An Initial Exchange Offering (IEO) is a fundraising method where a blockchain project sells its tokens directly on a cryptocurrency exchange. This approach helps to streamline the fundraising process by leveraging the exchange’s infrastructure and user base.In an IEO, the exchange vetting the project usually conducts due diligence, providing a layer of trust for investors. Once a project is approved, it lists the tokens for sale, and users can buy them directly with funds deposited on the exchange.Unlike Initial Coin Offerings (ICOs), where projects handle everything, IEOs allow exchanges to take a more active role, often managing the technical aspects and ensuring compliance with relevant regulations. This can lead to improved security and investor protection.IEOs have gained popularity due to their perceived legitimacy and the ease of purchasing tokens through established platforms. However, investors should still conduct their own research and be aware of the risks involved in any investment.