Post
Topic
Board Altcoin Discussion
Re: Security Token VS Utility Token
by
magneto
on 21/11/2019, 04:11:30 UTC
Just between security token and utility token, which token do you guys prefer? I am actually on the side of utility token because there is a clear demand over there, which means assuming its supply stay constant, the price of that utility token will theoretically rise as demand increases.

I just can't see how security token is going to change the industry in any way.

What do you guy think?

Actually, the lines between the two tokens are very blurred and how they are classified are basically based on the sole decision of the SEC or any other securities regulators.

In terms of investment, I actually think that security tokens, given that the projects they represent a stake in are legitimate, will be better long term investments.

This is because you're essentially holding equity in a company when you hold a security token, and that will translate into a much better return than utility tokens, which derives from the demand from the product in the long run.