Al tot of people shake in 2017 by downtrend but some expert saw that 2018 is not about ICOs so they started question about what comes after ICOs. They found and answer is called STOs stand for Security Token Offering.

What is Utility Token

A utility token provides access whether in the present or future to a product or service. Users that hold tokens can therefore use the particular network and service.

It all depends on the function of token. They represent a unit of account that grows in values as the network grows.

What Is Security Tokens STO ?

The first & most important question to address is what makes a token a security. In the US, the main focus is on the purpose of the investment. Security Tokens involve an investment contract where the main draw is likely future dividends.

The Future of Security Tokens

The SEC has begun to take focus on the cryptocurrency market. Their main issues surround the placement of security tokens on cryptocurrency exchanges that are not qualified or registered sufficiently.

As this is not an easy task, people are looking to launch dedicated exchanges for security tokens with the necessary qualifications and instructions.

Government and SEC eventually could mandate the adoption of tokenism securities. This idea come from and article publish by Anthony Pompliano who argue that tokenized security technology will create more compliance rather than less.

STOs are growing at a fast pace and seems to be replacing ICOs in terms of popularity aided by Goverments crack down.

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