BitcoinHD (BHD), a US Securities and Exchange Commission-approved  Security Token  Security Token Security tokens are cryptocurrency tokens that represent a contract into an underlying security, which could include stocks, funds, bonds, and real estate investment trusts (REITs.) Security tokens can also be used as a method of fundraising. A security token offering (STO) is similar in nature to an initial public offering (IPO), however involves tokenized digital securities, known as security tokens. These are then sold in cryptocurrency exchanges. Tokens can be used to trade real financial assets such as equities and fixed income, and use a blockchain virtual ledger system to store and validate token transactions.In a regulatory sense, tokens are classified as securities and are more susceptible to oversight. This makes them more secure relative to other alternatives such as initial coin offerings (ICOs), which have resulted in countless cases of fraud.Many STO can also be held on regulated stock exchanges that can be characterized as tokenized IPO. These offerings have benefits, including the potential to deliver significant efficiencies and cost savings.Where Are STOs Legal?STOs are regulated and legalized in several countries where ICOs have not. This makes them the preferred method of fundraising and are fully regulated in following jurisdictions: European Union, Germany, United Kingdom, Switzerland, United States, Canada, Brazil, Australia, Israel, Singapore, Japan, and Hong Kong.In particular, STOs are placed under securities legislation. Even in the aforementioned jurisdictions however, security tokens still require a connection to a registered company with real assets being sold.There is some degree of controversy surrounding security tokens, mainly as a means of their classification. There exists a debate surrounding security tokens as to their legal differentiation of whether they can be characterized as a utility instead of a security. Traditionally, a passive financial return is expected from the investment, thus it is classified as a security. Security tokens are cryptocurrency tokens that represent a contract into an underlying security, which could include stocks, funds, bonds, and real estate investment trusts (REITs.) Security tokens can also be used as a method of fundraising. A security token offering (STO) is similar in nature to an initial public offering (IPO), however involves tokenized digital securities, known as security tokens. These are then sold in cryptocurrency exchanges. Tokens can be used to trade real financial assets such as equities and fixed income, and use a blockchain virtual ledger system to store and validate token transactions.In a regulatory sense, tokens are classified as securities and are more susceptible to oversight. This makes them more secure relative to other alternatives such as initial coin offerings (ICOs), which have resulted in countless cases of fraud.Many STO can also be held on regulated stock exchanges that can be characterized as tokenized IPO. These offerings have benefits, including the potential to deliver significant efficiencies and cost savings.Where Are STOs Legal?STOs are regulated and legalized in several countries where ICOs have not. This makes them the preferred method of fundraising and are fully regulated in following jurisdictions: European Union, Germany, United Kingdom, Switzerland, United States, Canada, Brazil, Australia, Israel, Singapore, Japan, and Hong Kong.In particular, STOs are placed under securities legislation. Even in the aforementioned jurisdictions however, security tokens still require a connection to a registered company with real assets being sold.There is some degree of controversy surrounding security tokens, mainly as a means of their classification. There exists a debate surrounding security tokens as to their legal differentiation of whether they can be characterized as a utility instead of a security. Traditionally, a passive financial return is expected from the investment, thus it is classified as a security. Read this Term, has submitted an application with Coinbase for a listing on the exchange.

Announced on Monday, it is the first SEC-approved security token to approach the crypto exchange for a listing.

The company highlighted that Coinbase is one of the largest and reputed exchanges and listing on the exchange requires rigorous scrutiny under the terms of its Digital Asset Framework, which ensures reliability of security and code, compliance requirements, team review, scalability, market demand, and governance.

An easy way for seeking SEC's permission

The Singapore-based  Blockchain  Blockchain Blockchain comprises a digital network of blocks with a comprehensive ledger of transactions made in a cryptocurrency such as Bitcoin or other altcoins.One of the signature features of blockchain is that it is maintained across more than one computer. The ledger can be public or private (permissioned.) In this sense, blockchain is immune to the manipulation of data making it not only open but verifiable. Because a blockchain is stored across a network of computers, it is very difficult to tamper with. The Evolution of BlockchainBlockchain was originally invented by an individual or group of people under the name of Satoshi Nakamoto in 2008. The purpose of blockchain was originally to serve as the public transaction ledger of Bitcoin, the world’s first cryptocurrency.In particular, bundles of transaction data, called “blocks”, are added to the ledger in a chronological fashion, forming a “chain.” These blocks include things like date, time, dollar amount, and (in some cases) the public addresses of the sender and the receiver.The computers responsible for upholding a blockchain network are called “nodes.” These nodes carry out the duties necessary to confirm the transactions and add them to the ledger. In exchange for their work, the nodes receive rewards in the form of crypto tokens.By storing data via a peer-to-peer network (P2P), blockchain controls for a wide range of risks that are traditionally inherent with data being held centrally.Of note, P2P blockchain networks lack centralized points of vulnerability. Consequently, hackers cannot exploit these networks via normalized means nor does the network possess a central failure point.In order to hack or alter a blockchain’s ledger, more than half of the nodes must be compromised. Looking ahead, blockchain technology is an area of extensive research across multiple industries, including financial services and payments, among others. Blockchain comprises a digital network of blocks with a comprehensive ledger of transactions made in a cryptocurrency such as Bitcoin or other altcoins.One of the signature features of blockchain is that it is maintained across more than one computer. The ledger can be public or private (permissioned.) In this sense, blockchain is immune to the manipulation of data making it not only open but verifiable. Because a blockchain is stored across a network of computers, it is very difficult to tamper with. The Evolution of BlockchainBlockchain was originally invented by an individual or group of people under the name of Satoshi Nakamoto in 2008. The purpose of blockchain was originally to serve as the public transaction ledger of Bitcoin, the world’s first cryptocurrency.In particular, bundles of transaction data, called “blocks”, are added to the ledger in a chronological fashion, forming a “chain.” These blocks include things like date, time, dollar amount, and (in some cases) the public addresses of the sender and the receiver.The computers responsible for upholding a blockchain network are called “nodes.” These nodes carry out the duties necessary to confirm the transactions and add them to the ledger. In exchange for their work, the nodes receive rewards in the form of crypto tokens.By storing data via a peer-to-peer network (P2P), blockchain controls for a wide range of risks that are traditionally inherent with data being held centrally.Of note, P2P blockchain networks lack centralized points of vulnerability. Consequently, hackers cannot exploit these networks via normalized means nor does the network possess a central failure point.In order to hack or alter a blockchain’s ledger, more than half of the nodes must be compromised. Looking ahead, blockchain technology is an area of extensive research across multiple industries, including financial services and payments, among others. Read this Term project has received SEC’s approval in late March under the Form D exemption.

Form D allows companies to issue securities by disclosing only essential information. However, these companies can only approach accredited investors for raising funds.

In the United States, these investors include individuals with a net worth of $1 million or a consistent annual income of $200,000. For enterprises to fall into this category, they need to maintain $5 million in assets.

BHD is developing a platform that uses conditional proof of capacity (CPoC) consensus mechanism for mining its digital currency.

CPoC consensus mechanism uses the available hard drive space for its mining rights, rather than computing power.

According to the company, this results in lower energy consumption, reducing the entry barrier for network members. The algorithm is also ASIC-resistant to ensure a higher level of decentralization.

Meanwhile, many blockchain companies are benefiting from the SEC’s Form D expansion to raise funds without any backlash from the regulator. Last year, Finance Magnates reported that as many as 300 projects were seeking the market regulator’s approval for such exemption.