchange that the project is backed by runs out of trust, then the final end of IEO will only be It could be group destruction.

If things go on like this, investors' attention to IEO projects will continue to decline, and the IEO model market will accelerate into a state of exhaustion. If the IEO project is still blindly over-issuing, lacking supervision and strict project review, IEO will eventually embark on the old path of ICO.

IEO Lost Can "Return"

Although the IEO project is gradually entering a downturn, it is not heading for the abyss of death. As long as you are willing to "get back from the wrong way", the opening of the next battlefield of IEO is not impossible.

How to start the next battlefield for IEO, we must first clean up the previous battlefield. The output of some junk projects can only make IEO lose more trust. If the exchange can establish a good attitude and correct approach, it will be the start of IEO The breakthrough of the next battlefield.

Through the previous article, we can also conclude that the desolation of IEO is mainly due to the loss of the trust of users at the bottom of the currency circle, but except for some individual exchanges and projects that seem to be relatively stable and reliable, most of the projects of small exchanges can be described as horrible. To describe, the quality of projects is uneven, and a large number of low-quality projects are flooding the secondary market, making the secondary market a mess. And if the IEO project can continue to advance with high quality, the exchange is the key.

The market in the currency circle is still very deep, and the advantages of IEO have not been exhausted. The halving of BTC next year will be a highlight of the currency circle. Whether IEO can grasp it depends on how the exchanges open it up. A battlefield is over.