205 Steem Dollars writing contest - My entry
**This is my entry for the sponsored writing contest organised by @monajam check the post here link **
- THE ADVENT OF SECURITY TOKENS, THE RISE TO EASE IN BUSINESS
Security tokens constitute an investment contract, somewhere the chief use-case, and the purpose for the contributors to get the tokens, is the anticipation of opportunity profits in mode of dividends, revenue allocate or (most commonly) outlay appreciation.
Some empty offerings are too structured as a donation (i.e. Tezos), whereby folks who play a role bitcoin or the heavens in substitute for tokens are deemed to arrange liberally contributed to a foundation or non-profit entity. But it is dubious that this configuration is departing to be a best-practice liquid in the imminent as it doesn’t endow with any above-board safety on the investor’s side.
The SEC has its lithe analyze to agree on while amazing qualifies as a confidence called the Howey Test, which was time-honored 1946. In a cryptocurrency environment, the Howey analyze thereabouts boils down to two questions which in cooperation destitution to answered with “yes” for the empty to modify as a security.first question, Is there a individuality upon whom investors rely?. And the second question is: is the token been sold as an investment.
- SHORTCOMINGS OF A SECURITY TOKEN STRUCTURE
Many of the organizations conducting a initial Coin offering (ICO) get been desperately difficult to escape having their tokens classified as securities. primarily as a classification as a safety measures involuntarily comes with numerous rules and limitation on who container invest in these tokens and how they tin be exchanged.
Secondary trading and liquidity is critically concentrated for these kinds of tokens, as securities cannot be traded to all comers and are subject to numerous restrictions. This be capable of bounds or stable extinguish the set of contacts sound effects and the handle of the tokens to make a extensively adopted platform or protocol.
- The POTENTIAL OF SECURITY TOKENS LIES IN MOBU
Source
MOBU was founded by Juan Engelbrecht which also steers the wheel of affairs of this much more than just a platform.
MOBU is a competitive bionetwork that tools a exclusive protocol benchmark called MOB20 which allows for a worldwide security token approval and investor protection. MOBU creates a added competitive ICO armed forces pricing environment which comform with SEC and every convention as well as KYC/AML. Investors are guarded by enabling them to exit the ICO after the crowdsale on a pro-rata foundation if the ICO issuers do not adhere to their objectives or goals. Mobu is a platform whereby industry owners preserve announce their collateral ICOs tokens that are easy to get to authentic assets, verification of selling and advertising of the slip by the channel of escrow services, and plus by as long as a extraordinary profitable contract. Security token shortcomings are been catered for by MOBU both for investors and business owners. Advantages of MOBU to these determiners are concisely stated below.
Pros of MOBU to business owners
Source
- Non convoluted platform
- Very easy to access
- And it fill up the divergence between safekeeping policy and dealings owners.
- Easy relief of ICOs tokens that are backed by unfeigned assets
- Smart agreement codes that conform to the MOBU ERC20 platform and the MOB20 usual to adapt to the dreams and rations of MOBU
- Restriction of the coupon to barely verified users.
- It deploys exchange ideas of endorsement centers for KYC/AML compliance
- It deploys a meet people of approval centers for SEC good opinion for securities (reg
CF, reg 504, reg 506(b), 506(c))
Pros of MOBU to Investors:
Source
Introduces an Escrow services
Easy pulling out if the ICO is not next in attendance roadmap
Ensures privileged general ROI for investors
creates an arrangement of confidence and hope that will boost cost-effective efficiency
and incentivize group of people intensification***Thanks for reading*** * **EL-BUENO 2018**
Excellent review @el-bueno
I was just wondering. It seem to me that MOBU is one of very few ICOs that are completly launched as security token. I wonder why. Wouldn't it be better to come up with some utility to their tokens and launch ICO as a utility token?
And also how will they maintan the price? Does MOBU offer Masternodes or POS to attract hodlers? If I cannot use those tokens and on top of that if there is no POS/masternodes introduced into their structure ... then what would make price go up or at least stay on stable level?
Obsiously upvoted :)
Yours
Piotr
Thanks for your comments @crypto.piotr
I want you to understand that the platform is based on futuristic views and permutations, which if eventually come alive the outcome will be superb.
Hi @el-bueno
Im very sorry for such a late reply. Somehow i've missed it and just read it a moment ago.
Thank you so much for your time and the fact that you're willing to share your knowledge with me.
Yours
Piotr