Abstract Initial coin offerings (ICOs) and initial exchange offerings (IEOs) are distinct blockchain-based token offerings. Following multiple frauds associated with decentralized and unregulated ICOs, IEOs are emerging as a novel pathway that relies on centralized crypto exchange platforms acting as intermediaries. However, the question as to how this shift affects fundraising processes in what has traditionally been a decentralized environment remains unresolved. We here address this issue by empirically comparing the performance of ICOs and IEOs through the lens of signaling theory, focusing specifically on the impact of social media information across 305 token offerings (ICOs and IEOs). Our work introduces IEOs and explains how and why the volume and sentiment of social media signals may serve as predictors of fundraising performance. We furthermore find that the impact of these electronic word-of-mouth (eWOM) media signals is reduced in the case of IEOs—in the presence of a central cryptocurrency exchange platform mediator. We delineate implications for investors, ventures, platform providers, and regulators alike.


    Access

    Access via TIB


    Export, share and cite



    Title :

    On the performance of blockchain-based token offerings



    Published in:

    Publication date :

    2023




    Type of media :

    Article (Journal)


    Type of material :

    Electronic Resource


    Language :

    English



    Classification :

    BKL:    85.40 Marketing / 83.72 Verkehrswirtschaft



    Understanding token-based ecosystems – a taxonomy of blockchain-based business models of start-ups

    Tönnissen, Stefan / Beinke, Jan Heinrich / Teuteberg, Frank | Online Contents | 2020

    Free access

    New Fairchild offerings

    Engineering Index Backfile | 1935


    New Fairchild offerings

    Engineering Index Backfile | 1935


    Photonex05 expands offerings

    British Library Online Contents | 2005


    Odyssey adds to offerings

    Online Contents | 2009