What is going to happen to the IEO market in the future?
ICO market has changed a lot over the past six months.
Before – there were ICO projects, but then people said:
“Okay, complete anonymity and freedom is no longer enough, now we want at least
some kind of state control and projects to be at least somehow checked,”
because there were so many “scams”. So the STO developed.
And everyone thought that this would be 2019 trend, but no.
After the introduction of STO, an even more secure version of ICO was
developed, which is called “IEO”: crypto
marketing
The project is verified not only by a third-party
organization. Not only the state analyzes the project, the team, and the
product, but the exchange itself “stands up” for the project, confirming its
viability and importance.
Thus, it attracts the attention of its audience, social
networks, all the traders, so the likelihood of “scam” decreases several more
times and interest of such projects increases even more. cryptocurrency marketing
The first IEOs were super successful. For example,
BitTorrent increased profits and Binance was the trend maker, but later
everything changed.
Smaller exchanges began to copy the actions of Binance and
conducted their own IEO. All the founders of ICO projects sought to hold IEO as
well. Everyone thought that this was a “rescue plan” and the only way to
collect a lot of money. Of course, the key beneficiary in this whole structure
were not the final investors, not the founders of these projects, but the
exchanges themselves. Since they had a huge interest, they take a commission
when collecting the money, and in fact, they make a lot of money by offering
projects to investors, acting as an intermediary. ieo marketing
The situation has reached the point of nonsense: the
exchanges charge non-reasonable commissions. And it turns out that even if the
project collects a huge amount of money, it must pay to the exchange and
maintain the token price so the conditions become absolutely unprofitable. And
in order to raise money, it becomes more profitable to return to the classical
conditions, that is, to the classical ICO – without the help of the exchange.
And on the one hand, IEO is more secure, and on the other
hand, they become economically ineffective. And the market is now frozen in
this state…
But we believe that in the next 2-3 months a new “4th form”
of holding an ICO will appear. Because the market is super-dynamic – the
“cryptomarket has changed a lot over the year, the marketing market for crypto
projects has also changed a lot.
We conducted our own audit of competitors, companies that
are also engaged in crypto marketing. There were almost 600 of them… Well,
frankly speaking, there were about 600 of them and we analyzed their social
networks and found that 75% of them are practically dead, that is, it is
possible that companies are still functioning somehow, but most likely they
don’t have any traffic; they don’t have any customers, and obviously they don’t
have a person responsible for social networks – these companies don’t have a
leader. token advertising
Thus, it is safe to say that 75% of companies did not make
it through the crypto winter, and those that did – nobody knows how they’re
doing. Therefore, this whole story strikes the crypto market as a whole and
only the strongest companies survive and become stronger. Everyone who wanted
to make money on the “hype” and on some micro-trends – did not survive.
Here are the main two vectors: that is, a certain
transformation of IEO into something new and a new approach to “fundraising” as
a whole. New competencies required by companies that provide marketing
services.
Website: https://flexe.io/
