United States-based cryptocurrency commutation Coinbase has indicated it is considering the launch of an initial exchange offering (IEO) platform.

The news was revealed past Coinbase'south caput of institutional sales in Asia, Kayvon Pirestani during a console at the Invest: Asia briefing on Sept. 11, crypto media outlet Coindesk reports.

IEO platform could be appear within months

During the panel, Pirestani reportedly revealed that the substitution believes that an IEO represents a "really interesting opportunity" for the business, stating that:

"In a nutshell, Coinbase is carefully exploring non but the IEO space but likewise STOs. But I can't make whatever formal announcements right now."

As Cointelegraph has previously reported, and so-dubbed IEOs have emerged equally an alternative model of token offering wherein a centralized crypto exchange acts as a form of an underwriter.

The commutation generally operates sales and ostensibly vets both the projects themselves and prospective investors.

The IEO model often involves the issuance of a proprietary substitution token that is used for the token sales — as well as other purposes — as, for case, with Binance's native token Binance Money (BNB) on the exchange'southward Launchpad token offering platform.

Regarding timelines, Pirestani indicated that a potential IEO announcement may be forthcoming in the next few months, whereas the exchange's pursuit of regulated securities offerings remains in relative infancy.

Security token offering prospects

As previously reported, Coinbase acquired several securities dealers —  Keystone Capital Corp. in addition to Venovate Market, Inc. and Digital Wealth LLC — in summer 2018.

At the time, the substitution announced the acquisitions represented the beginning of a process to become a fully regulated broker-dealer under the supervision of the U.S. Securities and Exchange Commission (SEC). It noted that if a broker-dealer license were to be approved, the platform would presently exist capable of offering fully compliant blockchain-based securities.

Within several days of the declaration, all the same, Coinbase formally retracted its claim that the acquisitions had occurred with the interest of the SEC and Financial Industry Regulatory Potency (FINRA). The SEC confirmed it had not given its explicit approval for the bargain, with a spokesman noting that communication had been of an informal nature.

Perestani reportedly confirmed earlier today that broker-dealer licenses had eventually been obtained by the exchange, but that the platform was however working to repurpose the licenses.

He as well noted that security tokens are "talked virtually a lot only traded much less," indicating that Coinbase could withal abide its fourth dimension with rolling out such offerings.