The hot topics in the crypto-currency community are the Security token offering STO. Some of the things that you should note is that when you look into this, then you should note that this is something that can lead to their being serious bulk between the blockchain startups s and the investors. The ICO is something that has been known to be risky as most people who are doing this projects are scams.
The aim of the STO is to see to it that they have restored the confidence in the crypto-currency community. Some of the reasons that there were +many people dealing with the ICO is that it did not have lots of regulation and also there was no government verification. Some of the things that you should note is that the ICO is something that has some legal and administrative obstacles. The thing that you should note is that this is not something that is easy to prepare and thus, this is the reason that ICO was seen to be ideal. After sometimes the ICO changes and removed the obstacle.
After the ICO the next evolution is the STO. The thing you should note is that the STO is not an option that offers security but also the digitalization of the blockchain. Some of the pointers that you should note when you are dealing with the STO is that they are the real securities. This is despite the fact that they are subjected to the same law and regulation as the traditional securities.
The thing that you should put in mind is the STO are preferred since they are backed by assets. The ICOs do not have any supported utilities tokens without collateral or the security law protection. The thing that you should note is that when you compare it with other securities, then you should note that this is an option that is most secure.
The thing that you should note is that the STOs are things that continue to encounter barriers with the traditional IPOs. Thus, this is something that has allowed the investors to be able to trade security tickets. the thing that you should note is that this is something that is known to democratize the pool of the investor as well as build confidence. The one thing that you should note is that this is something that protects those who invest in it against frauds.