Complex Legal Compliance

Only handful countries have specific legal regulations for security tokens. In most countries, the present (and often outdated) security-related laws govern STO and STE transactions. Ensuring compliance with complex securities regulations results in delays and risks.

Lack of Infrastructure

At present, you can buy, sell, and trade security tokens via licensed exchanges, which are very few. Plus, the time lock period allows you to trade security tokens between qualified investors for a limited time period only.

Nascent Market

The concept of security tokens and their application is still in its infancy and so is the market. As a result, trading volume and consequent liquidity are limited. Hopefully, with better legal compliance and awareness, the market will overcome these challenges.

This is a small section from our extensive market report on security token Offering (STO). If you would like to get complete hold over the nuances of this market with the present and future predictions, the key players, and how to build your own security token exchange, click here for the full research report.