Security Tokens Will Change Traditional Finance

The development of blockchain is one of the most important technological breakthroughs as it opens doors to plenty of possibilities to improve the way we do our finances and the way we do things as a whole.

Blockchain, or distributed ledger technology (DLT), is the underlying technology for and cryptocurrencies or tokens. These tokens can be described in three categories depending on their functions, utility tokens, payment tokens, or asset tokens (security tokens).

According to Anthony Pompliano, founder and partner at Morgan Creek Digital Assets, security tokens are digital assets that are under regulations by federal rules. This means that they are a cross-section of traditional financial products and digital assets that continue to evolve.

He said, “If cryptocurrencies like Bitcoin are considered ‘programmable money’ then you can consider security tokens a version of ‘pro…

This article appeared first on Cryptovest

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