All That You Know About Initial Dex Offering (IDO) And Popular IDO Launchpads For Crypto Projects
Cryptocurrency is gaining prominence, its hype is still here and it will continue in forthcoming years just like NFTs and blockchains. Leveraging this, many startups have several opportunities to harness benefits, leaping into the crypto sector. Remarkably, an IDO launchpad is a platform where startups or businesses can raise funds for their projects through the Initial Dex Offering (IDO). Here’s the article, which is about what IDO is and how to launch it alongside knowing the difference between IDO and its successor ICO as well as the well-known Decentralized Fundraising Platforms. Read on!
Initial Dex Offering (IDO) — What Is It About?
Before we learn how to develop the IDO token, let’s brush up on what IDO is about in this section. Initial Dex Offering (IDO) is the latest fundraising approach that has been popular since early 2021. It provides better liquidity options, instant trading and fair fundraising. In this process, those who hold the projects will be able to raise capital upon getting a better reach among potential investors.
It is way better than its successor fundraising platforms like Initial Coin Offering (ICO), Initial Exchange Offering (IEO), and Security Token Offering (STO). Yes, there is no denying fact that IDO comes with a significant benefit of decentralization. This will considerably avoid the elimination of third party intervention and so there will be no hacking or suspicious activities taking place.
Initial Dex Offering (IDO) Vs Initial Coin Offering (ICO)
With such a brief explanation of what IDO is about, let’s have a look at how it is different from Initial Coin Offering (ICO). Alongside knowing if there are any similarities between them.
⚡ Decentralization upon Centralization
Whether it is IDO or ICO, the tokens to be launched on the fundraising platform and investors who have interest in the project will invest in it upon purchasing. One of the major drawbacks of ICO is centralized as there will be no protection for investors, lacking security with hacking activities, whereas IDO is decentralized.
⚡ Delayed Access Vs Instant Trading
In most cases of ICO, the tokens are to be minted after a sale and incur some hefty minting charges compared to IDO. Moreover, IDO provides a fair approach in fundraising as every individual investor will get an option to participate in fundraising, ensuring instant trading facility. In contrast, there will be a significant waiting period for liquidity and trading in ICO.
⚡ Project Approval
The projects to be published must be approved by the team in ICO, and contrarily, there will be no intermediary person to approve the project before listing it on the IDO platform for fundraising.
⚡ No Barrier To Projects
One such promising advantage of IDO is there will be fewer barriers for the project to be presented. There has been a situation where even worthy of projects will fail to raise capital, but in IDO, it won’t happen.
So far, we have compared Initial Coin Offering with Initial Dex Offering. Coming to a conclusion, Initial Dex Offering development will be a preferable choice.
Let’s Look At How IDOs Work — Brief Explanation
With the launch of projects on fundraising platforms, the investors will have access to trade as soon as the tokens are live. The most important thing is early investors, upon buying the token at a fewer price, could sell it at a higher price.
Early investors only have the opportunity to buy a large number of tokens at a discounted price, and when these are sold, they would considerably have significant benefits.
When the token goes live publicly, the token’s value will soar. The fees for establishing a smart contract are low or negligible because of the liquidity. Smart contracts are responsible for managing the crypto assets and liquidity pool option.
Following Are The Steps To Launch The Initial Dex Offering (IDO)
Before getting into cryptocurrency development, let’s now see the steps for IDO token development & deployment. Continue reading!
- Strategize Your Business Plan
The very first thing prior to creating a token is strategizing the plan. This would include fund allocation, on which blockchain the project will operate, mapping the marketing strategies, how to proceed along with the post-IDO token launch, and many others.
- Whitepaper Creation
Creating a white paper is a much requisite one. The elaborated plan of projects has to be illustrated with relevant content, explaining in a simple & clear manner.
- Webpage development
The webpage with an intuitive design, ensuring to give the required details about the projects is required. There will be no denying fact that the project will lack its prominence without a webpage.
- Creation of the IDO token
The integral part is the creation of the IDO token. And, the choice of which blockchain network has to be made. Most probably, Ethereum is the common blockchain.
- Listing & marketing the token
To make the IDO token available for investors, it has to be listed on the well-known decentralized fundraising platform. This is not enough as marketing the IDO token plays a significant role. The marketing strategies to be carried out in order to make your project reach wider investors.
Few Of The IDO Launchpads That Would Be Perfect For Your Crypto-Related Projects
Now, you will be very much clear about IDO and the steps involved in launching. On which platform the IDO token to be listed for sale should be given utmost importance. The following are the popular IDO launchpads that will be chosen widely for launching crypto & blockchain-based projects.
➤ BSCPad
BSCPad is a blockchain-based launchpad. Seemingly, it is the first decentralized platform that is built on the Binance Smart Chain network. One key advantage is that there will be a low barrier to entry. Its functionality is on the basis of a first-come, first-served basis.
➤ RedKite
RedKite is a cutting-edge launchpad and DeFi platform with the capability to put forth hand-picked projects in the spotlight for investors. The reason why crypto projects cannot raise funds is because of poor marketing strategies.
➤ TrustPad
TrustPad is the safest decentralized Multi-Chain Fundraising Platform, operating on Binance Smart Chain. The high-quality projects will be available for investors to choose from. In order to access projects, investors have to start staking tokens.
➤ Solstarter
Solstarter is the community-based IDO launchpad in which projects could raise funds using a fair approach. It is the first decentralized platform to be operated on the Solana blockchain network.
Final Verdict
Hopefully, this article gave you insight into Initial Dex Offering and its development steps alongside well-known IDO launchpads. Are you up with the thought of providing a platform for project holders or startups to raise funds for their crypto-related projects? It is high time to avail of IDO Launchpad Development Services.
