Any form of investment comes with some form of risk attached to it. And when we talk about crypto, the probabilities of an adverse event to materialize and the math behind its calculation get even more complicated to forecast. Add to this mix, the continuously changing regulatory framework across countries and the increasingly complex investment climate drag investors to become even more risk-averse.
We believe that 2019 will be the year when we will see a growing market of Security Tokens (STs) and this phenomenon will show significant growth in the upcoming 5 to 10 years. Security Tokens are generally defined when a token passes the Howey Test (ref. SEC definition of the security token in the USA). All investor rights and benefits are similar to the ones held with a common security financial product with the only difference that a security tokens hold all the legal contractual details embedded within it with a smart contract.
In this blog, we list some of the best companies that went through an STO (Security Token Offering) to raise their initial capital or to sell security tokens as part for their product offering. These tokens offer great liquidity in addition to the usual security financial product characteristics such as dividends, equity, profit share, buyback, voting rights etc.
DCI An Ecosystem With Security Tokens
The ecosystem offers security tokens (STs) to its clients with a set of capabilities that offer a long list of advantages and benefits unlike to any other before. It is a one-stop solution that offers the best of both worlds i.e. investment in “classic” asset classes, and the “new or digitalized” asset classes. It is based on Stellar Blockchain and Powered by AI-driven Analytics. The platform offers an all-encompassing investment portfolio while simultaneously assessing the risks attached to maximize risk-return and client benefits.
It also provides integrations with 3rd Party APIs for customized investment and other services as well as an all-inclusive Money in/out to token holders making this investment platform a tool that fulfills all the investor’s needs. A true game changer for the digital investments world. The pre-sale will be live soon, you should check out the company website and register.
Lottery
Earlier christened as AutoLotto, this blockchain based mobile lottery service aimed at bringing fair play and transparency to an industry long accused of unfair prize distribution as well as winner’s selection policies.
Part of the revenue from lottery ticket sales will be shared with ICO participants and Token powers. The main USP is the Blockchain framework and decentralized distributed ledger that offers the game hosts unparallel participant pool irrespective of state and national boundaries. The company will launch lottery gaming services in partnership with cash bet.
SPiCE VC
In one of its kind blockchain projects, the SPiCE VC disrupts the disruptors. And with instant liquidity option SPiCE VC turns Venture Capital Industry on its head. Unlike, traditional VC model where VC’s wait 5-10 years for access to profits and funds, the SPiCE VC offers an attractive portfolio of security tokens to its investors. And with names like Carlos Domingo, the former CEO of Telefonica (MC:TEF) R&D and Tal Elyashiv, former CIO at Capital One Bank of America (NYSE:BAC) at its helm, we can only expect better days for investors and ICO participants.
Bcap (Blockchain Capital)
Bcap has been the torch bearer for security tokens. Bcap has changed the rules for ICO investment and how!!. From allowing only certified investors as ICO participants to laying an investment roadmap for investment in other security tokens that strike a chord with their own investment mantra, the Bcap is one security token that must be part of your crypto investment portfolio.
Here are a few important facts about the Bcap ICO:
- Reached hard cap within six hours. The hard cap was ten million dollars.
- A major portion of the profit (greater than 50%) is distributed among token holders.
Property Coin
Property Coins comes with a lot of promise and 100% asset-backed security attached. Immediate repercussions are expected in the existing global real estate markets. Aperture, the parent company, is expected to raise over fifty million dollars in its first round of STO (Security Token Offering). The STO Funds will be used to finance subsidiary property investors as well as residential properties. The company will share 50% of the total profits with token holders.
Crypto market over the last two years has seen growth both in the volume of transaction and prices reaching values before unthinkable with more and more people joining the blockchain bandwagon every day. But at the same time, crypto token and coin prizes have plumed across the world in late 2018 due to the increased disbelieve and missed expected returns and promises.
In 2019 we expect the Security Token (STs) to increase in adoption rate with the large scale of transactions for both new businesses and existing institutions that will use them as an alternative vehicle to raise new capital within a fully regulated and compliant environment.