LogoLogo
  • Welcome to Stobox
  • Stobox Company
    • Overview
      • Key Tokenization Trends
      • Tokenization Market Challenges in 2025
      • Stobox’s Mission and Business Objectives
      • Business Model Framework
      • Market Demand & Business Cases
      • Compliance & Security
      • Advantages
      • Values
      • Social Impact
    • Stobox Assets
      • Stobox Token (STBU)
      • Stobox Security Token (STBX)
    • Investor Relations
  • PRODUCTS
    • Stobox 4
      • Introduction
      • Stobox 4 Platform Roadmap 2025
      • Key Features
        • Wallet Management
          • Understanding MPC-CMP
          • Multi-Device Security
          • Multi-Blockchain Support
          • Full Private Key Takeover πŸ”₯
          • Supported Assets
        • Blockchain dApps Connectivity
        • Compliance and Regulatory Framework
        • Asset Tokenization Module
        • Tokenization AI Framework
        • Roles and User Management System
        • Financial Operations, Integration, and Settlement Mechanics
        • Trust, Transparency, and Audits
      • Integrations
        • Blockchains
        • Protocols
        • Assets
    • Stobox V3
      • DS Dashboard V3
      • DS Swap
      • STV2 Stobox Protocol
        • Roles
        • Limits
        • Mint, Burn and Treasury Management
        • Lock-Ups
        • Contract Governance
    • STV3 Stobox Protocol
    • Stobox DID
    • Stobox Oracle
  • ENTERPRISE
    • Stobox API
    • Stobox 4 Whitelabel
  • TURN-KEY SERVICES
    • Stobox 3 Tokenization Suite
      • FAQ
  • CONCEPTS
    • Tokenization of Time
      • Introduction
      • Exploring the Benefits of Time Tokenization
      • Mechanism of Time Tokenization
      • Liquidity in Professional Services
      • Global Impact and Solutions to Systemic Issues
      • Time-Backed Securities and Investment Funds
    • The Power of Single Ledger Settlement
      • Chapter 1: Introduction to Single Ledger Settlement: Understanding the Basics
      • Chapter 2: Tokenization: The Digital Transformation of Assets
      • Chapter 3: How Single Ledger Settlement Works
      • Chapter 4: Revolutionizing the Auto Dealership Industry
      • Chapter 5: Supply Chain and Logistics – Enhancing Transparency and Efficiency
      • Chapter 6: Tokenization in Real Estate – Simplifying Transactions and Ownership
      • Chapter 7: Healthcare – Streamlining Patient Data and Payments
      • Chapter 8: Smart Contracts – Automating and Simplifying Business Processes
      • Chapter 9: Digital Payments – The New Era of Instant, Transparent Transactions
      • Chapter 10: Tokenization and Payroll – A New Frontier in Employee Compensation
      • Chapter 11: Reducing Costs with Single Ledger Settlement
      • Chapter 12: Legal Implications and Compliance
      • Chapter 13: Overcoming Challenges in Adopting Single Ledger Settlement
      • Chapter 14: Case Studies – Real-World Applications of Single Ledger Settlement
      • Chapter 15: The Future of Business Operations – A Unified Ledger for the Global Economy
  • DeFi
    • Staking Program
Powered by GitBook
On this page
  • Common Token Rights
  • Why This Step Matters

Was this helpful?

  1. DeFi
  2. Deprecated
  3. Tokenization Wizard
  4. Jurisdiction & Legal Entity Formation

Defining Token Rights

Token holders may have various rights, depending on the business model and investment structure. Clearly defining these rights ensures regulatory compliance and investor protection.


Common Token Rights

  • Voting Rights – Token holders may have voting power in company decisions.

  • Dividend Rights – Investors receive a share of profits or operational income.

  • Liquidation Rights – Token holders may have claims on the asset in case of liquidation.

  • Conversion Rights – Security tokens may be convertible into shares or equity.

  • Redemption Rights – Token holders can redeem their tokens under specific conditions.


Why This Step Matters

  • Ensures legal clarity and enforceability of investment rights.

  • Aligns token structure with investor expectations and risk profiles.

  • Supports liquidity planning and secondary market trading options.


By defining token rights properly, issuers ensure that security tokens remain compliant, transparent, and investor-friendly.


Last updated 1 month ago

Was this helpful?

2️⃣