
Security Token Offering (STO)
A Security Token Offering (STO) is a way for companies to raise capital by selling digital tokens that are backed by real assets, like shares or property. Unlike cryptocurrencies, these tokens are regulated and represent ownership or rights within a traditional financial framework. Investors purchase security tokens to gain potential profits and rights, similar to traditional securities, with blockchain technology ensuring transparency and security. STOs combine the benefits of digital assets—such as easy transfer and increased access—with the legal protections of traditional investments.