Part of funding portal member: truCrowd, Inc.

Security Tokens: The Concept

Last Updated: May 24, 2018 04:10PM CDT

In a Security Token Offering a business offers the investors a percentage of the business’s future profits in exchange for a capital investment.

 

In its simplest form, the security token is an investment contract that participates in the cash flow, after the costs of running the business are paid.

 

Each investment contract will be different. The offering memorandum will explain the business and the potential economic benefits of participating as a security token holder.

 

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