1. Cryptocurrency

Security Token Exchange: All You Need to Know About STO and its Benefits

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Security tokens offerings (STO) are reliable digital assets tokens in the crypto-verse. Unlike Initial Coin Offering (ICO), STOs are backed by real-world assets and these tokens are compliant with government regulations, so it doesn’t suffer from government interference while trading asset tokens.


With the developing prominence, there is an ascent popular for solid security token trades among financial backers to exchange advanced resources, as a trade-off for fiat cash or other altcoins. On the off chance that you are new to digital currency, resource tokenization, and its basic blockchain innovation, at that point it is trying to comprehend STO trades.

So in this article, let’s learn about securities, tokenized assets, security token exchanges, important features provided by the STO Exchange Development Platform.


What are Securities? 

Securities are tradable financial assets and as specific values assigned to it. It is proof of ownership of any form of financial instruments, such as stocks, bonds, debt securities, index funds, options, etc. These securities represent rights to ownership of assets of a corporation.

What is an STO?

STO stands for security token offerings. It is tokenized assets issued by a public company or corporation to the investors of the company in the form of digital coins or tokens to represent their investment. These tokens have value and are backed by real-world investment assets. These tokenized assets can be traded in the secondary market in exchange for other cryptos or fiat currencies.

Due to its less volatile nature, many countries have started accepting STOs with specific government regulations. 

List of Security Token-Friendly Countries:

  1. Malta

  2. Estonia

  3. United States of America

  4. Canada

  5. Switzerland

With the growing demand for digital currency and security tokens, there is a dire need for a fully-functional STO exchange platform to connect the global investor and projects, which increase liquidity for the token issuers. 

Though there are a few exchanges in the market, it is still in nascent stages. So, there is enormous potential for growth and success for a highly secured and feature-rich exchange to capitalize on it. Your idea for building an STO exchange can be realized by an experienced STO Exchange Development Platform, which has practical experience in this field. 

Key Features of the STO Exchange:

Here are the built-in features you need to have in your token exchange platform: 

  1. Connection to external exchange to increase liquidity.

  2. Escrow System

  3. Multiple Currency Transaction

  4. Multiple languages

  5. Payment Gateway Integrations

As a STO Exchange Development Platform, Blockchain App Factory provides 

  1. Highly secure with encrypted access to users, 2FA and CSP protection for all the contents. 

  2. We are developing customized exchanges to meet your requirements with exceptional UI/UX. 

  3. DNS failover, Geo IP Routing, Distributed Server Architecture keeps the exchange accessible to users in the event of an outage. 

Why wait? Connect to Blockchain App Factory experts to discuss and develop your STO exchange with ease.

https://www.blockchainappfactory.com/

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