If you’re thinking about blockchain investing, chances are you have heard of Utility and Security tokens. Utility tokens give you access to a product or a service provided by a company. In many cases, historically utility tokens promised to deliver a product in the future, where utility token holders would be able to exchange them for the company’s services. Security tokens, on the other hand, can — but are not required to — represent equity or essentially a piece of a company’s future success. Security token holders are entitled to ownership rights that give them a stake in a company’s assets. These are all reasons that play into why Monetizr determined the Security token sale is the best option for our business (more on that in the follow-on articles — check back soon). Are Security Tokens a Safer Bet? To put it in simply: maybe. If a company considers its token as a security, it must be registered with the Securities and Exchange Commission. If it passes the Howey Test, these tokens are, in fact, investments and act as such, at least legally. It’s a widely controversial topic, but regulatory bodies globally are working together on it — and there are benefits to that.Whether you consider it an investment or an experiment — don’t spend any more money than you can afford to lose on tokens — or on anything else. If you meet and like a founder with a good idea — and a company with an actual product, customers, and revenue — take a closer look. There is plenty of excitement, and most importantly, opportunity.
Bounty0x: pedrohmc23