How the Creation of Aladin Tokens Impacts Funding for Thriving Firms Through Blockchain

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AladiEx

4 min readJul 24, 2020

Through tokenization, this transforms an asset into a security token that relies on the blockchain infrastructure. A security token works like traditional security (e.g. bond or stock). This is supported by a tangible asset such as equity or debt. Also, it presents ownership that provides rights (e.g. dividends or votes) that are regulated.

The disparity between a conventional share and a security token is highlighted in the latter’s ability for ownership of programmability, including regulation, where rules are created that are instantly implemented and executed across different blockchain service providers. Programmability enables security tokens to modernize the current markets and promote the value that was earlier unavailable.

Building New Markets

The future capital markets will be defined by how easily the new digital tokens can be used and how users can access them with minimal issues. In case these tokens are widely circulated, tokenization can deliver instant engagement with the capital markets to loosen the purchasing or selling goods using eBay or Amazon. Security tokens provide different enhancements to common processes.

Launching of AladiEx

AladiEx is an emerging digital platform that enables many enterprises to raise capital for their global projects in a low-cost while minimizing business challenges. It assists investors worldwide to invest in potential projects easily, manages their assets, and provides them with great trading tools. Here are some benefits that AladiEx’s Aladin tokens provide:

Quicker Liquidity. Liquidity is one main feature that is addressed by Aladin tokens. Security tokens enable the automation of the verification process. For settlement periods that usually require two business days when transacting in public markets or longer weeks in the private markets could be shortened using digital tokens. Also, security tokens lead to cheaper tracking investments and ease managing the fractional asset sale.

Automated Compliance. Compliance is one enhancement that security tokens provide the capital markets. Validating for full compliance through manual approach takes a tedious process to complete. Much time and effort are required with the absence of an automated tool. In turn, this means incurring higher costs for both parties such as private individuals (the investor) and the public servant (the SEC).

In the case of smart contracts, these are encoded using programmable logic around investor verification (KYC/AML), regulatory schemes (Reg A, Reg D, Reg CF or Reg S), and trading protocols (P2P or decentralized exchanges). The innovation brought by this automated system is reducing costs for funding issuers because of inexpensive contract management and regulators’ capacity to enforce pre-determined approaches working as prevention instead of intervention.

Reliable Exchange. Security tokens like Aladin tokens also provide enhancement that enables asset transfer like when transferring money or emails. This innovation is known as interoperability. Blockchain technology ensures the exchange of security tokens through the general protocol in a venue where the shifting of private market value is secured. Interoperability enables the efficient provision of more services related to the value of the assets owned by the investor like the partial asset allocation for collateral.

Upon integration, these three tokenization benefits are helpful to a certain extent in the secondary market for the securities while minimizing issues during the trading process. Fewer hassles mean faster and more convenient trading exchange. They bring new doors for potential market members who are earlier cautioned to trade in security tokens. As many new members participate in the trading, this increases the buy and sell exchanges at every price point.

Synergy in Action Brings Positive Market Impacts

When everything is all set, security tokens and the surrounding infrastructure can contribute to an efficient issuance and securities transfer at an affordable cost without counter risks. In the process, they will hasten the incorporation of the financial system, based on the regulations, under a universal standard that promotes synergies to all members. In the process, security tokens can freely be transferred through an interoperable blockchain, ensuring a pool of investors, automating compliance, and ownership transfer while maintaining asset tracking in an immutable ledger. Also, this makes settlement processes to take place instantly.

Shifting from the current process to a security token-based model requires time. The benefits of tokenization can bear fruit when the infrastructure is developed and adopted by all industry players. When fully realized, the effects of digital tokens can be dramatic, improving capital markets and financial transactions.

ATO: Investing at a Fair Value

Aladin Token Offering is AladiEx’s unique means of selling tokens while promoting optimum investors’ safety as they shell out their money and assisting their chosen global projects to succeed.

Many successful projects are executed through blockchain technology. AladiEx achieves its targets by highlighting its blockchain and employs Aladin tokens in its current projects. This digital platform used in the Ethereum network has Aladin tokens and expected to be migrated in the future. Learn more about the benefits of ATO at https://aladiex.io/

It is best to evaluate your selected digital token and the related economy when making an investment decision. Keep in mind that the token price is affected by the basic principles of economics like in the case of the law of demand and fair value. Always evaluate the token’s base value and its current and potential prices after attaining your desired business goals.