A security token 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?
A 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 lockups, sell lockups, and limits on non-accredited investors – are enforced.
Speed of sale
The Blocktrade ecosystem includes its core financial services infrastructure technology and strategic global partnerships with industry leaders to provide you with access to millions of investors around the world, which means that you benefit from the network effect.
Better market access
By using hyper-fractional ownership, you can divide your security tokens in ways traditional assets cannot, which enables smaller investors to access to unique opportunities.