Security Token Offering: the new crowdfunding era?

security token offering

Security Token Offering is the new frontier of capital raising, enabling crowdfunding operations by taking advantage of all the benefits of blockchain.

A token is a “digital certificate” of a right that one has to a real asset, for example, of a property, equity interest, etc. Unlike a regular paper deed of purchase or ownership, Security Tokens are registered on blockchain, so purchases and exchanges are faster, more transparent, and more secure.

A Security Token Offering, moreover, differs from an Initial Decentralized Exchange Offering because it is regulated and supervised by a financial authority, just like a traditional financial instrument, and this guards against scams.

In addition to this, the great advantage of Security Tokens is that they can also represent fractions of assets: for example, it is possible to tokenize the ownership of a house by dividing it into smaller lots, so that one token corresponds to ownership of only part of the building. This paves the way for the creation of many new types of assets that are accessible to many types of investors, even those who do not have substantial financial resources.

An STO can have the same legal structure as a crowdfunding campaign. Those who participate in a crowdfunding campaign, however, may find it more difficult to make the investment liquid, whereas with tokenization it is easier to sell the purchased asset on a secondary market thanks to blockchain.


0:00 Introduction

2:00 What Black Manta does

2:45 Coins and tokens: what they are

3:50 Security Token Offering: how they work

5:16 Security Token Offering: definition and regulation

7:00 New types of assets for new types of investors

12:45 Why use STO instead of traditional crowdfunding

16:54 The state of the STO market

20:23 Forecast for the future of capital raising with STO


Claudio Grimoldi, Founder of Turbo Crowd

Alexander Rapatz Founder of Black Manta Capital

Crowdfounders Italia

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