Top Security Token Offerings in 2020 | Upcoming STO List Updated

Anisa Batabyal
| 22 January, 2020 | 2 min

STO or Securities Token Offerings is a pretty new concept in the crypto space, which has grown into an effective fundraising tool, as STOs are backed by real assets, unlike ICOs or Initial Coin Offerings. Securities token represents a share in the company that issued it. Security tokens are also known as Equity tokens and are similar to the method in which buying shares on the traditional stock market confers partial ownership of the company.

 The year 2018 began with only three major STOs, after which a boom in the infrastructure build-out was being observed. 2019, on the other hand, has experienced the technology for STO coming on leaps and bounds- where the infrastructure technology improved markedly, and the costs have fallen to a larger extent. Before going ahead with the top STO token list of 2020, let us point out the benefits of STOs.

Benefits of Security Token Offerings (STO)

  • As the market is decentralized, the cost of fundraising in STO’s is less.
  • The Security tokens used in the STO platform are similar to the regulated stocks and ensures the entire legality and transparency in the decentralized crypto space.
  • Security tokens can be used as a mode of payment, along with smart contracts. It can be used for voting rights and loyalty programs.
  • STOs assures high liquidity of assets in the crypto market.
  • STOs, curb fraudulent activities, which helps in maintaining steady and secure progress.

Now, let us check the top STO in 2020:

#1 Polymath

Polymath is a blockchain platform, created by Trevor Leverkor. The main object of Polymath is to enable conventional financial securities to integrate with blockchain technology. This platform even has a detailed guide on the whole tokenization process. Polymath is powered by its native token, Poly is being projected on the fact that the real assets are being drawn towards being a part of the blockchain technology, and the crypto space might explode, resulting in investor stampede. 

Polymath is made of 4 core layers: Protocol Layer, Application Layer, Legal Layer, and Exchange Layer. The Protocol Layer generally takes care of all the computation on the platform, and the application layer enables the users to create their own security tokens. The legal part offers guidance to the people who wish to create security tokens on the platform. The last layer, i.e., the exchange layer, is like a closed-end AML/KYC accreditation, which offers instant liquidity of the users’ assets.

#2 Securitize

Securitize is a recent security token offering platform whose purpose is to offer an end-to-end tool for companies and individuals to create security tokens. Securitize also has great popularity in the STO space, as it offers flexible and super backend to assist the users in the process of issuing their securities. It has unique features and has secured some credible partnerships with companies like Sharespost and Blocktrade. The unique feature of Securitize is its ability to incorporate third-party applications operating on the Ethereum Network. Hence, users can customize their projects with things like interface customization, client establishment, and collaborating with third-party developers. This is one of the best security tokens in 2020.

#3 Swarm Fund

Swarm Fund is a blockchain-based STO platform that operates on the SRC20 protocol, which enables the users to tokenize any form of assets, including crypto hedges, agricultural products, so on, and so forth. This platform is focused on deploying conventional capital into the Digi-space by creating a clear market structure on the blockchain technology. The Swarm protocol is similar to that of ERC20, just the difference being that SRC20 contains more superior features outlining assets location, legal structures, transfer rules, etc. This is one of the top security tokens in 2020.

#4 BlockSafe

BlockSafe is a crowdfunding company that uses security guard solutions for protecting the ecosystem against infiltration and cybercrimes. BlockSafe or BSAFE generates live tokens, which need to adhere to the guidelines of the exchange commission strictly. The ecosystem is protected by the BlockChainDefender, which ensures security, and responsible for securing desktop and mobile wallets. BlockChainDefender, as the name suggests, even protects the users and internal systems. The main aim of BlockSafe is ensuring optimal security against cyber infiltration in the crypto space.

#5 DigiShares

DigiShares was founded in January 2019 in Denmark. The company shares can be digitized and issues as tokens on the blockchain through DigiShares. In this process, a Digital Share Certificate gets stored within each token, which represents one share in the company. As per the DigiShares rules, they ensure only whitelisted, or verified buyers can invest. DigiShares provides a software solution in the issuance process and even while management of the tokenized shares. DigiShares partners with International, reputed exchanges for investor networks and listing of the security tokens. This is one of the best amongst the list of Security Token Offerings (STO) in 2020.

Now, let’s move on to the upcoming STO in 2020, with high potential:

#1 Cryptobuyer

Cryptobuyer aims to enhance the crypto mass adoption by providing the merchants with PoS solutions and giving them access to the vast crypto ATM network, that can be used to buy and sell. Cryptobuyer is targeted towards providing alternate payment services for business, which would lead to the adoption of decentralized virtual currencies. In this way, the masses would have their control over their finances instead of trusting a third party.

#2 CityBlock Capital

CityBlock Capital launches various funds geographically, and have earned a high reputation with powerful partnerships. CityBlock Capital aims at launching various venture capital at various markets. Their flagship fund is specifically targeted towards start-ups in New York City, currently. The investors within the United States are only required to invest $25,000 or more, while international investors can start with as little as $1000.

#3 Thaler.One

Thaler. One is a blockchain platform working in the Ethereum blockchain. It enables the investors to take entire ownership or control of the real estate assets worldwide. Thaler tokens offer fully transparent and secure legal ownership of Real Estate assets. Through this STO, Thaler plans to issue tokens, which are backed by real estate tangible assets, giving the investors the opportunity of receiving on-going rental income or loan interest.

About CoinSwitch

CoinSwitch.co is the world’s largest cryptocurrency exchange aggregator which supports 300+ coins and over 45,000+ pairs. It provides an easier way of trading through global exchanges like Binance, KuCoin, IDEX, Huobi, Ethfinex, HitBTC and Cryptopia without creating an account on them. If you are interested in buying cryptos, do give it a try!

References

  • https://icoholder.com/en/stos/upcoming
  • https://thetokenist.io/security-tokens-explained/
  • https://coinfunda.com/best-sto-security-token-offering-2019-top-5-list/