Standard Tokenization Protocol Gets $7 Million To Develop Compliant Token Startup
Have you ever heard of the Standard Tokenization Protocol (STP)? This startup is focused on the creation and tokenization of completely compliant assets. Now, the company has shared, via a press release, the information that it has secured $7 million USD during its latest funding round.
According to the information released by the company, STP was able to get these funds from two distinctive events, both of them were private funding rounds which were led by venture capitalists. The company sold its STPT tokens during the rounds, getting $5 million in the first one and $2 million USD in the second.
Some of the most high-profile investors from the round were Neo Global Capital and BlockVC, as well as AlphaBit.
What Is STP All About?
According to the company, the services proposed by the startup are mostly focused on the creation and tokenization of compliant and transparent tokens and assets. The idea is to provide fractional ownership of real goods and remove the illiquidity that plagues some of these investments.
The company is also aware that most companies in the sector are guilty of not being compliant with the local legislation, which is another very important point. The startup will use an on-chain validator in order to ensure that all the Know Your Customer requirements are always properly set.
This new validator will be important because it will help the companies in a seamless way. They will be readily able to ensure that all tokens will be set to the legislation of specific countries, so no manual adaptation will be needed.
With this new system, the company also has the goal of enabling companies to offer automatic distributed programmed dividends for its shareholders. This will help several companies in different industries.
By using this technology, Initial Coin Offerings (ICOs) could return to be strong once more. ICOs are down this year after so many of them failed or were considered scams. With the help of proper legislation, however, they could be considerably more protected.
According to the CEO Mike Chen, STP is a company that is currently in an unique position in the industry because it can help companies to basically save billions with a cheap solution that will help them to convert their systems to be ready for the future.