The platform for the exchange of security-tokens tZERO, a division of the online retailer Overstock.com, has signed a contract of intent with the investment company GSR Capital to sell its tokens, according to a June 29 press release.
Beijing GSR Capital, presumably, intends to buy security-tokens tZero at $10.00 per token for $160 million under a simple agreement for future tokens (SAFE). The sale of tZero tokens was extended until August 6, 2018, so that GSR Capital could participate in the round of financing.
tZERO also “concluded SAFE with execution at the time of imprisonment for more than $ 168 million, of which $95 million had already been paid,” the announcement reads. According to a press release, over 1,000 people or 30 countries of the world took part in the campaign.
The founder of Overstock.com and the executive chairman of tZERO, Patrick Byrne, said:
“A few years ago we saw the potential of the shaking the world blockchain. Since then, we have methodically turned tZERO into a company that will carry tremendous efficiency and transparency to local and foreign capital markets.”
Security tokens can act as a link between the traditional finance sector and the blockchain area if real assets, such as securities or commodities, are used to support them. tZERO introduced a prototype of its platform for trading secutiry-tokens in April. The developers plan to create a tool for trading such tokens, which will allow to do this “without any difficulties and with the compliance of regulators”, will include software for risk management, a system for managing orders, a engine for matching bids, and more.
In March, the US Securities and Exchange Commission took over ICO tZERO; Overstock shares fell against the backdrop of this news. Subsequently, the documents filed with the SEC showed that tZERO, which launched its ICO in December 2017, raised $100.6 million with 1,100 investors and a maximum campaign cap of $250 million. Before that, Overstock completed the documents on forms D and S, thus refusing from using the model of traditional distribution of shares. This format of the campaign requires that the participating Americans be accredited investors, and the transactions coming from abroad are not connected with the citizens of the country.