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Topic: Utility VS Security tokens!!! (Read 160 times)

newbie
Activity: 168
Merit: 0
April 11, 2018, 11:15:12 AM
#9

Midas is an investment app for retail investors on top of the Melon protocol.

The Token Generation Event is planned for end of Q2 2018 and the launched token is an uncertified security under Swiss law. The founders of Midas actually think that tokenized securities are the use-case of the future.

Their view on the topic of tokenized seucrities and what exactly they are launching you can find in this MEDIUM POST
newbie
Activity: 28
Merit: 0
January 31, 2018, 07:28:12 PM
#8
Thanks men for helping! Any more interesting aspects of tokens ?
member
Activity: 238
Merit: 11
Staker.network - POS Smart Contract ETH Token
January 31, 2018, 11:18:37 AM
#7
Security tokens offer you direct profit, primarily from the efforts of others, like dividents, revenue share or price. If token being sold as an investment and there is a person upon whom investors rely - it is security token
Is it possible they to be both utility and security at the same time?
Yes it is possible
Just like you need a token to access services on the platform, as a token holder you can also share in the profit that the platform generates.
member
Activity: 795
Merit: 10
January 31, 2018, 11:16:27 AM
#6
Hi,
could you explain me what is the difference between Utility tokens and Security tokens?

As I understand utility ones are used for paying and security as crypto shares or smth. But it is still confusing for me. And for example there is a company - KickCity their KCY tokens will be both shares and may be used as paying instrument. So which type of tokens is their one ?  

Pls, explain pros and cons of both. Examples are welcome.
To best of my own knowledge utility token are the token you can use for a service property for example you can use it to purchase an estate, house etc telcoin is also another example of utility token the concept is integration of Telecom into blockchain.
Security token are token offered mainly for the purpose of getting an ROI at the end of certain time promised or written in their whitepaper. An example of security token is envion.
newbie
Activity: 28
Merit: 0
January 31, 2018, 11:09:30 AM
#5
Security tokens offer you direct profit, primarily from the efforts of others, like dividents, revenue share or price. If token being sold as an investment and there is a person upon whom investors rely - it is security token
Is it possible they to be both utility and security at the same time?
member
Activity: 275
Merit: 11
January 31, 2018, 11:07:51 AM
#4
Utility tokens also called user tokens or app tokens,it represent future access to a company’s product or services.The characteristic of utility tokens is that they are not designed as investments and this feature exempts utility tokens from federal laws governing securities.While the security tokens are derive its value to external tradable assets,and these tokens are subjected to federal securities regulations and failure to comply with these regulations will comply some penalties that might slowed the project.
newbie
Activity: 15
Merit: 0
January 31, 2018, 11:02:48 AM
#3
Security tokens offer you direct profit, primarily from the efforts of others, like dividents, revenue share or price. If token being sold as an investment and there is a person upon whom investors rely - it is security token
newbie
Activity: 9
Merit: 0
January 31, 2018, 10:51:18 AM
#2
I believe they are regulated differently theis is the main difference. But I am not sure  Huh
newbie
Activity: 28
Merit: 0
January 31, 2018, 10:30:18 AM
#1
Hi,
could you explain me what is the difference between Utility tokens and Security tokens?

As I understand utility ones are used for paying and security as crypto shares or smth. But it is still confusing for me. And for example there is a company - KickCity their KCY tokens will be both shares and may be used as paying instrument. So which type of tokens is their one ?  

Pls, explain pros and cons of both. Examples are welcome.
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