The blockchain technology has been one of the most promising technology in recent years. If we discuss digital assets, most of the people known about utility tokens but the concept of security token is comparatively new. Moreover, utility tokens simply act as an access to service while the security tokens are entitled various rights like profit share rights, voting rights, dividends etc. In this article, we will explain in detail about how to launch a security token with ready-made STO script software.
What is Security Token Offering (STO)?
Recently, One of the hot topics discussed in the cryptocurrency world is "the future of security tokens". Security tokens are security given to the investors, to encourage accredited investors to raise capital. Security token offerings (STOs) combines the features of ICO and IPO, in order to provide a perfect balance by getting capital at low cost, while abiding by the compliance of securities laws. A security token holder will get certain ownership rights and become a stakeholder of the company.
A security token can represent a share in the company or become a member of LLC. So, in simple words, when shares of a company are issued in the form of the digital token, the companies have more potential to attract more investors at the lower cost than if they were to list on a stock exchange.
What are Utility and Security Tokens?
Utility tokens provide future access to a company’s services and products. On the other hand, Security tokens represent an investment in a company. So holders or buyer of security tokens are entitled to ownership rights. They are bought by investors or contributors with the intention of future returns in the form of dividends, revenue share or price appreciation & more...
Regulation & security tokens
Security tokens are needed to accept by the security laws of their base of process, or they risk the wrath of government regulators.
The features of security tokens mean that they are treated very differently from a legal and regulatory point of view compared to utility tokens.
Financial regulations need compliance with particular requirements, like the utilization of a KYC process, filtering of professional/authorized investors or the intervention of a Securities firm (among others).
What are the benefits of security tokens?
Unlike traditional financial models, tokenized securities come with many advantages. Let’s explain a few;
Smart contracts eliminate intermediaries like third-parties, which in turn cut-throat costs of service delivery. And the regulatory costs of buying and selling are zero.
Know Your Customer(KYC) and Anti Money Laundering(AML) checks are fast because they are automated, which makes trading & selling assets to authorized investors fast.
The tokens may be eligible for universal trading depending on their established, which means since you have an own digital wallet you trade from anywhere in the world.
Crypto token trading beat traditional trading because it is non-stop. You can trade any time, any day or night.
Security tokens are bound to be rapidly adopted once it’s realized that they can lead to more liquidity and less administration.
The Future of Security Tokens
Security tokens have the high potential to become an easy funding mode for well-established startups and communities. The companies which want to tokenize their security offerings instead of listing their shares on a stock exchange. As many small startups or business industries might still want to run in a regulatory-free environment. As a normal token sale can be built with little simple capital but STO's need more capital. As more and more investors will move to realize the advantages of crypto tokens over “real shares”.
Do you want to launch your own Security Token in an easy and secure way?
If you want to raise funds by tokenizing a company or asset, you could decide to issue a security token and known about what type of token you need to create for security?
A standard token is important to have for security tokens to expand. This because with a standard token, different parties (developers, wallets, exchanges,...) can work within the same structure. So If you want to launch your Security token instantly with the unique model then must know the right STO development platform? or want to know where to buy the STO script software to launch your STO instantly?
Where to buy the advanced STO script software?
Developcoins - STO solutions with the immense latter features with cutting technology for the business initiator. So, every individual, businessman, and entrepreneurs are having an idea to build a security token offering platform, make it with our STO script software. Our ready-made STO script software offers multiple-payment gateway and Multi- wallet support for storing and digital asset transactions.
Developcoins - Top Secure & White-label STO Script Software Development Company
We are one of the leading blockchain and STO development company in India, offer the robust STO script software with 100% error-free embedded source code and we specialize in offering fast, secure and reliable solutions to launch your STO successfully and raise your crowdfunding. At Developcoins, we provide an exclusive infrastructure such as complete STO development, Smart Contract Development, token creation, distribution, Advisory Services, KYC and AML services & more...
Our End-to-End STO Development Services:
We know the important role of STO business and deliver complete & successful solutions that accord with the latest technologies to meet your competitors.
* Custom Ethereum Token Creation
* Whitepaper creation
* Integrated voting rights platform
* Token Wallet creation
* Investor management dashboard
* Automated KYC/AML integration
* Automated Accredited Investor Verification & Registry
* Stake Holder registry
* Integrated Dividend Issuance Platform
* KYC/AML records registry
* Complete Market Capitalization Details
* Funds Raised & Investment Details
* Integrated Help Desk on Dashboard
* Audit Reports & Checklists
* Public Announcements within Stunning Dashboard
* Uploading Legal Documents & Disclaimers
* Investor Prospectus & more...
We Developcoins, STO development company provides you such STO launch services to create a new STO campaign that lets the Blockchain team raise the potential fund by providing the security token. Using this STO campaign the demand and the Cryptocurrency usage gets into the act, become one among the familiar list. By means of like popularity the value of the newly made tokens or crypto assets gets in the high value, finally, this will raise up valuable investors interest! That’s the most powerful of our STO development services.