tZERO Launching Next Week, Says Overstock CEO Patrick Bryne

Jan 20, 2019 at 08:02 Update Date :Jan 20, 2019 at 08:02 UTC

Overstock is ready to launch its new venture, tZERO, a security token trading platform, as early as next week, said CEO Patrick Byrne on Friday.

In conversation with the media, Bryne said that he was “ready to hit the button and go live today,” but the company has decided to postpone the launch by another week to process user signups.

Being a regulated alternative trading system (ATS), tZERO will offer a security and settlement platform, modeled on the fundamentals of blockchain technology.

Delivered tZERO as Promised

In December 2018, Jonathan Johnson, president of Medici Ventures, Overstock’s venture fund and tZERO’s direct parent company, had provided a timetable of the launch and the company has, in fact, adhered to its timeline very well.

In August last year, the company had reportedly started offering security tokens and had created a market of nearly 1,000 investors and sold tokens worth $ 134 million. As of Jan.10, the firm is giving control of these security tokens, which had been kept in custodial wallets, back to their clients.

Notifying investors via a letter, tZERO has informed users of their access to tokens which they could put into a brokerage account with brokerage services being offered by tZERO partner Dinosaur Financial Group or could put them in a personal wallet.

The trading platform will be initially presided over by Steven Hopkins, who was very recently the Chief Operating Officer and General Counsel at Medici itself. Two key executive positions – head of issuance and head of an in-house broker-dealer, however, remain unfilled as of now.

Bryne hopes to unsettle those established security trading platforms he has challenged frequently over the past decade. Even though the launch is stipulated for next week, the company has already begun to work towards making it better than existing security token exchanges.

In December last year, tZERO had acquired Bitsy, a crypto wallet startup in addition to being hired by GSR Capital, to create a token for cobalt trading. GSR Capital is also said to have bought tZERO security tokens worth $ 30 million.

The platform will initially allow investors to trade with tZERO tokens and will slowly integrate the 60 different companies listed on its platform, Bryne said.

 

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