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Initial Token Offering (ITO)
| An Initial Token Offering (ITO) is similar to an ICO. ITOs and ICOs are often used interchangeably, indeed, but they are not exactly the same. While ICOs typically aim to raise funds for new cryptocurrencies, ITOs are concerned with the offering of tokens that possess varying degrees of proven or unproven intrinsic utility. Therefore, ITOs are more closely aligned with the concept of tokenization than crowdfunding. Within the context of decentralized finance (DeFi), projects commonly acquire funding by initiating their own tokens through Initial Coin Offerings (ICOs), ITOs or similar methods. These tokens usually fulfill multiple functions, encompassing aspects like governance rights, utility, or facilitating value transfers.
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