tZERO, the blockchain technology subsidiary of Overstock.com has revealed a prototype of its planned security token trading software. A demo video was released today that shows how security tokens may be traded.
The platform is designed to trade blockchain tokens in an easy, compliant, and user-friendly manner. The system is integrated with tZERO’s existing 15c3-5 risk management software, order management system, matching engine, and proprietary technology to support the eventual trading of security tokens.
Last September, tZERO announced its plans to take the lead in developing an alternative trading system for US SEC compliant trading of security tokens such as those generated during ICOs.
One of the first tokens to trade on the tZERO token system is sure to be their very own security token. The private offering for the tZERO security token commenced December 2017. On March 1st, 2018, tZERO announced that it had extended the security offering until May 14, 2018. tZERO will enter into Simple Agreements for Equity (SAFEs) only with accredited investors pursuant to the terms and conditions set forth in the Offering Memorandum, dated March 1, 2018, for the token sale.
Overstock.com and tZERO CEO Patrick Byrne said, “In August 2015, Overstock used tZERO’s blockchain technology to issue what we believe was the world’s first private blockchain security, a $5 million bond to First New York Securities. In December 2015, Overstock filed with the SEC an S-3 registration statement to register a preferred stock digital security utilizing tZERO’s blockchain technology, which was subsequently declared effective in December 2016. Overstock used that S-3 to issue what we believe was the world’s first public blockchain security, OSTKP, utilizing tZERO technology once again. Now we are unveiling tZERO’s security token trading software: the astute viewer of our progress can look at this, and the collection of strategic assets we have assembled, and get an idea of the breadth of what we intend.”
“Technologically speaking, we anticipate the security token trading software will be ready to trade security tokens in May, subject to developing further regulatory clarity,” said tZERO president Joe Cammarata. “We have been working hard on getting this prototype right and look forward to user feedback. We’re making history and we thank everyone involved in creating this new digital ledger platform. We also want to thank our customers; we’re doing this together.”