
Beyond Equity: Security Tokens Reimagine Ownership
Security tokens are revolutionizing the world of investment, offering a blend of traditional finance and blockchain technology. They represent ownership in an asset, but unlike traditional securities, they are issued and managed on a blockchain, bringing greater transparency, efficiency, and accessibility to the capital markets. This article delves into the intricacies of security tokens, exploring their benefits, regulatory landscape, and the future they hold for investment.
What are Security Tokens?
Definition and Key Characteristics
Security tokens are digital representations of ownership in traditional assets, such as stocks, bonds, real estate, or even art. They are issued on a blockchain and subject to securities regulations. Key characteristics include:
Compliance: Subject to securi...