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Crypto Coin Sales Stage Revival After Bursting of ICO Bubble

  • Exchanges are courting retail with Initial Exchange Offerings
  • BitTorrent raised $7 million in under 15 minutes on Binance
A exchange for cryptocurrencies is seen in Bydgozcz, Poland.

Photographer: Jaap Arriens/NurPhoto via Getty Images

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You have to give the entrepreneurs in the world of cryptocurrencies credit. After the bursting of the Bitcoin bubble and increased regulatory push back, they’ve developed a new way to raise millions from investors and enthusiasts still dreaming of digital gold.

While Initial Coin Offerings have been pretty much declared dead, startups are now raising money through a similar method dubbed Initial Exchange Offerings. Instead of marketing coins directly to investors, companies are relying on crypto exchanges to serve as underwriters, review the projects and offer tokens to vetted customers. Think of it as a curated ICO -- the way wardrobes are stylized and shipped directly by services such as Stitch Fix.