What is an STO?
Security tokens are cryptographic assets based on blockchain technology linked to a traditional financial asset.
This type of token grants the holder a series of rights , such as, for example, the receipt of a monthly or annual dividend linked to the profitability of the project being financed and the amount invested.
The security tokens can be distributed from an STO (Security Token Offering) whose foundation is the participatory financing of the project. This offers several advantages over traditional forms of financing; one of them is liquidity. Well, investors can enter with relatively small amounts buying only a percentage of the project.
Another is visibility, since a company that lists its tokens in a marketplace dedicated to the sale or transmission of security tokens can improve the dissemination of its project, through the network effect generated by the platform itself.
Finally, blockchain technology guarantees transparency and efficiency in the transfer of these tokens, reducing the bureaucracy necessary for their transmission. This makes the transmission between individuals easier for the investor who has invested and wants to get rid of his security tokens.
What requirements does the issuance of my security token have?
Whenever we issue debt for an amount of less than eight million euros and its duration is less than 12 months, our issue will not be classified as a public offering and, therefore, we will avoid having to prepare an investment brochure that must necessarily be approve the National Securities Market Commission.
Our STO and its white paper must be validated by an investment services company (ESI), being, however, a much faster process.
You can get more information on our website Crowmie