You’re investing your money foolishly.
Many people know the stock market as a great way to build up an investment portfolio. But there’s only incremental growth there, especially if you’re buying stock in a company on IPO day. Elite investors get most of the value in early funding rounds. By the time the curious investor joins the party, there’s only a small slice of cake left.
To get investment access to more companies, people turned to the initial coin offering (ICO), but this also fell short because of the lack of accountability and government oversight. There simply weren’t enough rules in place to make sure investors were protected.
Many investors lost hope in ICOs after getting burned by a series of half- baked companies and scams. When the ICO slowed its roll, the security token offering (STO) barreled through and seized the missed opportunity, renewing everyone’s faith in the future of investing on the blockchain.
We’ll highlight how investors can benefit from our unique business model and STO.
They get early investment opportunities.
Only the accredited elite get access to early funding rounds before an IPO. This is a huge benefit to them because that’s where most of the true value is squeezed out. An investor could see their early stake in a company grow by double-digit percentages if the company took off. But this value isn’t accessible to the average public, who need to wait until IPO day to invest. By that time, growth is incremental at best.
Our business model breaks down these barriers and grants everyone early investment access to our company. You don’t have to wait for your turn.
Work with fewer middlemen.
Traditional methods of investing (like using a broker-dealer) mean working with a series of middlemen. That process gets tedious and confusing because there are simply too many people involved. And when more people are involved, the entire process gets more expensive — and you tend to play a less active role in the whole process.
But security tokens operate on a blockchain that works on a decentralized, distributed network — the participants validate everyone’s transactions. There’s no central network, and no sole party owns the system. Fewer people have restricted access, which translates to lower fees.
Enjoy more liquidity.
Stocks are classically liquid, but most of their true value is snatched up in early investing rounds that exclude the public. These investors commonly get to buy stock at a discount, then cash out on IPO day. They make money on the backs of average investors buying stock at an inflated price.
If you want the freedom to cash out anytime, you need liquidity. You need to know that your stake has value.
STOs provide liquidity from the start. Anything can be tokenized, tracked, and traded on the blockchain and approved markets. You’re not stuck wondering if your investment will have value. People can freely exchange tokens on approved markets, like trading shares of stock on the NYSE.
Get access to global markets.
It’s either difficult or impossible to get investment access to private international companies via conventional markets. But security tokens don’t have such drawbacks. Once a set of global regulations are in place, trading securities in companies around the world will only be limited by the speed of your internet connection.
Know your investment is compliant.
As ICOs started gaining traction, investors were pleased to learn it was easier to support new or established companies. But the lack of regulations governing the sale of tokens was problematic — companies had no accountability, investors had no protection. Many investors lost money on ICOs that either fizzled out or were straight-up scams.
STOs are hard-coded to be compliant. We also have an accounting and compliance process in place to ensure all business units under 81-c remain SEC-complaint — it keeps you from falling into the same traps that plagued ICOs. Not only does this ensure legality, but it also offers transparency to investors, entrepreneurs, and regulatory agencies.
Make the world more financially inclusive.
Many people around the world are shut out from standard financial services that others take for granted. These services are crucial for investors to embrace an entrepreneurial mindset and for supporting markets at home and abroad.
When you participate in our STO, you help us get closer to true financial inclusion. Anyone with an internet connection can invest in businesses without qualifying as an accredited investor or paying excessive administrative fees. We believe security tokens can turn anyone into a motivated, active investor.
Instead of throwing your money at the stock market or putting it in a savings account that earns minimal interest, you could invest it in real companies with proven financials. Not only are you providing much-needed capital to small- and medium-sized businesses, but you’re also tackling a global issue.
That’s investing the right way.