Crypto Exchange OKEx To Offer Initial Exchange Offering Platformbr>
OKEx, the Malta-based digital asset exchange, has introduced a new platform designed to incubate high-potential blockchain projects and support early entrepreneurs.
Dubbed OK Jumpstart, the soon to be launched initial exchange offering (IEO) platform will serve similarly to the initial coin offering (ICO) model, allowing firms to sell tokens to finance early-stage projects. The key difference, however, is that both the project developer and the investors facilitate their transactions through a third party – a reliable exchange. The exchange will act as a guarantor and conduct a project due diligence check on the project team, which would bring about widespread publicity and a quicker listing process.
According to OKEx, it conducted a comprehensive evaluation of related regulations worldwide and came up with OK Jumpstart as a compliant IEO platform. OKEx believes that the platform will enable project teams to focus on project development and community management by saving the time and resources for getting listed on exchanges.
“I believe the IEO model will bring considerable advantages to both the exchange and project developers, particularly start-ups can conduct their launching process easier and more streamlined,” said Andy Cheung, Head of Operations of OKEx. “In view of the demand for IEO growing so fast, 2019 will be the year of IEO, and we expect to see more innovative projects be hatched from this platform.”
Binance, the world’s largest cryptocurrency exchange, kick-started the IEO trend when it launched Binance Launchpad, its exclusive token sale platform. The first project to be launched on the platform was BitTorrent (BTT), which saw upwards of $7 million worth of tokens sold in less than 15 minutes.