The crypto community is in a constant battle with the SEC over whether tokens are a security or not. A security is a highly regulated contract that allows for partial ownership of a business or valuable item. If a crypto token is a security, they are subject to much stricter regulations. These regulations prevent many tokens from being traded legally in some places. Polymath decided to make it easier for securities to be created on the blockchain. By making sure their token is compliant and then offering that tokenized regulatory compliance as a service, other companies are able to use POLYMATH to raise funds on the blockchain.