Blockchain App Factory Moves into Security Token Offering Development (STO)

Sep 11, 2018 at 16:20 // PR
There is a need for institutional investors to enter the domain of Security Token Offerings to stabilize the cryptocurrency sphere.

Blockchain App Factory, an enterprise, technology services, and solutions provider for Blockchain startups announce new STO services.

India –  Blockchain App Factory, an end-to-end permissioned and crypto blockchain solutions company, is expanding its offering by launching Security Token and White-label Exchange Development services. Blockchain App Factory are an innovation-driven company with 25+ clients in the Blockchain and Crypto space ranging from Li & Fung, a 118-year-old global supply chain management with almost 9 million deliveries per day (On the busiest day), executed through an automated supply chain solution; to a cryptocurrency exchange startup whose country just now became crypto-friendly. 

Blockchain and STO’s 

The concept of blockchain is often associated with Token Generation Events. However, the lack of financial disclosure by companies raising funds through Token Sales has resulted in SEC’s determination to protect investors from frauds, pump and dump schemes, and exit scams. 

There is a need for institutional investors to enter the domain of  Security Token Offerings to stabilize the cryptocurrency sphere. However, these investors are skeptical about the crypto-market. 

James Harper, Director of Sales & Business Development stated:

“The present state of ICO is riddled with roadblocks because many companies lack the clarity of ICO’s purpose and the Blockchain space. And so there is a hesitancy among the institutional investors to invest in ICO, solely because of the non-regulatory compliance, lack of financial transparency and the volatile nature of the market.”

Security Tokens help in the digitization of illiquid assets, such as real estate, equities, and security bonds; this will prove beneficial for investors. It is touted to have better legal clarity, compared to its counterparts. It also provides a safety net protection for the company and investors by enforcing stringent regulations and limitations. 

However, the real challenge in the Security Token space lies in the availability of a platform to create them with ease. In addition, there is a lack of trusted exchanges for the trading of security tokens. It works under regulatory framework – KYC, AML, and Profit Loss statements which are on smart contracts for the security token creation process to be initiated. 

ICOs & IPOs to STOs with Blockchain App Factory 

A company, backed by one of the largest equity investment firms, almost went IPO in Singapore, pivoted at the last minute, and is now in the process of fundraising with blockchain tokenization through Blockchain App Factory. This company has evolved a couple of notches up by adapting to the STO industry with a secure and reliable platform; developing holistic Security Tokens and an Exchange Platform on the white-label blockchain, which eliminates the limitations of gas prices. 

James Harper, Director of Sales & Business Development went on to comment:

“Many traditional companies will delist from traditional stock exchanges to move into blockchain due to high barriers to entry and the exorbitant cost for regulatory compliance. Traditional methods of raising capital like Venture Capital, Bonds, Stocks will be tokenized. We expect real estate especially the commercial real estate will be the first movers into the STO market.” 

Token Sales have raised billions of dollars in capital funding in the last couple of years and with the advent of STOs, a new trillion-dollar capital funding awaits. Keep an eye on the  Blockchain App Factory and the project of securitizing digital assets. 

To learn more or visit the Website:  https://www.blockchainappfactory.com/
Meet the Team:  https://www.linkedin.com/company/blockchainappfactory/
Connect on Facebook:  https://www.facebook.com/BlockchainAppFactory/
Follow on Twitter:  https://twitter.com/Blockchain_BAF   

Media Contact
Contact Name: James Harper
Contact Email:  info@blockchainappfactory.com   

Blockchain App Factory is the source of this content. This press release is for informational purposes only and should not be viewed as an endorsement by CoinIdol. We take no responsibility and give no guarantees, warranties or representations, implied or otherwise, for the content or accuracy. Readers should do their own research before investing funds in any company.

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