01.25.2019

tZero Begins Secondary Trading

Digital exchange operator tZERO, the global leader announced today that secondary trading of tZERO security tokens is now live. Accredited investors can now trade tZERO security tokens with other accredited investors through a digital securities brokerage account at Dinosaur Financial Group, LLC, which will act as the introducing broker-dealer. Dinosaur has partnered with PRO Securities, LLC, a tZERO subsidiary, which offers an alternative trading system to provide market access for secondary trading of the tZERO security tokens, during market hours initially.

tZERO, which provided the technology behind trading of the world’s first public digital asset, OSTKP, in 2016, raised $134 million from over 1,000 global investors during its highly publicized security token offering (STO), which closed in August 2018. Following the mandatory 90-day lock-up period, investors now have an efficient path to liquidity through the blockchain for the first time ever. Additionally, as a result of this historic milestone, tZERO has laid the groundwork for the trading of other tokenized assets, such as debt instruments, commodities and real-estate.

“A new efficient and transparent path for capital formation via blockchain is now a reality, but those who have followed our journey know that today’s announcement is just one more step down a path,” said Patrick M. Byrne, tZERO executive chairman and the CEO and founder of parent company Overstock.com (NASDAQ:OSTK). “tZERO is working toward a world where security tokens revolutionize traditional capital markets, and companies achieve trust through cryptographically-protected algorithms rather than through rent-seeking middlemen.”

“The world of security tokens has lacked a regulated venue for secondary trading,” said tZERO CEO Saum Noursalehi. “The trading of our own security tokens is the crossing of the Rubicon for the new world of digital assets. This will create liquidity, democratize access, bring transparency and efficiency to global markets and accelerate the adoption of security tokens.”

Elliot Grossman, Senior Vice President at Dinosaur Financial Group said, “We are impressed with what tZERO has achieved and we are looking forward to being a part of the blockchain revolution. We see this as a truly evolutionary step toward improving transactional transparency for investors, while providing an efficient and secure alternative to over-the-counter trading or a listing on one of the legacy stock exchanges for companies seeking to raise capital.”

tZERO was founded in 2014 with the goal of utilizing blockchain technology to revolutionize Wall Street so that financial processes could become less beholden to traditional institutional market structures and the mischief and financial instability they have been known, on occasion, to permit. tZERO is a portfolio company of Medici Ventures, Overstock.com’s blockchain subsidiary. PRO Securities is an SEC-registered broker-dealer and FINRA member that is wholly-owned by tZERO.

Related articles

  1. Zodia Custody is a crypto asset custodian incubated by Standard Chartered with Northern Trust.

  2. Harmonizing instrument identifiers is crucial for multi-chain interoperability and tokenization.

  3. Daily Email Feature

    Large Hedge Funds to Enter Crypto

    FIA IDX panellists discussed institutional interest in crypto assets, regulation and infrastructure.

  4. Basel Committee has proposed a prudential treatment of cryptoasset exposures.

  5. Messari aims to provide the crypto ecosystem with the most reliable data and research services.