OKEx Director Claims Token Platform To Be Launched Soon

Andy Cheung, the head of operations at the OKEx cryptocurrency platform, tweeted that the company has almost completed preparations for launching its own platform for tokens release.

The platform for the initial exchange offering (IEO) was called OK Jumpstart. It was developed to incubate projects with high potential and to support novice investors, according to the company’s blog. OKEx began researching mechanisms for the production of tokens in July 2018, after the launch of the OKNodes platform.

According to Cheung, the IEO model will bring many benefits to both exchanges and start-up developers, as the launch of their projects will be very simplified. He noted that the demand for the IEO platforms is rapidly increasing in 2019, so the company expects their own one to become the basis for many innovative projects.

The company explained that IEO platforms allow selling tokens to finance projects in the early stages, like during an initial coin offering (ICO). The difference lies in the fact that during IEO both depositors and developers turn to a third party — a cryptocurrency exchange, which acts as a guarantee of the transaction. Due to this, there is no need to conduct checks for compliance with the KYC standards, which will speed up business processes significantly, OKEx believes. 

As previously reported, the OKEx cryptocurrency platform increased its leverage during margin trading from 3x to 5x.