Oxygen Hospitality Group Plans First Fundraising on Token IQ Platform
The security token offering will be the first for the Token IQ platform, and will grant access to shares of the Oxygen business.
Oxygen Hospitality Group, a hotel management and real estate investment business, plans a fundraising event through a security token offering on the Token IQ platform. This will be the first STO for Token IQ, and mark the beginning of a new form of funding both for traditional business and the crypto space.
Token IQ, Inc. is a fully compliant platform that enables the creation of a token backed by real estate assets. In this way, token buyers would be exposed to the business of Oxygen Group.
“Investors in our hotels will now receive shares, represented by tokens, with asset-backed security and an unprecedented level of transparency that’s extremely important for investing in real estate,” said Peter Anadranistakis, president of Oxygen Hospitality Group.
“Infusing technology into all aspects of our business from raising capital for acquisitions to the front and back of our hotel operations is a key focus in our growth,” added Anadranistakis.
Real estate tokenization is one of the first approaches to security tokens. The announcement of new token sales is encouraging, especially after the freeze in the sales of utility tokens. Oxygen Group has been careful to be compliant with the restrictions of the US Securities and Exchange Commission. The SEC targeted multiple token sales, concluding that the tokens, in fact, had worked like securities, mostly based on the promise for returns.
The Oxygen Group token sale will also include know-your-customer (KYC) verification. TokenIQ will also ensure the digital assets do not pose technical problems for investors. The mission of TokenIQ is to offer proprietary solutions, instead of relying on ERC-20 or other public platform tokens.
“Token IQ’s patent-pending technology allows Oxygen Hospitality to democratize access to their offerings, reduce the cost and complexity of compliance and do that in a way that fully comports with relevant regulation while empowering RIAs to be a fully participating partner in the effort,” said Mark Vange, CEO of Token IQ.
Vange added the tokens would have more user-friendly recovery capabilities, removing the complexity related with conventional digital assets.