An Initial Exchange Offering (IEO) is a fundraising method used by blockchain projects to raise capital. In this model, a cryptocurrency exchange facilitates the sale of tokens on behalf of the project.During an IEO, the project team collaborates with the exchange, which conducts due diligence and assesses the project’s viability before launching the token sale. This partnership adds a layer of credibility, as the exchange promotes the offering to its user base.Investors participate in the sale directly on the exchange, which acts as an intermediary. This simplifies the process for both investors and project teams, as the exchange handles the technical aspects of the token distribution, along with customer support and security measures.IEOs have grown in popularity due to their perceived safety and ease of access. They often attract a broader audience, as exchanges typically have established user bases. However, participants should always conduct thorough research on the project and the exchange to make informed investment decisions.