As initial exchange offerings (IEO) are becoming a new trend in the crypto sphere, Gate.io today announced that it has successfully completed four token sales on its newly launched platform with overwhelming demand.
The listed projects are Crypto Neo-Value Neural (CNNS), DREP, Facts, and MovieBloc – the last one being the recent one.
Dubbed Startup, Gate.io launched the IEO platform last month amid the rising demand for exchange-backed token sales. IEOs are said to be respawning the slumping initial coin offerings (ICOs) market as they guarantee proper due diligence of the projects by the reputed exchanges and also a listing on the secondary market.
Commenting on the development, Virgilio Lizardo, Jr., vice president of international affairs at the digital asset exchange said: “We are delighted with the success of our first three IEO startup projects. The innovative platforms ensure that our users have more chances to make initial investments, safely and securely.”
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Huge Demand for IEOs
All the projects were oversubscribed with a massive margin, bringing millions of dollars to the blockchain companies. Another blockchain-based project – GoWithMi – is also set to start its token sale on Startup later this month. The company is aiming to raise 2,235,000 USDT through the IEO.
“Due to our commitment to building a safe and compliant blockchain asset protection platform globally, we are looking forward to continuing our growth and partnerships, providing our users with a positive and seamless experience,” he continued.
Meanwhile, the Malta-registered crypto exchange has recently raised $64 million by selling its native tokens which will fuel its upcoming native blockchain.
The exchange has also listed one of the projects on Startup against its native Gatechain Token (GT) to increase the adaptation fo the utility token.
The trend of a token sale hosted by an exchange platform was initiated by Binance, and now global exchanges like Huobi, Bittrex, and DRIVE Markets also jumped into the lucrative sector.