" SECURITY TOKEN OFFERING - The legal way to raise funds from accredited investors for your business"
Pulsehyip is a fast-growing cryptocurrency & Blockchain Development Company, is pleased to announce the launch of its new Security Token Offering (STO) service. In this guide, pulsehyip explain about what is Security Token Offering? STO vs ICO, Future of Security Token Offering, how to launch successful Security Token Platform ( STO) ? and more
What is STO ( Security Token Offering)?
A security token offering (STO) is a legal and security of the ICO concept. It’s a highly secured and legal way to raise funds using cryptocurrency and combines the benefits of ICO ( Initial Coin Offering) with the strength of regulated financial securities. An STO allows users to purchase digital token and digital coins as they do in an ICO.
The investment is backed by physical assets or tangible items such as profit or revenue in a company, a physical asset or other structure which can be leveraged as an investment. A security token is a financial security like holding stocks or shares in a company.
This concept helps to secure the rights of investors by placing legal and financial obligations onto the security issuer.
STO vs ICO
Security Token Offering and Initial Coin Offering both are largely different but they are rather similar. However, in order to understand what an STO is, we should know about an ICO. The latter refers to a token offering from an in order to raise fund for a business. Buyers are issued with digital tokens. Unfortunately, ICOs are largely unregulated, thus putting users at risk.
The lack of regulatory guidance and ICOs frauds are the reasons why ICOs have received a lot of opposition from investors. An STO is a token offering that is similar to an ICO but the main difference is that Security Token Offering are regulated.
Here is some various type of security tokens
1. Equity Tokens
2. Debt Tokens
3. Utility Tokens
4. Asset-backed Tokens
Future of Security Token Offering
In this digital era, where ICO concept is becoming more popular. Security-based tokens may become the formal elements of the financial system. ICO’s have recently been under intense scrutiny and review by regulatory bodies around the world including the US Securities and Exchange Commission (SEC). This scrutiny is an important step in the growth of the ICO industry. Pulsehyip works with regulatory bodies and supports the further development of this fundraising process to be fully compliant as security offerings as needed.
How to launch a successful Security Token Platform ( STO)?
Getting a trusted and secured service providers, you can launch your own STO successfully. Pulsehyip is offering the reliable security token services. Today, it is very difficult for users to establish trust and invest any cryptocurrency project. This is why security token offering comes in. Pulsehyip has dedicated developer and team and they have a vast amount of experience in offering the security token services. we offer our services globally. We are reasonable in cost. Without any hesitation, you can start your project with Pulsehyip.
We are committed to adapting to your mindset by improving scalability, efficiency, and distributed computing with technologies.