Determinants of successful IDOs (Initial Dex Offerings) and post-performance - supervised Initial Coin Offerings through reputed intermediaries

Abstract

Initial DEX Offerings (IDOs) have emerged as a specialization of Initial Coin Offerings (ICOs) for blockchain-related entrepreneurial ventures to raise funds via reputed platforms that take the role of screening and vetting agents. In this thesis, we first gather theoretical information regarding blockchain, cryptocurrencies, ICOs and IDOs, then we perform an empirical analysis on IDOs to assess their determinants of success and post-performance. In our sample of 294 IDOs between 2021 and 2022, we show the low influence that classical ICO determinants have on both the success and post-performance of IDOs. In our case, IDOs running a presale and releasing their source code are less likely to have higher returns. We also highlighted the importance that intermediaries can have on IDO success, with some of them significantly impacting the amount raised by ventures conducting an IDO through them.