STO is not ICO
13 Aug 2020 — While #digitalsecurities / security token offering (STO) has been around around for a few years, I still get a lot of people asking me what it is.
I personally believe that the gap between the potential adopters’ understanding and the professional is an ocean. Until this gap is reduced, #STO will probably not be going into mainstream anytime soon.
Probably it is because people don’t like change as maintaining status quo is easier, thus they don’t wish to find out more. Or those who display pessimism bias, often associate high risk investment in #cryptocurrency and potential scams of #ICO to STOs – once bitten, twice shy syndrome.
As such, I want to help to set the record straight that STO is not ICO and definitely not cryptocurrency.
Security token represents the ownership information of the investment product that is backed by a real-world asset such as a company or property, recorded on a #blockchain.
STO platforms open access to private investing and also can be traded in secondary markets – STO exchanges, making them far more flexible than traditional private investing platforms.
Should you want to find out more, please contact me or visit www.propine.com