Standard Tokenization Protocol(STP) explained for the beginners.

Tokenization is a method that converts rights to an asset into a digital token. Suppose there is a $200,000 apartment. Tokenization can transform this apartment into 200,000 tokens (the number is totally arbitrary, we could have issued 2 million tokens). Thus, each token represents a 0.0005% share of the underlying asset. Finally, we issue the token on some sort of a platform supporting smart contracts, for example on Ethereum, so that the tokens can be freely bought and sold on different exchanges. When you buy one token, you actually buy 0.0005% of the ownership in the asset. Buy 100,000 tokens and you own 50% of the assets.

Thus, STP(Standard Tokenization Protocol) take an asset, tokenizs it and creates its digital representation that lives on Blockchain. Blockchain guarantees that the ownership information is immutable. STP Provides a new smart contract protocol framework for token offerings of all types. By issuing a permissioned ERC-20 token (STP) on the Ethereum blockchain, STP ensures that compliance considerations are met at the token level through STP token’s adherence to the Compliance Validator restrictions. So , we can say that Standard Tokenization Protocol’s STP-Standard is an open-source decentralized standard that defines how ownership of tokenized assets are generated, issued, sent, and received while complying with all necessary regulations.

For more information please, go to their website and join their social media pages:

Website: http://stp.network/

Telegram: https://t.me/STPofficial

Twitter: https://twitter.com/STP_Networks