The Future of Digital Assets
In 2016, Overstock conducted an SEC-registered rights offering, which included an opportunity to purchase Overstock’s Blockchain Voting Series A Preferred Stock (OSTKP). OSTKP does not trade through the facilities of NSCC or DTCC, but rather trades utilizing a suite of software technologies referred to as the tZERO Issuance and Trading Platform (the “tZERO Platform”). OSTKP trades exclusively on the PRO Securities ATS, which utilizes the tZERO Platform and blockchain technology.
While the offering of OSTKP served as a milestone for the issuance and trading of digital securities in a manner that utilized blockchain technology, the application of the tZERO Platform to trading of OSTKP is subject to limitations.
The tZERO Platform was a massive undertaking and historic achievement that sets the stage for tZERO to develop a securities token platform.
tZERO intends to leverage its experience and expertise in developing and maintaining the tZERO Platform to develop a trading platform that is capable of trading security tokens (i.e., tokens or coins that are determined to be securities for purposes of U.S. securities laws).
As a result of its activities to date, tZERO has been at the forefront of the e ort to bring greater efficiency and transparency to capital markets through the integration of blockchain technology.