A security token is a digital asset that represents ownership in a real-world asset or enterprise, similar to traditional securities like stocks or bonds. These tokens are subject to regulatory compliance and often provide holders with rights such as dividends or voting power.
Security tokens bridge the gap between traditional finance and blockchain technology, offering a transparent and efficient method of raising capital.
They are designed to provide a higher level of investor protection while leveraging the benefits of decentralization.
« Back to Glossary Index