Eversince crowdfunding got revamped crypto tokens, new things kept coming to us in form of something or the other. The concept of ICO is surely novel, but it also comes with some loopholes that were exploited really well by many scamsters. People still believe in ICO projects, a significant amount of investors have not stopped dealing in such open-ended fund-raising campaigns. And they have a valid reason to do that as the number of frauds in the name of crowdfunding have reached a startling figure in the last couple of years.
A better instrument for every investor
So, it was time to rethink the odds and come up with something new could make crypto investments more reliable. To everyone’s amazement, we have a new instrument which is much more secure and it is gaining traction in this emerging sphere. Security token offering has become the answer for all those questions that were raised by the critics of crypto and blockchain. With this particular solution, it is possible to secure investments in a much better way.
Related: Security Token Exchange a better choice for your business?
Utility tokens which are launched under the ICO campaigns are not secured or backed by any asset. On the other hand, security tokens are backed by real assets like bonds, currency, commodities, and debentures, etc. This makes the security token much more reliable due to its intrinsic value. There is a significant outlay for developing security tokens and driving its campaign. Therefore, it is ruled out by the scammers who want to spend the least and make maximum.
Considering greater prospects for future
Compared to security tokens, utility tokens could be developed at a very frugal amount. It is the reason that ICOs still exist because there many entrepreneurs who launch their project with a limited budget. However, from the viewpoint of investors, the latter has become a less reliable option already. Blame it on the scammers but it is true that a large number of investors have become quite skeptical about investing a single penny into an ICO project.
With STO, things are much safer and favor the investors and that’s why it is a better choice now to kick off your crowdfunding campaign with security tokens. To make this job easier for you, there is a huge rise in the number of security token exchange development companies that can help you things sorted even if you are not familiar with this concept. It enables your project to reach a bigger set of audience with more assurance of support.
Embrace the change with an expert
By launching your project with security tokens, you are ensuring its success. The adaptation of these tokens is increasing steadily and this also makes exchanges which facilitate the buying and selling of security tokens necessary. STO exchange platform development has also become a very viable option for those who want to do something big in this sphere. With this type of exchange, you can ensure yourself a growing number of users.
All you need is an expert who could deliver a robust exchange platform which could deal handle utility tokens and security tokens both. With this technology, you can surely do better in cryptosphere as the usage of tokens in increasing in every domain. An expert can surely make sure that you get the best thing which could be reliable for a large number of token holders. Coin Developer India can help you get such a robust mechanism with the help of industry experts.
