Many factors go into choosing the jurisdiction including how the country handles compliance and regulations. Of course, you will want to use a jurisdiction with fair and not unduly burdensome regulations but also one that has very clear and well established laws. Having clear and well established laws can make it easier to find good legal counsel that can assist in your offering and can also offer more assurances for the potential investors.
Because security tokens are a regulated financial product, most countries will have established regulatory bodies and rules to govern the transactions. Some of the main issues to consider for Security Token Offerings and other important factors to consider are listed below.
The Securities and Exchange Commission (SEC) is the most well known financial regulatory bodies in the world. The SEC provides clear and well established offering rules and often used exemptions for conducting offerings without having to get approval from the Commission. The Commodity Futures Trading Commission (CFTC) is also a regulatory body to be aware of in the United States.
Canada: Similar to the USA, Canada has multiple exemptions for registering securities. The most common utilized exemption is the sale of your Security Token to accredited investors who must meet certain income thresholds such as an individual income of $200,000 a year.