Initial exchange price

[enriquejr99]

Could someone explain how the price after ICO on the exhanges is decided? Is it up to the exchange to decide what the start price should be? I understand it then changes proportionally with its market cap but I don't understand how/who decides if each coin is going to be worth 1.00$, 1.10$ or 1.20$ when the coin is listed.

Also, what is the difference between pre-sale and public crowdsale?

[halal]

Ancestors, say sth plz... 

[Str1x]

Hello, could someone please explain how the price after ICO on the exhanges is decided? Is it up to the exchange to decide what the start price should be? I know it then changes proportionally to its market cap but I don't understand how/who decides if each coin is going to be worth 1$, 1.10$ or 1.20$ (for example) when the coin has just been listed.

Also, ENJ coin is currently in pre-sale but they will be doing public crowdsale next month.  What is the difference between pre-sale and public crowdsale?

Thank you.

a Pre-sale is a pre-sale  .

Example:

Total coins is 100

Pre-sale 50 coins will be distributed for a price of 1 coin = 1 eth

After the pre-sale starts the crowdsale

Crowdsale 50 coins will be distritbuted for a price of 1 coin= 2 eth.


Main difference between the crowdsale and a pre-sale is the price of the coin. The price is usually lower during the pre-sale than during a crowdsale. The pre-sale also tends to give out less coins that during the crowdsale due to the lower price.

[Forumgeiq]

The overall and avarage interest in a token/asset/coin decides the initial exchange price, as everything else.

However, there are some projects that uses smart contract to buy back some of its tokens with invested money. Other than that its the interest of those who missed the ICO and whales (big investors) are deciding the price.

[TimeHacker]

Hello, could someone please explain how the price after ICO on the exhanges is decided? Is it up to the exchange to decide what the start price should be? I know it then changes proportionally to its market cap but I don't understand how/who decides if each coin is going to be worth 1$, 1.10$ or 1.20$ (for example) when the coin has just been listed.

Also, ENJ coin is currently in pre-sale but they will be doing public crowdsale next month.  What is the difference between pre-sale and public crowdsale?

Thank you.

The start price on any exchange is also defined by the market - the users of the exchange. When the trading starts, buy and sell orders start appearing and it is up to everybody at which price they are willing to sell and buy. That's why there are often big spikes in price at the beginning of trading - someone didn't have a clue and bought at 10x real price because that was the lowest sell order at that time