STO Marketing Agency

A security token offering, or an STO, is a form of fundraising in which security tokens are sold. In comparison to ICO, IEO, or IDO, STO is more focused on the legal aspects of fundraising, ensuring that the token sale process fully or partially complies with the securities-related laws of the specific country, region or jurisdiction, in which the STO is held.

STO may refer to the sale of security tokens on special STO platforms or to the sale of tokens privately to funds and/or institutional investors. In both cases, the meaning is completely correct.

There is no significant difference between STO marketing and blockchain marketing, except that security token marketing usually doesn’t include overly aggressive marketing tools (for example, crypto shilling). In addition, the legal team is putting more of an emphasis on ad wording to make sure that everything is done correctly, and no unlawful misinformation is present.

It depends on your meaning of STO and how you intend to implement it.

The first option is a private security token sale, in which coins will be purchased primarily by funds and institutional investors. The second option is to launch STO on specialized STO platforms. Also, the jurisdiction of your project has an impact on the size of your STO marketing budget because the rules in some countries are extremely strict, limiting your marketing techniques and tools.

In general, the STO marketing budget could range from $15,000 to $50,000 per whole token sale campaign, which typically lasts 3-4 months.

If you’re looking to hire a digital marketing agency to take care of your STO promotion, you shouldn't limit the search to only STO-related agencies. Competent and reputable marketing firms are a better option because you will require numerous articles, press releases, and influencer posts, which small STO agencies cannot provide.

When deciding which agency to hire, consider their portfolio (the more clients they have worked with, the better), marketing team, and clients testimonials.

Here is a list of things you should avoid including in your STO marketing strategy:

1. Search Engine Optimization. SEO is a good lead generation tool for lots of crypto and Web3 start-ups, but it’s not a perfect tool for STOs because token sale marketing campaigns are usually only 3-4 months long, which isn't enough time to see significant results from SEO.
2. Email marketing. Even if you have an extensive list of emails of private crypto investors or blockchain VC funds, you should pay attention to the legal side of the question because you're going to make a STO. Sending bulk emails — which are technically considered spam — with financial advice to purchase security tokens can sometimes be against the law.
3. Airdrop and bounty. Launching such campaigns is risky due to the legal implications.
4. Shilling on crypto forums and social media with crypto community. Again, from a legal standpoint, this is risky.