Traditionally, securities represent an ownership position in a publicly-traded corporation, rights to ownership, or a creditor relationship with any governmental corporation/body. Security Tokens are digitized versions of the same. A security token is a tokenized, digital form of these traditional securities. To truly understand the technicalities behind the different types of Security Tokens, and what really makes them different, we need to talk a bit about Tokens and security regulations around them. If you’re already aware of this, you can skip this and head straight to the types of Security Tokens.
In the last EOS ICO, the total amount raised was a whopping 4 billion dollars in a year, which is till date the biggest ICO ever. Further, TechCrunch points out that ICOs have been delivering at least 3.5x more capital to Blockchain startups than Venture Capitals since 2017