ICO or STO: Who Wins?

Enter the STO

  • front running, in which a company or individual trades ahead of the investor (this is possible because they can see the investor’s decision to buy before it is added to the blockchain) and then dumps the shares when the price goes up to make a profit
  • pump and dump, in which a group of investors works in collusion to buy a lot of tokens to drive the price up. Once the price reaches an agreed-upon point, the pump and dump schemes dump their coins, driving the price back down, hurting the investors duped by the false momentum
  • painting the tape, or washed trades, in which a group of investors trade back and forth amongst themselves to create the facade of liquidity.

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Stobox Tokenization

Stobox Tokenization

Compliant fundraising solution for small and medium-sized enterprises, investment funds, and real estate developers from an award-winning company.