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It is true that the process can seem complicated, but there are a lot of benefits with a security token issuance. Tokenizing securities improves the liquidity of underlying assets which can engage more investors.<br>Security tokens also come up with other benefits like increased market efficiency, lower issuance fees and fractionalization of larger assets. If a startup meets the required regulatory obligations, the security token offering can create a vast potential for the variety of applications.<br>
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What is a Security Token Exchange?- When a token is subjected to federal security regulations and can derive its value from an external, tradable asset, it is categorized as a security token. It is true that the process can seem complicated, but there are a lot of benefits with a security token issuance. Tokenizing securities improves the liquidity of underlying assets which can engage more investors. Security tokens also come up with other benefits like increased market efficiency, lower issuance fees and fractionalization of larger assets. If a startup meets the required regulatory obligations, the security token offering can create a vast potential for the variety of applications. Two types of Security Token Exchange: (1) Utility Tokens: These type of tokes are used for creating Initial Coin Offerings ( ICO ) for raising funds. These tokens does not equate to a share in the company, but can be used to facilitate a particular event, transaction or value in the operations of the company. Eg: ETH is used to reward miners a fee for lending resources to exeute smart contracts. (2) Security Tokens or Equity Tokens: These Tokens are also Crypto based, but it differs from normal Utility Tokens. These tokens are very similar to the shares you hold in the normal securities market. Each token constitutes a security or share of a company. These tokens will need to abide to all the compliance enforced by regulatory bodies like SEC etc. It follows the process and lifecycle of any normal stock ( Dividend, Local regulations etc. ) A Security Token Exchange or an Equity Token Exchange is a special type of exchange that hosts only Security Tokens. Any asset you purchase here is not a normal utility token, but a share of the issuing company. Our Security Token Trading Platform Development Process
We follow a well defined process for our security exchange platform development. Before starting to develop any new feature in this STO Trading Script, we always take the time to study the market's needs and requirements. Design After we understand the real business need, we'll go to the drawing board and design a ground-breaking User Experience that can be fitted into the product. Development With the design in place, it's time for the heavy lifting platform development work done by our skilled and enthusiastic software developers. Testing Testing can take a very short or a very long time, depending on the complexity of the feature and its importance in the business flow. STO Exchange Developement Features: Payment Gateway Integration The most important part of any cryptocurrency exchange platform, it allows the users buy and sell currencies through various modes of payment. With this integration, the ecosystem is completed and get a full-fledged form. Therefore, cutting edge technology is used for creating this gateway and to make it much more useful. Fund Management With integrated wallets, transactions can be managed in a very secure and automated manner. The processing features make the usage of fiat currency very effective at every stage without having any impact on interfaces. This feature bring high level of efficiency and transparency which works for every user. Escrow System Frequent transaction between buyers and buyers can be lost, it can further be a cause for a big dispute. For avoiding this situation an escrow system is introduced which keeps track of all the transactions happened between the
two parties. With our technology, we ensure that the processing time of recording is kept at minimum. All Currency Transactions This is indeed a great feature which lets the users integrate any currency they want. Using the security token exchange software, it is made possible for the users to involve Bitcoin, Ethereum, Litecoin or any other fiat currency. The mechanism ensures all the currencies can co-exist and their identity is sorted for no complications. Security Exchange Platform The inclusion of BAF Security Exchange Platform makes the whole the process very easy for your token holder by allowing to create their own security token exchange. It ensures that they are connected to the main network and the liquidity is also in place. It aims at reducing the gap between the users and business owners. Thanks for reading our Content. To know more about our Services, kindly Visit our Website: Crypto Soft India 1/124, DLF IT Park Rd, Ramapuram, Chennai, Tamil Nadu 600116 https://www.cryptosoftindia.com/ cryptosoftindia@gmail.com +91 6385108373