I think security tokens have a brighter future than utility tokens.
The challenge for people in the US is that SEC aggressively prosecutes entities that sell securities without a license. The laws surrounding securities force companies into selling securities through centrally controlled exchanges.
A security refers to an actual physical thing that has value. If one sells a security token in the United States; the SEC will swoop in and confiscate the security.
The cyberworld might be able to break the constraints of the SEC if two things happen. The first step is to create an open ledger that honestly and openly accounts for all the trades of a security.
With such an open ledger in hand, it would be possible to prove that crypto technology can do a better job than traditional exchanges.
The second challenge to making security tokens a success is to resist the calls for regulation.
People are already saying that the reason crypto has wild swings in price is because crypto lacks regulation.
The reason that the price of crypto swings so violently is because are no securities backing up the crypto.
Crypto is in a free fall because there are no securities that will kick in and buy the crypto. The only thing backing up STEEM is naive youthful exuberance. We are repeating the dot com bust which was held up simply by irrational exuberance.