The Community Speaks segment is written by select members of cryptocurrency coin or token project communities who want to update the Altcoin Buzz Army about news surrounding the project they represent. The goal of the Community Speaks Segment is to bring these community members in to introduce the Altcoin Buzz Army to their opinions surrounding their respective projects and keep them updated on its progress. Any ideas or opinions expressed here do not necessarily align with those of the Altcoin Buzz core team.

Polymath and the Birth Of the Security Token Offerings

Polymath is a company that has proudly claimed to be the Ethereum of security tokens. Polymath created the STO-20 standard, that’s short for “Security Token Offering”. That might remind you of ICO or initial coin offering. It was the 2017 ICO explosion that inspired Trevor Koverko to create Polymath. Polymath is a company dedicated to making a platform where commodities, venture funds, venture capital, and real estate can tokenize their asset. People can create an STO-20 token on the Polymath blockchain the same way someone can create an ERC-20 token on the Ethereum blockchain.

Many blockchain and cryptocurrency specialists have claimed security tokens will be huge. Why is that? The main reason for this is because security tokens are an asset that has value according to the company you are interested in. It’s like owning a stock but the digitized token version of it. The Polymath company has worked hard when it comes to networking. They constantly go to events and do interview segments with many of the big names present at the conferences. Your network is your net worth and Polymath’s constant mingling at blockchain conferences could really pay off down the line.

It was just the other day that the SEC penalized two ICO’s, air fox and paragon coin, for running a securities sale before registering with the SEC. They made them offer to refund the money to their investors, which is more than 12 million American dollars. The SEC also required that they file as a security token and pay a fee of $250,000. How can a company prevent this from happening to them? Very simple, they have to acknowledge that they are offering a security and need to take the steps to legally conduct their securities sale. Polymath provides an ecosystem for you to create a security token. However, they do not help you raise funds for your venture.

People will think Polymath is a good investment in the future because of the same way they think of Ethereum. A story that breaks my heart is one told to me by my cousin. He was told about Ethereum at $5 and he did not pursue the investment even though the suggestion came from a family member. 8-12 months later Ethereum hits $1200. It broke my heart because he didn’t even tell me. Now I make sure to tell the people closest to me about what I think will be a good investment when the security token ecosystem fully blossoms.

Polymath is competing with Securitize. Securitize offers the same services but only to accredited investors. The average joe like me cannot really get in unless they have deep pockets like an accredited investor. Polymath is a different story and that’s why I think it will surpass its competition because it appeals to the average Joe, the institutional money, and companies. If you compare the Securitize community to the polymath community, Securitize’s community is one-tenth the size of Polymaths, and we all know that a strong community can propel a company into the next phase of its adoption.

Thanks for reading this piece about Polymath. To learn more visit their site polymath.network.

This article was brought to you by a member of our Community Speaks team. The Community Speaks team is made up of members of different project communities who want to make their voice heard in the Altcoin Buzz community. If you are interested in becoming part of our Community Speaks team please contact @Garrett59 on telegram.

 

LEAVE A REPLY

Please enter your comment!
Please enter your name here