SECURITY TOKEN

Security token can be defined as the digital representation of assets. Example are real estate, fixed income and also commodities and as well products that can be traded on a block chain (distributed ledger)
These assets are securities because they are been regulated by governing bodies in the world. They dictate on how it can be given and also exchanged. Security token brings out the origin of truth that both groups can rely on. Shortly security tokens or digital securities brings together the speed and also ease of the blockchain with strong legitimate security on traditional securities.
ADVANTAGES INCLUDE:
Efficiency:
Automation of the blockchain and also its speed makes creating, giving out and moving securities faster and cheaper.
Transparency:
Security token are monitored right from the beginning that's when initiated to the end and the groups can access the origin of truth on the chain.
Reduced Risk:
They also allow obeying of rules and controls to be programmed in them, hereby inevitably locating the problem before the trade commences, this act is reducing risk.
EXAMPLE OF SECURITY TOKEN

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DEBIT TOKEN:
These type of token can be used to represent the real estate mortgages and also any debit instruments. The produce a constant dividend which rely on payments of underlying debt instrument. Its security token can be displayed by a smart contract these include the repayment terms and other related sections of the underlying debt.

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UTILITY TOKEN

The utility token is a token that helps in giving out capitals to beginners, various companies, project developmental bodies for projects.
These type of token grants access to a company's services to a certain value, but its not completely guaranteed.
Many countries do not own a monitoring framework so therefore utility tokens do not count as investments.
These token also helps a company when creating a coupon to be exchanged in the future to grant permission to its services.
EXAMPLE OF UTILITY TOKEN

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GOLEM (GNT)
These token creates an economic environment in which individuals can rent computing power ready to them.
Hereby granting those interested to use the computing power for different task.

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EQUITY TOKEN

Equity token can be defined as a token that stands for ownership rights. A way in which you hold your shares is known as tokenization in a decentralized infrastructure. These token grants a kind of security to its investors because they have a part in the incremental development of the blockchain, and also a token is been giving out relying on its exploit in the market. These token are also interchangeable within one another.
EXAMPLE OF EQUITY TOKEN

DOA which also means decentralized autonomous organization is a patriotic method of arranging and running organization, hereby applying the use of smart contracts and blockchain technology in other to ascertain transparency and security.