Currently, it seems like everyone is talking about Security Token Offerings (STOs).
From YouTubers, investors, and gurus to reputable news outlets, there is a massive amount of exposure regarding these offerings around the industry.
This guide will seek to give you all of the necessary information you may need if you are contemplating a deal involving an STO.
If you are a newcomer to the world of blockchain technology, and cryptocurrency or even a seasoned veteran, the numerous acronyms can be confusing.
[b]So, What is an STO?[/b]
IN simple words Security Tokens are in essence, cryptographic tokens that can pay the owner dividends, entitle them to a share of profits, pay them interest, or, they can be used to reinvest into other Security Tokens. The main difference from ICO investment it that you got actually shares in the company that you invest in
In addition, There is a prerequisite to qualify a crypto token as a Security Token. As a requirement, the token must pass the Howey Test, which was set out in the case of SEC vs Howey (1946) in the United States.
So if you get interested, check the Full STO guide
If you have any question about the subject pm me