More and more companies are embracing the advantages offered by security tokens thanks to their regulation compliance, therefore the crypto market is coming back with a vengeance. See below five related news.
STOs are Changing Classical Finance
It’s projected that securities tokens will dominate the majority of the cryptocurrency market by 2025. This is why financial regulators and Entrepreneurs such as Polymath and Harbor are quietly designing critical infrastructure that will pave the way for securities to be established as digital tokens.
Regulators will also be able to mandate laws or standards inside the code of the tokens themselves, allowing securities regulation to become proactive, eliminating the need for middlemen to enforce such regulations.
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STGX – a New Singapore-Based Exchange Platform for STOs
As of December 27th, 2018, STO Global-X has announced the official release of its security token platform STO Global Exchange (STGX). The platform is designed to handle the issuance, management, and trading of a wide array of digital assets, to include security tokens.
As for STO Global-X, they’ve stated that they are currently exploring partnerships with licensed institutions across multiple jurisdictions to host and operate regulated platforms and exchanges for the compliant use of security tokens.
Read the entire article here.
SATANG – Thai Crypto Trading Platform Aims for a $10 Milion Worth STO
STO’s are a new funding method for cryptocurrency companies designed to avoid the regulatory bottlenecks that characterized its predecessor, Initial Coin Offerings (ICO). They offer investors a share in the profits generated by the company they invested in.
Satang’s STO is a dawn of a new day in Thailand’s regulatory environment as South Korea’s second largest crypto trading platform Bithumb has also set its sights on launching an exchange in the country.
View source here.
Security Tokens – Integrating Shares with Smart Contracts
Security tokens answer the question of what happens if we make crypto fully compliant. It’s the opposite of what we’ve seen so far, where people have been trying to avoid the U.S. Securities and Exchange Commission (SEC) and other regulators.
We’re witnessing the digitization of the share of stock, and it will disrupt the finance industry as we know it.
View source article here.
STOs – Huge Potential for Investing in a Trillion Dollar Market
There already exists a regulatory framework for traditional securities. Blockchain businesses are heading towards clearer rules and legal infrastructure. By bringing cryptocurrency and institutional investors together in a highly liquid, global market, security tokens could be the biggest shift in asset exchange in decades.
Tokenization opens up trillions of dollars in liquidity. Every investable asset could be represented by security tokens, unrestricted by geography, computer systems, or bureaucracy. The global real estate market, one of the best use cases for security tokens, is worth $217 trillion dollars alone, so the potential is huge.
More on this subject here.