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Assalamualaikum steemians

** _______ How are you?Hope so everyone would be safe and sound just like me as I am also safe Alhamdulillah... ____ Security tokens is my today's topic to share in which I would like to share different contents. ![trading-6531134_1280.jpg](https://cdn.steemitimages.com/DQmVnG4fyaivoWEYwS5J1dajUMuDT15c7Bbi1GpQAMFMDRj/trading-6531134_1280.jpg)[Source](https://pixabay.com/photos/trading-blockchain-cryptocurrency-6531134/) Security tokens are those digital assets which is representation of ownership or interest in physical or intangible asset like real estate, art, or company shares. These are stored at blockchain, give surety of security, transparency and transactions which are tamper proof. **Types of security tokens** **Equity Tokens** Representation of ownership in companies that just have similarity to traditional stocks. **Debt Tokens** These are representatives of debt obligations which are just like bonds. **Asset backed Tokens** These are representatives of ownership in assets such as real estate or art. **Utility Tokens** These are offering more access for products or services but they are not actually representing ownership. **Benefits** **Enhanced accessibility** Democratization of giving an access to investments which may enable participation at global level. **Improved liquidity** Used for enabling more faster, efficient way of trading. **Enhanced transparency** Used for providing real-time ownership and for recordings of transactions. **Reduced costs** Utilization for minimization of intermediaries and for decreasing fees. **Increased security** Utilization of blockchain technology for storing and transferring in a secure way. **Regulatory Environment** **SEC guidelines** Security tokens should have their compliance with securities regulations. **Compliance** Issuers should always register with regulatory bodies or they should be qualifying for exemptions too. ![cryptocurrency-6601591_1280 (1).webp](https://cdn.steemitimages.com/DQmbgBtP5gHma4jUFAULfguiSQjaxi6UFnZmjz27TouNcH1/cryptocurrency-6601591_1280%20(1).webp)[Source](https://pixabay.com/illustrations/cryptocurrency-crypto-bitcoin-6601591/) **Issuance Process** **Token creation** It is used for defining characteristics of tokens and smart contracts. **Private placement** It is used for offering tokens to investors which are accredited. **Public sale** Public sales are used for offering tokens to public. **Listing** Used for listing tokens at crypto exchanges or security platforms. **Investment Considerations** **Risk assessment** Evaluation of token value, liquidity, and regulatory compliance which is all included in assessment of risks. **Diversification** Diversifications of investments among different asset classes and tokens. **Research** Understanding of issuer, asset, and demand of market. **Conclusion** Security tokens are used for offering a revolutionary way for representing ownership and transferring value. While they represent different opportunities so it's really essential for understanding benefits, regulatory environment, issuance process, and investment considerations.That was all about knowledge according to me regarding security tokens. ---------- **

Thanks

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