A security offering (STO) represents a new and innovative way of raising capital for start-ups. STOs cut out intermediaries, use blockchain technology, and are highly regulated, which makes them an affordable and efficient way for start-ups to raise the necessary capital directly from the market.
Why issue a security token?
Tokenised securities remove legacy intermediaries and improve processes to reduce bureaucracy, administrative work, and distribution time.
Smart contracts make sure that jurisdictional regulations – including buy lock-ups, sell lock-ups, and limits on non-accredited investors – are enforced.
Speed of sale
With Blocktrade, you benefit from the network effect: The Blocktrade ecosystem includes its core financial-services infrastructure technology as well as strategic global partnerships with industry leaders to provide you with access to millions of investors around the world.
Better market access
By using hyper-fractional ownership, you can divide your security tokens in ways traditional assets cannot be divided, which enables smaller investors to access unique opportunities.