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One of the most promising technology in recent years is blockchain technology. When we talk about digital currencies and assets, most of the people are well-versed with utility tokens; however, the concept of security token is comparatively new. Moreover, utility tokens act to gain access to the services, whereas the security tokens are subjected to various rights like profit share rights, voting rights, dividends, etc. This article is a detailed explanation about how to launch a security token with readymade Security Token Offering script software.
What is Security Token Offering (STO)?
The recent hot topic making the headlines in the cryptocurrency world is “the future of security tokens”. The benefits of ICO and IPO are combined in the Security token offerings (STOs), to provide a perfect balance by getting capital at low cost, while abiding by the compliance of securities laws. Security tokens are security given to the investors, to deliver authenticity to the investors to raise capital. A security token holder will get certain ownership rights and become a stakeholder of the company.
A security token can represent a share in the company or become a member of LLC. So, in simple words, when shares of a company are issued in the form of digital token, the companies have more potential to attract more investors at a lower cost than if they were to list on a stock exchange.
What are Utility and Security Tokens?
Utility tokens ensure future access to a company’s services and products whereas, on the other hand, Security tokens represent an investment in a company. Therefore the investors or holders or buyers of security tokens are entitled to ownership rights. They are bought by investors or contributors with the intention of future returns in the form of dividends, revenue share or price appreciation and more.
Regulation & security tokens
The features of security tokens mean that they are treated very differently from a legal and regulatory point of view compared to utility tokens. Security tokens are needed to accept by the security laws of their base of process, or they risk the wrath of government regulators.
Financial regulations need compliance with particular requirements, like the utilization of a KYC process, filtering of professional/authorized investors or the intervention of a Securities firm (among others).
What are the benefits of security tokens?
Unlike traditional financial models, tokenized securities come with many advantages. Some of them are;
Smart contracts eliminate intermediaries like third-parties, which in turn cut-throat costs of service delivery. And the regulatory prices of buying and selling are zero.
Know Your Customer(KYC), and Anti Money Laundering(AML) checks are quick because they are automated, which makes trading & selling assets to authorized investors fast.
Get the freedom to trade internationally. The tokens may be eligible for universal trading depending on their establishment, which means since you have an own digital wallet you trade from anywhere in the world.
Trading in security tokens does not require you to step out and march to a counter or window of an office. The block chain based trading beats traditional trading methods because it is consistent and ever going. You can trade any time, any day or night.
The fact about security tokens is that these are accepted rapidly once realized that they can lead to more liquidity and less administration.
The Future of Security Tokens
Security tokens have the high potential to become a secure funding mode for well-established startups and communities. The companies which want to tokenize their security offerings instead of listing their shares on a stock exchange. As many small startups or business industries might still want to run in a regulatory-free environment. As a standard token sale can be built with little pure capital but STO’s need more capital. As more and more investors will move to realize the advantages of crypto tokens over “real shares”.
Do you want to launch your own Security Token quickly and securely?
If you want to raise funds by tokenizing a company or asset, you could decide to issue a security token and know about what type of token you need to create for security.
A standard token is critical to have for security tokens to expand because, with a standard token, different parties (developers, wallets, exchanges) can work within the same structure. So If you want to launch your Security token instantly with the unique model, you must know the right STO development platform? Or want to know where to buy the STO script software to launch your STO instantly?
Where to buy the advanced STO script software?
BR Softech provides STO solutions with the immense latter features with cutting technology for the business initiator. So, every individual, business person, and entrepreneurs are having an idea to build a security token offering platform, make it with our STO script software. Our readymade STO script software offers multiple-payment gateway and Multi-wallet support for storing and digital asset transactions.
BR Softech- a leading IT and software solution company and its services as STO Script Software Development Company
One of the leading blockchain and a STO development company in India, BR Softech, offers the robust STO script software with 100% error-free embedded source code and also specialize in providing quick, safe and reliable solutions to launch your Security Token Offerings successfully and raise your crowdfunding. At BR Softech, we provide an exclusive infrastructure such as complete STO development services, Smart Contract Development, token creation, distribution, Advisory Services & more.
Our End-to-End STO Development Services:
The team of experts at BR Softech understand the critical role of STO business and offer complete & successful solutions that accord with the latest technologies to compete and establish your market.
- Automated Accredited Investor Verification & Registry
- Stake Holder registry
- Integrated Dividend Issuance Platform
- Integrated voting rights platform
- Token Wallet creation
- Investor management dashboard
- Automated KYC/AML integration
- Custom Ethereum Token Creation
- Whitepaper creation
- KYC/AML records registry
- Complete Market Capitalization Details
- Funds Raised & Investment Details
- Integrated Help Desk on Dashboard
- Audit Reports & Checklists
- Public Announcements within Stunning Dashboard
- Uploading Legal Documents & Disclaimers
- Investor Prospectus & more.
Read More : Why Cryptocurrency Developers Are So Valuable?
We at BR Softech, a STO development company, provide STO launch services to create a new Security Token Offering campaign that lets the Blockchain team raise the potential fund by providing the security token. Using this Security Token Offering campaign, the demand and the Cryptocurrency usage gets into the act, becoming one among the familiar in the list. By means of popularity, the value of the newly made tokens or crypto assets gets high in value; finally, this will raise a curiosity in the minds of valuable investors! That’s the most powerful of our STO development services.
BR Softech Pvt. Ltd. excels in providing cost-effective IT Solutions. Established in August 2010 with over 10+ years of rich experience. An Apex rated IT serving company around the world. Our team of innovative and creative designers deals in web designing, mobile/ software development and other digital marketing services intending to deliver outstanding digital outcomes.