Initial Public Offering VS Security Token Offering

The initial public offering (known as IPO) was the first foundation of the modern financial system. This is a type of public offering in which part of assets is offered to an institutional or retail investor.

The company gives up part of its shares, making them available to shareholders who then trade them on the stock exchange. A private company announces IPO, and the process is called publicity. This gives you great opportunities to raise funds for the company.

STO or security token offer is a legal investment agreement under which digital tokens are issued to investors, but with an underlying asset, which may be shares or bonds.