Overstock’s tZERO Launches Regulated STO Platform Next Week

Overstock.com’s Blockchain Blockchain Blockchain comprises a digital network of blocks with a comprehensive ledger of transactions made in a cryptocurrency such as Bitcoin or other altcoins.One of the signature features of blockchain is that it is maintained across more than one computer. The ledger can be public or private (permissioned). In this sense, blockchain is immune to the manipulation of data, making it not only open but verifiable. Because a blockchain is stored across a network of computers, it is very difficult to tamp Blockchain comprises a digital network of blocks with a comprehensive ledger of transactions made in a cryptocurrency such as Bitcoin or other altcoins.One of the signature features of blockchain is that it is maintained across more than one computer. The ledger can be public or private (permissioned). In this sense, blockchain is immune to the manipulation of data, making it not only open but verifiable. Because a blockchain is stored across a network of computers, it is very difficult to tamp Read this Term subsidiary tZero will launch its own Security Token Security Token Security tokens are cryptocurrency tokens that represent a contract into an underlying security, which could include stocks, funds, bonds, and real estate investment trusts (REITs.) Security tokens can also be used as a method of fundraising. A security token offering (STO) is similar in nature to an initial public offering (IPO), however involves tokenized digital securities, known as security tokens. These are then sold in cryptocurrency exchanges. Tokens can be used to trade real financial as Security tokens are cryptocurrency tokens that represent a contract into an underlying security, which could include stocks, funds, bonds, and real estate investment trusts (REITs.) Security tokens can also be used as a method of fundraising. A security token offering (STO) is similar in nature to an initial public offering (IPO), however involves tokenized digital securities, known as security tokens. These are then sold in cryptocurrency exchanges. Tokens can be used to trade real financial as Read this Term platform next week, Coindesk reports, adding to the growing trend of tokenized securities in a maturing crypto industry.

As a regulated alternative trading system (ATS), tZero will offer a securities clearing and settlement platform based on the blockchain that lets companies raise capital with security tokens. One crucial element of tZERO's offering is its aim to develop a solution compliant with US securities regulations.

The startup has already begun distributing control of its security tokens, which were bought by over 1000 investors in August 2018 in a token sale that was immediately met with significant levels of interest. Nearly $134 million worth of tokens were kept in a custodial wallet until January 10, 2019.

A full-blown bet on cryptocurrency

tZERO can now launch its own STO after acquiring the necessary financial brokerage licensing. In addition to its native tZERO token, the company plans to create further openings for potential 60 clients and run its business on the same model that its clients would use.

Overstock’s CEO and founder Patrick Byrne said that his company is “ready to hit the button and go live today, but was waiting a few more days to process user signups.”

Byrne said in November that Overstock plans to sell its decades-old retail business in the next few months as it intends to focus on its blockchain business. The company runs its cryptocurrency unit tZERO as well as a VC subsidiary named Medici Ventures.

Overstock is a prominent US online retailer that also runs multiple blockchain-oriented startups. The company made headlines earlier this month after announcing it would pay a portion of its business taxes in Ohio in Bitcoin, as the Amazon rival continues to make way for a full-blown bet on cryptocurrency.