What is an Initial DEX Offering (IDO)?
Initial DEX Offering or IDO is a new and advanced way to raise funds through a Decentralised Exchange (DEX). It is a successor of other crypto funding types like Initial Coin Offering (ICO), Initial exchange offering (IEO), and Security Token Offering (STO).
IDOs over ICOs and IEOs!
If we take a glance at the history of token sales, we find that the first ICO was that of Master coin token which was released in July 2013. At that time the concept of blockchain was somewhat new to the investors. In 2014, Ethereum raised around 3,700 BTC which was equivalent to $2.3 million during that period, through a token sale. The ICOs and token sales were very popular in 2017. Many projects were trying to solve the problems using the concept of blockchain and by the end of the year 2017, they collectively raised $4.9 billion.
With more and more ICOs failing, investors started seeing various issues with them. Firstly, they are centralized and vulnerable to human error. Secondly, they are easily influenced by third-party influencers. The first IEO took place on April 17, 2019, launching on the Idax, BitForex, Bit-Z, and Bit-M exchanges. Though IEO manages to remove some of the problems of the ICO, it still depends on centralized exchange for raising the funds. Moreover, one needs to pay the exchange fee.
In June 2019, Raven Protocol announced that it was introducing the first-ever IDO, which would be listed on Binance DEX. IDO is a combination of ICO and IEO, but a centralized exchange is replaced by the decentralized one. With the decentralized nature of IDOs, the project team can release a blockchain product without the interference of malicious third-party influencers. Buyers can instantly secure their tokens in their wallets.
Moreover, IDO offers other advantages as compared to ICO and IEO, like immediate access to liquidity and trading. Vocal community members are the ones who conduct the vetting process, which opens the door for small projects.
Why Choose Admantium Crypto Advisors for IDO Consulting?
As discussed above, Initial DEX offering is becoming the preferred way of distributing tokens and raising funds through DeFi.
We at Admantium provide IDO consulting services to help crypto projects develop their ideas, raise capital and build all the fund raise-related documents. We offer our expertise on all these documents like pitch deck, financial model, whitepaper, Launchpad, etc. We also provide help in building token economics and design the token ecosystem.
We act as a corporate consulting and advisory platform helping firms with their blockchain-based strategy, business planning, and fundraising goals. We provide other strategy services like help with business plan, connect with blockchain developers and marketing agencies for the project. All work is performed on an hourly, consulting model basis.
Our IDO consulting team is well equipped with industry knowledge and updates to better serve our clients. In addition to this, the research desk at Admantium adopts a macro and micro approach to conduct our research and evaluate the digital assets and their ecosystem extensively. Our research desk is data-driven and thrives by making effective utilization and interpretation of information.
Schedule a call with us now to get started!