While 2017 marked the emergence of ICOs, 2018 is greatly considered as the year that regulations were put in place to control the ICOs. However, 2019 seem to be the year that security tokens are going to dominate. And crowdfunding giant Indiegogo is keen on being one of the leading companies in offering ICOs then, evident by its recent undertakings of offering ICOs as seen just a few weeks ago.
Indiegogo’s new service is hosting the sale of the digital tokens on behalf of the luxury ski resort St Regis, which is located in the Colorado Rocky Mountains. On the other hand, cryptocurrencies used for the ICO are issued by Aspen Digital – a real estate investment trust. The offering is restricted to certified investors, and it allows them to purchase Aspen Coins, where each token prize goes for $1.00 with a minimum investment of $10,000. The overall offering size of the ICO is set at $18 million.
Commenting on the new partnership, Stephane de Baets, the asset management organization that owns St. Regis Aspen Resort, said that security token offerings are the best way to invest for the future. He said, “Security token offerings are the investment tool of the future, a mechanism designed to store wealth by utilizing income-producing digital assets.”
“By allowing access to investing in traditional assets like real estate, we are creating a new opportunity for investors to explore an ownership stake in something previously only accessible to private investors and high net worth individuals. Indiegogo is a well-known and trusted name in alternative funding and cryptocurrency, making them an incredible partner for us to leverage their influence, experience and global audience.”
Indiegogo’s tokens will enable potential investors to indirectly own an equity share in Aspen Digital, a crypto brokerage company that’s located in New York. The tokens can be purchased using Bitcoin, Ethereum and the USD.
Indiegogo justified their choice of STOs over ICOs, even though the two share so many similarities, citing that the security tokens STOs operate under strict regulatory provisions. This means that the STOs are widely considered safer, although companies using the STOs must ensure that all their dealings are as compliant as possible.
According to CCN, Indiegogo has once set up an ICO platform back in December 2017. During this time, it listed the Fan Controlled Football League project that quickly achieved its $5 million funding target. Since then, there have been numerous interests from multiple companies seeking to launch their token sales through Indiegogo’s platform to no success. In fact, since the FCFL project, the company has not listed any more ICOs until the Aspen Coins project.