Tokenization as a new form of creation liquidity into the market.
From Security Tokens for investment purposes to Non Fungible Tokens (NFT), the market is now growing.
Security Tokens are tokens representing a potential investment, under the Howey Test from the SEC sentence. Security Tokens radically differs from Utility Tokens and Payment Tokens. Security Tokens may bring an income, that does not necessarily comes from the owner’s effort. That is why we speak of Security Token Offering rather than Initial Coin Offering. STO vs ICO.
Non fungible token are seeing a great rise in the last year, thanks to the digitalization of art. But NFT for art digitalization is not just taking a photo. It is a High Definition photo minted by the portrait creator, meaning that this will be a limited certificate for the digitalized art, created from the legitimate art creator.
In such a way, NFTs as a way to certify property, existence, originality, and much more have become the Entry level application for Security Token and Tokenization.