stub Overstock Repositions Blockchain Executives as tZERO Launches - Securities.io
Connect with us

Digital Securities

Overstock Repositions Blockchain Executives as tZERO Launches

mm
Updated on

Online retailer Overstock and its blockchain technology investment wing, Medici Ventures, have shuffled some top executive positions at the tZERO security token trading platform which launched on January 24th, 2019.  tZERO is Overstock’s central project in its radical pivot from ecommerce to blockchain technology, and, as such, the most prominent company in Medici's venture fund portfolio.

Here are the three most recent and significant changes at Medici and tZERO:

• Joel Weight moved from Medici's CTO position to Medici COO
Steve Hopkins moved from Medici's COO position to tZERO President & CRO (chief revenue officer)
Stanton Huntington moved from Overstock's Associate General Counsel position to Medici General Counsel

Medici is interviewing candidates to fill the CTO position vacated by Joel Weight.

Medici Ventures president, Jonathan Johnson, told CoinDesk in December that the changes, especially Joel Weight’s promotion to Medici COO, are intended to increase Medici’s depth of technical expertise at the operational level as it makes delivering market-ready products the priority for its portfolio companies in 2019.

Overstock founder and CEO Patrick Byrne aims to sell Overstock’s flagship business, ecommerce retail site Overstock.com, by early 2019, leaving the remaining company with ownership of Medici Ventures and cash for further investment in Medici’s portfolio companies. Byrne told the Wall Street Journal in November that he is confident that Overstock can sell its ecommerce business by the end of February, following the start of security token trading on tZERO.

In a widely distributed August 2018 letter to Overstock investors, Byrne noted that “tZERO represents a regulated bridge between the traditional securities markets and the fast-emerging world of crypto-securities.”

Byrne went on to say, “Engineers at Medici Ventures are allowed to rotate among various projects, some internal and some as contract work for portfolio companies. This allows for cross-pollination among projects so that valuable innovation and best practices emerge.”

Overstock.com has been accepting bitcoin since 2014. The company’s first-mover status helped its stock price increase 400% percent during the 2017 cryptocurrency boom. Overstock’s stock price is down 75% since then, acutely impacted by the cryptocurrency bubble burst. Some Wall Street pundits have opined that, though Medici Ventures suffered a net loss of $39 million in first three quarters of 2018, its blockchain portfolio is responsible for the majority of Overstock’s market value.

Jay Derenthal is a leading cryptocurrency and blockchain writer. He has extensive business development and growth hacking experience, with a particular interest in the tokenization of assets into tradable securities. Jay uses market research to align his reporting with the most exciting trends in the fast-evolving security token news arena.

Advertiser Disclosure: Securities.io is committed to rigorous editorial standards to provide our readers with accurate reviews and ratings. We may receive compensation when you click on links to products we reviewed.

ESMA: CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. Between 74-89% of retail investor accounts lose money when trading CFDs. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.

Investment advice disclaimer: The information contained on this website is provided for educational purposes, and does not constitute investment advice.

Trading Risk Disclaimer: There is a very high degree of risk involved in trading securities. Trading in any type of financial product including forex, CFDs, stocks, and cryptocurrencies.

This risk is higher with Cryptocurrencies due to markets being decentralized and non-regulated. You should be aware that you may lose a significant portion of your portfolio.

Securities.io is not a registered broker, analyst, or investment advisor.