In a six-part series of white papers, a consortium of blockchain experts are dedicated to the topic of STO. The initiative is led by area2invest.
The so-called Security Token Offerings (STOs for short) are attracting growing interest, especially in the financial sector. The digital tangible and assets score above all as a cheap, uncomplicated form of raising capital for companies and start-ups. And as a regulated investment opportunity for investors. Despite the benefits, the sector is still not entirely sure whether STO is just a short-term trend or actually a sustainable innovation. A consortium of blockchain experts from a wide variety of economic sectors has now addressed this question and has done a first Whitepaper published on the topic, which is now gradually seeing the light of day.
STO white paper comes in six parts
Among the authors is the Who’s Who of the German crypto space. For example, Steffen Hönig, CEO EY, is there. Dr. Phillipp Sandner, Head of the Frankfurt School Blockchain Center, is doing the honors. BTC-ECHO editor-in-chief Sven Wagenknecht himself is also represented. More precisely, the letter is the first part of a six-part series under the name: “STO 101: Anatomy and Context of Security Token Offerings“.
The first episode serves as a kind of guide for structuring successful security token offerings. To this end, the following publications will address other important key questions, such as: costs compared to conventional issues, the current status of trading security token offerings on the secondary market, or a forecast as to whether an increased number of institutional investors can be expected.
The initiative for the whitepaper came from the issuing platform area2invest. The founder and CEO of 21finance and area2invest Max J. Heinzle in one Press release as follows:
We receive numerous inquiries about tokenization every day: From real estate to raw materials to vintage cars or company investments: the variety of inquiries and the possibilities of tokenization are almost unlimited.
Founder and CEO of 21finance and area2invest Max J. Heinzle
Despite the enormous potential, there are still some ambiguities in some practical applications, both among investors and issuers. A “gold standard” has not yet been able to establish itself, says Bernhard Thalhammer, Head of Issuer Relations at 21finance and area2invest.
Interested newcomers can get an initial overview of the area through the BTC ACADEMY on the STO topic.