Best STO To Invest In 2020 | How To Buy Security Token Offering (STO)?

Tarulika  |  Apr 22, 2020

After 2017, when the boom of cryptocurrency was being noticed by the investors all across the world, a community of traders, investors and developers started to develop the industry. Developers initiated to launch new projects while investors began to fund new ventures. Many fundraising tools or approaches are utilized since then for the purpose of crowdfunding. Most popular amongst them are ICO, IEO and STO. (Don’t get scared, they are not the viruses!). Undoubtedly, Initial Coin Offering (ICO) is one of the tools used by the number of issuers for their new projects. But issues related to regulations compliance are holding them back and giving an opportunity to the fundraisers to issue STO. In this article, we are going to explain about what is the STO along with its importance, investment platforms and a concise list of best STO to invest in 2020.

What Is Security Token Offering(STO)?

Security Token Offering or STO is the procedure to sell security tokens to the investors who are willing to participate. But question comes- what is a security token? A security token is an investment contract that signifies legal ownership(verified within blockchain) of a physical or digital asset like stocks, bonds, ETFs, etc. Thus, STO is a way to tokenize tradable assets and offer to the public in a responsible regulated way.

From the perspective of fundraiser or issuer of token, STO can expand the range of investors or wider audience can be reached as tokenization of every asset class is possible and also it can be easily transferred across borders. For investors, the major advantage of STO that it negates the chances of the fake company or scams associated. STOs not only in line with regulations but are also traded on verified exchanges, thereby investors can trust them with their funds. So, you might be thinking to review some of the best STO to invest in but are puzzled how to invest? Where to look for the STOs? I recommend you to first complete reading this article, you may get responses to some of the questions.

STO Issuance/Investment Platforms

 

How to buy STOs

 

A fundraiser needs an issuance platform to offer a security token to the investors. Issuers are advised not to issue coins by themselves as they might fail in fulfilling the demands of regulatory authorities. Also, regular crypto exchanges cannot be directly involved to offer security tokens due to regulatory requirements. Security token issuance platforms are present in the crypto marketplace especially to offer tokens by helping you in completing the documentation related to the regulatory procedure. So, the platforms involved in issuance of STOs are:

 

  • Polymath: Aid companies to develop their own tokens by ST20 standards and deploying the feature of smart contracts. It also provides the liquidity to tokens due to its diverse network of partners.
  • Swarm: User-friendly interface and cryptographic protocol allow the issuers to tokenize their assets(assets like crypto hedges, agricultural products can also be tokenized).
  • Blocksafe: With a highly secured network, it generates live tokens adhering to the guidelines of the regulatory authorities.
  • Securitize: Provides end-to-end platform for fundraisers seeking to tokenize their assets(funds, stocks or tangible assets).
  • Harbor: Decentralised platform which is available worldwide and offering the platform to issue token and raise funds for any new venture.
  • These platforms are meant for issuing the STOs in a smooth manner, following the rules and regulations. But, presently many exchanges and crypto brokers are working to develop their network for the purpose of issuance of tokens through STOs.

    How To Invest In STO?

    When you came across the fact that regular exchanges are not deployed for Security Token Offering, you might be thinking-How to buy STO tokens? Don’t worry, we are here to help you. To invest in STOs, you have to log in to issuance platforms of STOs. Or you may consider that the platform where the company has raised STO turns to be your STO investment platform. So, you just need to follow the simple steps:

     

    • Firstly, you need to overview the STOs for the purpose of your investment as there are hundreds of them available in the marketplace.
    • After you made up your mind to invest in particular STO, find the platforms offering the same.
    • Create your account on the STO investment platform after carefully reading their guidelines.
    • In the next step, you need to transfer the funds you want to invest in STOs from your wallet to the platform.
    • Now when the funds are transferred, wait for the issuer to accept the funds and issue the token in exchange.
    • Once you receive your tokens, don’t forget them to transfer back into your wallet.
    • You can use the newly issued token to trade on regular exchanges once they are listed on an exchange.
    • This is a simple procedure just like you purchase coins from any crypto exchange. Alike, you have to be involved in deep research before investing in any STO. Now, you know about the platforms and procedure to buy security token offering, you wish to know list including top STO 2020 for the purpose of investment.

      Best STO To Invest In 2020

       

      best sto to invest in

       

      After overviewing the various STOs and employing are analytical tools, we came across with few of the STOs which are having the potential to transform the crypto space. So, you can best STO to invest in from the mentioned list.

      • CryptoBuyer: Provider of PoS solutions for accessibility of crypto ATM network, aiming to enhance the mass adoption of cryptocurrency. It may be successful in providing an alternative network for payment services.
      • Thaler.One: Blockchain platform which enables the investors to take ownership of the real estate across the world. With its STO, the company aims to provide an opportunity to investors to receive rental income or loan interset in a seamless way.
      • KingCasino: Licensed online crypto casino aims to introduce cryptocurrency in the gaming industry that too in a diversified way by issuing their STOs.
      • Proximus: An anonymous crypto exchange aims to provide untraceable payments and unlinkable transactions, thus maintaining complete anonymity of the users involved with crypto payments.
      • excenBit: Will aim to allow issues and invest in STOs in a safe and secure manner with minimal transaction fees.
      • There are plenty of options available in the market, you can easily review them and choose to invest in the STO which best suits you.

        Summing Up

        STOs is one of the reliable tool to raise the funds and also a secured option to invest your funds. As the crypto industry is expanding day by day, so in future it is been expected that more fundraising tools will be evolved. But, for now you can try your hands on STOs to invest your cryptocurrency.

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