Overstock CEO Patrick Byrne Announces Massive GSR Investment in tZERO as Incomplete
At the close of tZERO’s initial offering, a significant investment of up to $270 million from GSR capital was reported. Recent clarification from Overstock CEO and tZERO chairman Patrick Byrne clarified that the investment has yet to be completed, but tZERO and GSR are continuing to communicate.
GSR’s tZERO Investment Status Explained
According to an initial announcement dating back to August of 2018, GSR Capital had planned to invest up to $270 million in tZERO.
The announcement was made at roughly the same time that tZERO had announced the closing of its initial offering, which raised $134 million.
According to Overstock.com CEO and tZERO Executive Chairman Patrick Byrne, that deal has yet to be completed.
Courtesy of Crowdfundinsider, Byrne released the following statement to tZERO investors:
The previously-announced GSR equity investment in Overstock and tZERO has not been completed. However, we remain in discussions with GSR Capital and Makara Capital, a key partner of GSR Capital, regarding a potential transaction. Both have recently signed an MOU with tZERO outlining a transaction in which Makara and GSR would co-lead an investment of up to $100 million in tZERO common stock and close the transaction in April subject to due diligence, negotiation of binding contracts and regulatory approval. The investors would also assist with tZERO’s expansion in Asia and other regions of the world and link them with other key partners from their portfolios.
Following the recent successful launch of tZERO’s new security token trading technology, we are excited by the emerging partnerships and business opportunities in front of us. More information on Overstock’s retail and blockchain properties will be shared within our upcoming 2018 FY Earnings reporting. I urge you to join us for that discussion of our business at a time and date to be announced soon. Until then, I remain,
Your humble servant,
Patrick M. Byrne
How tZERO Leads the Push for Regulated Security Tokens in the United States
The integration of tokenization throughout the traditional financial securities sector continues to make a big splash— even in the highly regulated environment of the United States.
What do you think about Patrick Byrne’s comments on GSR’s investment? Will tZERO become the dominant security token trading platform in the United States? Let us know what you think in the comments section below.
Image courtesy of tZero.