Coinbase, San-Francisco based cryptocurrency exchange, is considering the launch of an initial exchange offering (IEO) platform and issuing proprietary exchange token. Such information has been provided by Kayvon Pirestani, Coinbase’s head of institutional sales in Asia, during Invest: Asia conference on Wednesday.
According to Pirestani, an initial exchange offering (IEO) platform is one of several capital-formation tools currently being explored by Coinbase. He said:
“We think there’s a really interesting opportunity there for Coinbase.”
“In a nutshell, Coinbase is carefully exploring not only the IEO space but also STOs [security token offerings]. But I can’t make any formal announcements right now.”
An initial exchange offering is a crowdfunding strategy that relies on an exchange or multiple exchanges. The third-party exchanges make the smart contract, event planning, and some of the marketing campaigns. In the ICO, it is the developer that ensures the smart contract is correct and everything is conducted as planned.