Blockchain technology and cryptocurrencies are attracting more and more people as they start to become widespread. Concepts such as “financial freedom”, “decentralized”, “web3”, “DAO” are the cornerstones of this movement.
As the usage area of blockchain technology became widespread, more coins and tokens started to be produced. Many different blockchains have even been created.
So why are crypto presales more in demand? Why do people want to participate in presales like ICO, IDO, IEO, IGO? What are these presales, what are the differences?
ICO (Initial Coin Offering)
Crypto presales first started as an ICO. In 2017, ICOs exploded. Many projects and companies have created their own tokens or coins.
ICO: The project makes presale through its own website. It then starts the trade by adding liquidity to a DEX (Decentralized Exchange) or CEX (Centralized Exchange).
There have been many cases of fraud. Since the control in ICOs is entirely with the project owners, this method has been gradually abandoned. Because the funds collected were completely under the control of the team, increasing the risk even more.
Although ICOs are still going on, they are less preferred.
You may be interested: How to find new coins on Pancakeswap and Uniswap?
IDO (Initial Dex Offering)
IDO: IDO launchpads are generally used in IDOs. Successful projects using these launchpads are listed in a DEX (Pancakeswap, Uniswap, etc). Parameters such as the ratio of DEX liquidity, token distribution are determined before the presale. And these parameters cannot be changed by the project owners afterward.
These are measures that relatively reduce risks.
There are lots of IDO launchpads. It is generally divided into 2. Decentralized and non-decentralized IDO launchpads.
Decentralized IDO launchpads: Anyone can use these platforms without any prerequisites. DxSale, Unicrypt, etc
You may be interested: What is DxSale IDO Launchpad? Advantages and Disadvantages?
Non-decentralized IDO launchpads: Each launchpad has its own usage rules. Polkastarter, OxBull, BSCPad, etc.
IEO (Initial Exchange Offering)
IEO: Some CEXs (centralized exchanges) have launchpads. Presales made here are called IEOs. These projects are listed on the same exchange after the presale.
You can evaluate projects according to the size and reliability of the CEX.
The most well-known example is Binance Launchpad. In addition, exchanges such as Gate.io and MEXC.
IGO (Initial Gaming Offering)
Especially after the second half of 2021, blockchain games, NFT games experienced an incredible increase. Many game projects were in high demand.
In fact, these presales are no different from IDO. This concept has started to be used because some launchpads only focus on NFT games.
You may be interested: Which Crypto Presale Should I Participate In? Evaluating The Teams
Every token presale has risks. Some more, some less. Despite this risk, participation in presales is increasing.
Because if you can invest in the right project, you can multiply your investment 5x, 10x, 100x, or sometimes up to 1000x in a short time.
But it should not be forgotten that finding the right project is not that easy. Join our Telegram Channel and subscribe to our newsletter.