Why Security Token Offering?

Why Security Token Offering?

Updated On Jan 16, 2021
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As a known fact, preferring security token offering is an indispensable one to accomplish project to your business. On the other hand, it is the big deal to pick out a right partner in order to adopt the good result neglecting your business failure. Generally, STO is a crypto-graphic tokens that absolutely meek the security laws which makes the holders to stake at the supplying entity.

Why STO?

1. Intrinsic Value

Security tokens which are designed exclusively are digital certificates which have no other value in their own and offer ownership to certain resources. Besides, security tokens are entirely deliberated to invest  their holders benefit and not for any useable action I.e. production participation. To point out, such assets are more efficient and do not bind a useful resource in an economic point of view.

2. More Transparency

The transparency in the STO leads to the the following consequences

(i) Sensible capital accumulation

(ii) Investors isolation from fraudsters and inefficient companies

(iii) Open rules for the participants to establish chaos participation

3. More Liquidity

Employing blockchain technology and building security tokens that offers possibility to traditionally liquidate illiquid assets, such as works of art, real estate or rare cars. To mention, people with large capital can only be owned this. This is possible because of the fact that any asset can be tokenized to split ownership into thousands or millions of digital certificates so called tokens. After that, the tokens can be sold as one person or organization, and a thousand or a million people.

4. Recover Ability

Person with slight familiar to the cryptocurrency knows that if bitcoins were stolen, sent to an empty address or to the wrong wallet, to an empty address is hopeless to recover those coins. This is one of the chief obstacle in the virtual assets investment market.  

Nevertheless, a decently programmed STO can offer an possibility to return stolen tokens if the owner passed the verification and they were sold on the market without his participation. To point out, this function is not used now practically, because you need to work out a mess of details that will get rid of fraud on both sides. However, the specified fact of having such an possibility is better than its absence.  

5. Scalability and Efficiency

Blockchain technologies along with smart contacts can take out investment market’s paperwork and inefficiencies. Hence, it is scalable and efficient for the following reasons.

(i) Automating AML/KYC procedures

(ii) Dependence reduction

(iii) Cost reduction because of the elimination of intermediaries

(iv) Simplified auditing and accounting processes

(v) Automating dividend payments

Therefore, being connected with an STO development company will diminish the complexity to the issuer to decently filter out the possibleness to launch STO.

Osiz technologies, a leading STO development company offer complete STO launch & legal services with the team of STO professionals to launch the token with modern progress where we the client’s business notions insure token’s value regarding its intent and complete traits. Our encompassing STO legal services has everything that you need for a successful STO campaign. This includes

1. Helping to create a legal documents

2. Establish your legal entity

3. Token sale strategy legal consulting

4. Ongoing legal advice

5. Escrow service

6. Reviewing all published material for legal compliance

7. Protecting Investors and founders rights and more...

Stay connect with our STO experts and Launch your own STO

Call/Whatsapp : 9500481067

E-mail : [email protected]

Skype : Skype : osiz.tech