Indiegogo is promoting another real estate scheme, where individuals can purchase shares of the St. Regis Aspen inn, as security tokens on the blockchain. The hotel is expecting $12 million of investment in security tokens. Accredited investors can purchase Aspen Coins through an SEC-registered broker-dealer utilizing US dollars, Bitcoin or ether, starting on 24th August.
It’s part of a more extensive trend of organizations propelling asset-based cryptocurrencies rather than normal tokens. Numerous cryptocurrency experts see these security tokens as a more steady and legitimate contrasting option to ICOs.
This is Indiegogo’s second venture into cryptocurrency, despite the fact that it will actually not be managing security tokens altogether. The cash will go from investors to the Aspen inn, with Indiegogo promoting the deal with a point of arrival.
Indiegogo’s First Brush With Cryptocurrency
In December a year ago, Indiegogo promoted another organization’s ICO that “went well,” said organization co-founder Slava Rubin, taking note of what the offering met its fundraising objectives. With such huge numbers of cryptocurrency organizations and yearning blockchain projects ending up being fake or delivering little to show for their financing, the market has a lot of landmines.
The push towards security tokens comes after a drop in the costs of digital coins, and various ICO-related SEC tests.
Rubin sharing his imagination says that — in the result of ICO regulatory scrutiny — organizations can rather begin propelling security token offerings to comply with the SEC and federal regulation.
“In my opinion, cryptocurrency and security-backed tokens are two different things,” he said. Hard assets are less theoretical and they’re probably going to work out in future. Rubin was asked whether he thought others shared these considerations. He answered it clarifying that while still a generally new idea, security tokens will be the future. He imagines them turning into a dominant funding venue for the crypto network by 2019.
As reported by The Verge, Stephane De Baets, owner of Aspen’s St. Regis and other hotel properties says “We think future lies in everyone starting to keep more wealth in appreciating security tokens rather than cash”[The views and opinions expressed in this article are those of the authors and do not necessarily reflect the views and/or the official policy of the website. ]