How a digital securities offering works

  • Updated

A digital securities offering is a capital-raising process, conducted under securities law, in which an issuer offers digital securities to investors in exchange for crypto-assets or fiat currency.

Every digital securities offering on STOKR follows the same structure:

  1. Offering setup – the issuer defines the investment period, terms and the digital securities being issued.
  2. Issuance – the digital securities are issued via STOKR exclusively on the Liquid Network, the Bitcoin sidechain STOKR uses for all digital securities issuance.
  3. Investment period – investors subscribe to the offering via stablecoins, fiat currency, or Bitcoin during a defined window.
  4. Settlement – at close, STOKR distributes digital securities to investors' wallets and transfers the raised capital to the issuer, net of fees.

Holding digital securities issued via STOKR requires a Liquid Network-compatible wallet, such as SideSwap or Blockstream app. See "Connecting a wallet to STOKR" for setup steps.

Was this article helpful?