An SBT (Security Token Offering) is a type of fundraising event in which a company issues security tokens to investors in exchange for capital. Security tokens are digital assets that represent ownership of a real-world asset, such as a share in a company or a debt instrument.
SBTs are regulated by securities laws, which means that they must be issued and traded in compliance with legal requirements. This typically includes the requirement to register with regulatory authorities and provide investors with information about the company and its financial health.
SBTs have the potential to revolutionize the way that companies raise capital and allow investors to buy and sell ownership stakes in a more efficient and transparent way. They also offer investors the opportunity to diversify their portfolios and access a wider range of investment opportunities.
In summary, SBTs are security tokens that are issued and traded in compliance with securities laws and represent ownership of real-world assets. They are used as a means of fundraising for companies and offer investors the opportunity to buy and sell ownership stakes in a more efficient and transparent way.