Phase 8: Define the Security Token Offering (STO) Framework

The Security Token Offering (STO) framework outlines how the offering will be conducted, who can participate, and under what terms—helping to meet regulatory requirements, protect investors, and build trust in the project.

In this stage, you will define the formal parameters of your Security Token Offering (STO) to ensure it operates within a clear and compliant structure. This includes specifying the registration status of the offering—whether it is registered, exempt, or conducted under a specific regulatory framework. Additionally, you will need to outline the STO parameters, such as offering size, pricing, investor eligibility, and duration. These details ensure the offering aligns with legal requirements and investor expectations.

To further support the legitimacy of the STO, you will upload the Security Token Purchase Agreement, which outlines the rights and obligations of all parties involved. You must also provide legal verification of the offering, confirming that the entire process complies with applicable laws and has been reviewed by legal professionals. These steps are essential for demonstrating transparency, minimizing regulatory risk, and building credibility with potential investors.