Polymath Token Review
When investing in virtual currency, you need to do your research. We provide you with reviews of each world top cryptocurrency out there, so that you can find the best crypto coins to invest in for you. This is a review of Polymath Token.
Origin & Background
Polymath is working with legal teams to create a platform on which tokens can be used to represent securities. The Polymath platform believes that security tokens, which are tokens that act like stocks, bonds or equity, are the next big step in cryptocurrency.
After Polymath launches its own platform, users will be able to create tokens on top of it. Similar to how Ethereum allows for ERC-20 tokens, the Polymath network allows users to create ST-20 tokens. These tokens will legally represent securities such as stocks, bonds, LP shares (for private equity), and real estate.
Security Token vs Utility Token
Security token: ownership of asset, investors expecting profit, regulated offerings with KYC (know-your-customer) information
Utility token: access to protocol, unregulated crowdsales
There is a massive debate whether ERC-20 tokens are security tokens or utility tokens. As a utility token, it would function similarly to in-game money. Whereas security tokens are subject to many regulations and needs to comply with security laws.
Why Tokenize Securities?
Tokenized securities are programmable, allows for more democratized fundraising (allowing even the unbanked to participate) and have no fees to middlemen.
The Polymath team is composed of some well-known players in the cryptocurrency space. The CEO is an original investor/advisor in Ethereum. Furthermore, the list of advisors is very impressive. For instance, it includes the CEO of Overstock, a co-founder of Ethereum and the founder of Shapeshift.
Finally, if you have concluded that this is the coin for you, congratulations! Buy Polymath Token here.