I really think these IEO thing is only good for the top exchanges and these is because they have the liquidity and the traders to pump a coin after listing, which is why their IEO projects are usually successful.
But the smaller exchange don't have the same and their IEO success rate is no way near the top exchanges. Maybe 2 out of 10 IEOs conducted on the small exchanges would succeed, while top exchanges boast of a success rate of like 9 out of 10.
What do you expect? Big exchanges started this trend of IEO's launchpad that's why it really took the market by storm and could kill the ICO business model. And the good thing is that investors money is somewhat safe here, because the likelihood of big exchanges running scam projects are slim to none. For smaller exchanges, it boils down to trust, we might seen some smaller exchanges that can put up a challenge if they run a successful IEO because it could result to a "trust". We all know that this is a cutt throat business, if you are small then you have to think big in order to survived.
Very well-said. For big exchanges, they don't have hard time selling those coins but for smaller exchanges, if they did a good job handling an IEO, it means additional trust point on them. Because if not, they will not get clients on the next set of project. But I don't believe that a project will always be successful afterwards if handled in big exchange. I've seen several projects that still decline their value after couple of weeks of trading in the exchange. And I guess, that's a normal trend nowadays.