What is an STO?

Article author
Arnab Naskar
  • Updated

STO stands for "security token offering". Through an STO, one can issue security tokens that may represent equity, debt, or hybrid instruments.

Ventures can also raise funds via an STO. In this form, investors buy the digital securities or security tokens which are backed by something financially valuable like an asset, profits, or the issuing venture's revenues.

At STOKR, ventures conducting STOs tokenise their profit participation or revenue sharing rights and issue them as security tokens to the investors. Through STOKR, ventures can issue such security tokens both on Ethereum or the Liquid Securities Network (sidechain of Bitcoin), making it a seamless process!

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