NEW YORK & SALT LAKE CITY--(BUSINESS WIRE)--Overstock.com (NASDAQ: OSTK) subsidiary tZERO’s highly anticipated token sale opened for subscription on Dec. 18, and attracted overwhelming cryptocurrency and traditional institutional interest. Over $100 million USD in commitments from investors were received in the first 12 hours. In just weeks since announcing the first-of-its-kind preferred equity security token, over 10,000 subscribers have registered for accreditation verification through Saftlaunch.com.
Being the first-ever preferred equity security token to be issued and traded, there are heightened regulatory, tax and compliance measures that must be diligently and meticulously completed. The tZERO security token is properly issued as a security. One significant difference between ICO utility tokens issued by startups with no functional business and the tZERO security token is that the tZERO security token is being issued pursuant to a comprehensive offering memorandum, rather than with a traditional white paper.
The features of the tZERO security token are those of a preferred equity security, including a token dividend paid of Adjusted Gross Revenue of tZERO. Additionally, the company intends to provide tZERO token holders discounts for trading on its ATS and additional rewards and discounted services across the Overstock portfolio of companies.
Joe Cammarata, tZERO’s president, said: “Yesterday Overstock and tZERO made history once again in launching the first-of-its-kind preferred equity security token. This is a massive collaborative effort of our team and our advisors (including Alchemist, and RenGen) along with our outstanding legal, tax and compliance teams. We have received overwhelming interest from subscribers and are registering over 200 per hour, and in an abundance of caution to ensure the presale is conducted right, we experienced some minor delays. Today I am proud to announce that in under 12 hours, we have received commitments from accredited investors for over $100 million USD. We are working with world class institutions as well as some of the world’s most sophisticated cryptocurrency investors, who demand excellence and this is what we are delivering. We expect accreditation verification to continue. Verified investors will receive their documents and SAFE agreements as the allocations are completed.”
The company expects the token pre-sale to be oversubscribed shortly and a significant portion of the tZERO security tokens issued will be available to accredited investors in the public sale beginning in January, 2018.
t0.com, Inc. (“tZERO“) is a majority owned subsidiary of Overstock.com, focusing on the development and commercialization of financial technology (FinTech) based on cryptographically-secured, decentralized ledgers – more commonly known as blockchain technologies. Since its inception, tZERO has pioneered the effort to bring greater efficiency and transparency to capital markets through the integration of blockchain technology. More information is available at tZERO.com.
Overstock.com, Inc. Common Shares (NASDAQ:OSTK) / Series A Preferred (Medici Ventures’ t0 platform :OSTKP) / Series B Preferred (OTCQX:OSTBP) is an online retailer based in Salt Lake City, Utah that sells a broad range of products at low prices, including furniture, décor, rugs, bedding, and home improvement. In addition to home goods, Overstock.com offers a variety of products including jewelry, electronics, apparel, and more, as well as a marketplace providing customers access to hundreds of thousands of products from third-party sellers. Additional stores include Worldstock.com, dedicated to selling artisan-crafted products from around the world. Forbes ranked Overstock in its list of the Top 100 Most Trustworthy Companies in 2014. Overstock regularly posts information about the company and other related matters under Investor Relations on its website, http://www.overstock.com.
SAFTLaunch is a United States based company committed to providing investors a secure and compliant platform for investing in SAFTs and token sales. SAFTLaunch offers individuals and professionals a platform to connect with companies issuing SAFT agreements and token sales with secure accreditation and KYC/AML checks. More information is available at SAFTLaunch.com.