healthbank has announced that it was named the top security token offering (STO) project at the inaugural Security Tokens Realised conference.
“We are thrilled to be selected as having the best STO and believe that it was a combination of our technology, established user base, team and the fact that we have already secured more than 3.2 CHF in funding that helped us secure this win,” said Karsten Stampa, COO of healthbank.
Security token offerings are growing in popularity and reportedly generated over $380 million in investment between April 2018 and January 2019 in investment for new companies.
“Like other traditional investments, healthbank STO participants will have access to annual dividends, access to the healthbank cooperative and access to the platform if desired,” added Stampa. “The decentralised ethos of an STO aligns well with healthbank’s cooperative structure because we are putting control of personal health data back into the hands of the patients, and aligning the interests of patients with the interests of the company – rather than aligning the company direction with the interests of shareholders who are not patients.”
A cooperative structure allows individuals to own and control their own health records. The company is moving its private keys and record ownership data to blockchain so that no matter where a patient is, they will be able to prove that they own and be able to access their medical records. This enables continuity in that patient record data that is not always possible with traditional methods. Further, by structuring the company as a cooperative – the incentive to protect rather than sell health data remains, because the company is owned by its users.
“An STO makes perfect sense for us because it is grounded in decentralisation, just like healthbank. We believe that every person accumulating health-related data should retain full individual control over their own data and be able to access it freely. Further, this data must never be owned by corporations but only by those people generating it,” added Stampa.
“healthbank won the STO pitch competition as a blockchain project without doing an ICO. They raised venture funding, built a product, acquired hundreds of thousands of users, have paying customers, and have formidable partners. Fundamentals rather than hype is the only way forward for blockchain projects.” Richard Foster, CEO of Security Token Network.