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Features of a Reliable Security Token Exchange

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In a conventional stock market, a company in need of funds will issue its shares to the investors. The Securities and Exchange Commission regulates the market in order to maintain trade activities. In the digital world of blockchain, the same exists in the form of a security token exchange. The following are the features of security tokens:

  • Security tokens are digital tokens that are backed by assets, securities or bonds.

  • They are backed by tangible assets and provide investors with security.

  • STOs pass as securities so they are subject to the federal regulations imposed by the SEC.

  • STOs encourage accredited individuals or institutional investors to take part in transactions.

  • They provide investors with financial rights including dividend payments, profit-sharing, and voting rights.

If you are looking to build an STO Trading Platform, then get in touch with Blockchain App Factory for secure and reliable STO exchange development services.