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IOU is a document acknowledging a debt owed. In crypto, it's a token representing future repayment.

IOU is a written acknowledgment of a debt obligation. It stands for "I Owe You". In the context of cryptocurrency and fiat exchanges, an IOU is a digital token or record stating that an exchange owes you a certain amount of cryptocurrency or fiat. It represents a promise to repay the specified amount at a future date. IOUs are used in various financial transactions to facilitate credit and ensure trust between parties. They are crucial in decentralized finance (DeFi) systems for trade and liquidity management.