Security Token Offerings, or STOs, are quickly becoming common within the blockchain industry, amidst a diminishing ICO (Initial Coin Offering) market that left many investors with broken promises and shattered bank accounts. Unlike the majority of ICOs, STOs are designed with compliance in mind as a tangible investment vehicle and method for companies to raise funds. This new and exciting way for investors and companies to buy and sell tokens backed by real assets has the potential to disrupt the incumbent securities markets that are centralized and exclusive.
Leveraging distributed ledger technology (including blockchain), STOs will bring transparency, inclusion, and efficiency to investors around the world. Anything has the potential for tokenization and we’re beginning to see fractionalized real estate, tokenized luxury goods and dividend tokens as the forefront use-cases of this new concept. WORBLI, in conjunction with close partners Agenix, have developed an entire framework around STOs, designed to reduce the development and compliance burden for companies and investors alike.
STOs launching on the WORBLI blockchain will benefit from various built-in features, such as the WORBLI Token Protocol (WTP) and AML/KYC for network accounts. The WTP allows security token issuers to apply rulesets at the token level, enabling the effective monitoring and distribution between accredited investors. This works in-tandem with WORBLI’s strategic partner Agenix and their comprehensive Compliance as a Service (CaaS) product; designed to save companies and developers significant time and cost, allowing them to focus on creating innovative STOs and financial applications.
“Tokenization of real-world assets is one of the best use cases of blockchain. The transparency and immutability of the network, combined with programmable features built in the token contract, allow for the creation of a new asset class that implements audibility and compliance by design. This will serve to greatly reduce the importance of compliance organizations that have to police participants and make sure everyone is following the rules, increasing efficiency for everyone and ultimately enabling trade and bringing prosperity to the world.”
Todor Karaivanov — Director of Product and Blockchain Governance
Navigating through compliance hurdles is a burden no emerging company or industry should have to endure. With regulations from the SEC, FinCEN, FATF and many other regulatory bodies imminent, we’re looking forward to a steady flow of STO projects in the near future who wish to save the headaches around remaining compliant. If you have a killer new application or think an STO would help catapult your business to success, send an email to email@example.com
The WORBLI business development team loves working with great projects. If you think WORBLI’s state of the art financial services blockchain could help your business or application, send an email to firstname.lastname@example.org
To learn more about WORBLI or create an account? visit www.worbli.io
Disclaimer. EOSWriter does not endorse any content or product on this page. While we aim at providing you with all the important information we could obtain, readers should do their own research before taking any actions related to the company and carry full responsibility for their decisions, nor this article can be considered as an investment advice.