STO Platform TokenizEU Chooses Ravencoin (RVN) Over Ethereum
TokenizEU has snubbed Ethereum in favor of the Ravencoin platform for its potential asset launches.
TokenizEU, a startup aiming to become the main security token offering (STO) platform in the European Union, has stated its readiness to select the Ravencoin (RVN) platform over Ethereum (ETH).
Ravencoin is a relatively new protocol based on a coin launched in October 2017, with no premine. It utilizes the Bitcoin software but allows for the creation and propagation of various tokens. The network, however, has an obscured hashrate and may be smaller compared to Ethereum. At this point, there is no known estimation of what it would take to attack the Ravencoin network.
In a previous blog post, TokenizEU listed the benefits of Ravencoin, among them the possibility for unique naming of each digital asset. It is possible to create tokens with similar names on the Ethereum network, but this trend has given rise to confusion. In a world of asset-backed security tokens, selling faked digital assets would be an issue.
TokenizEU is one contender for a top place in Europe’s security token ecosystem. In recent months, several projects have launched platforms to service businesses that plan an STO. However, there is still a lack of such sales beyond those of the platforms themselves. Projects that have prepared to service businesses and trade security tokens include DESICO, Neufund, and the Extauri exchange.
TokenizEU focuses on building a security token process for European-based investors and firms. For outside investors, there is the option to create Estonian e-citizenship. Security token platforms work on both sides of a token sale, advising the business and producing the tokens while also handling investor screening and deploying KYC (know your customer) tools.
STOs are similar to initial coin offerings (ICOs), but tokens are launched in full compliance with transparency requirements and are registered as securities. This would save a startup worries at a later point in light of investigations into ICOs deemed to be selling unregistered securities.
Europe has become one of the leading destinations for STOs after China declared this fundraising technique illegal.