In a positive development for tZERO, they were just awarded the patent for a new means of ‘Crypto Integration’.
This patent described a process in which traditional trading systems are able to interface with developing cryptocurrency exchanges. The following is an excerpt from the application, describing usage of the platform.
“The Crypto Integration Platform provides, among other things, an interface between legacy trading systems and crypto exchanges that trade digital transactional items. In doing so, the Crypto Integration Platform takes a protocol for trading and communication between broker-dealers, Alternative Trading Systems (“ATS”), and exchanges, and transforms the message so that the trade can be consummated using cryptographic techniques.”
*For those interested in a complete read-through of the filed patent, the document is available via the USPTO website here*
Recent Dealings with tZERO
Beyond the news of awarded patents, tZERO has been the subject of our discussions various times in recent months with the anticipated launch of the tZERO digital securities exchange. For instance, here are a few of those articles, showcasing advancements being made by tZERO.
- GSR Capital to use tZERO for tokenization of Colbalt
- tZERO signs on as founding member of the ‘Millbrook Accord’
- Patrick Byrne indicates his intention to increase focus on the development of tZERO
It is clear to see that the team behind tZERO has been as active as can be. Through moves such as the ones described above, they have been able to establish themselves as one of the most promising companies within the digital securities sector. Hopefully they are able to deliver on all fronts as 2019 rolls on.
tZERO is based out of New York, and is a subsidiary of Overstock.com. Each are products of founder Patrick Byrne.
Above all, tZERO will function as a platform geared towards providing various services aimed towards security tokens. The expected 2019 launch of their platform is much anticipated.
To this day, Patrick Byrne has stayed steadfast in his belief that tZERO has the potential to become a giant. He has stated in past interviews, “I don’t care whether tZERO is losing $2 million a month…We think we’ve got cold fusion on the blockchain side.”
In other news
For those interested in patent news related to digital securities, make sure to check out our articles about IPWe. Not only do we give details on IPWe, in ‘patents powered by blockchain’, but we sat down with their CEO for an exclusive interview.
Perhaps, future patent filings by tZERO will be able to benefit from changes made through the implementation of IPWe.
With the blockchain industry rapidly developing, there has been no shortage of patent filings through the last two years. In addition, the companies putting for application, have done so for a variety of services.
A few noteworthy filings were detailed on icodesk.io here.
Vertalo Releases V-Token Software for Usage during Tokenization
Vertalo, the cap-table company making waves in blockchain, has announced the release of its ‘V-Token’ software.
This software, V-Token, is a described by Vertalo as a ‘placeholder’, which will allow for issuers to issue digital securities at a later point in the issuance cycle. Until now, this software has only been available to Vertalo. For those interested, access to V-Token is now open to all token issuers.
The purpose of V-Token is to make life easier for potential issuers of digital securities. As it stands, one of the larger hurdles in the space remains the cost associated with the creation of said tokens. The issue is amplified by the fact that this step often takes place prior to a company raising any capital – meaning the company had best be sure that their capital raise is successful, and their token creation wasn’t done in vain.
With this in mind, Vertalo created V-Token for their own usage in 2018. V-Token allows for token creation to occur POST-raise. In doing so, this form of delayed tokenization provides issuers with greater flexibility in their operations.
This token is structured as ERC-20 compliant, while offering various traits, vital to digital securities. This includes trade restrictions, and other measure necessary to be compliant with regulations.
Along with their announcing the availability of V-Token, Dave Hendricks, CEO of Vertalo, took the time to comment. The following is what he had to say on the matter.
“The current high cost of tokenization is the main impediment to widespread adoption and roll out of digital assets. Today, Issuers who are interested in digital approaches are being asked to spend hundreds of thousands of dollars to design and produce tokens before they have successfully raised capital. The unit economics need to change.”
“Free Tokenization is a logical next step in the evolution of the digital asset industry. But as we have seen with previous protocol standards like Ethernet and TCP/IP, it’s difficult to monetize the standards themselves. The role of tokens is naturally subordinate to actually raising capital. It’s been amply demonstrated that investors don’t invest in tokens, or in token standards, rather they invest in companies, assets, access to liquidity, and revenue streams. Free token issuance reduces the risk and complexity of tokenizing assets. Delaying the choice of which security token standard to use until the infrastructure is more fully developed lowers the cost and risk of token implementation.”
Vertalo is a United States based company, which was founded in 2017. Above all, Vertalo functions as a capitalization table specialist, while providing services for investor onboarding and compliance adherence.
Company operations are overseen by CEO, Dave Hendricks. We had the pleasure of interviewing Dave Hendricks earlier this year. Check out this discussion to learn more about Vertalo and their goals.
In Other News
Vertalo has found themselves a mainstay in our newsfeed over the past few months. Whether providing services which facilitate the completion on an STO, or forming partnerships to advance the industry, Vertalo keeps busy. Here are a few articles detailing what they have been up to lately.
TokenOro to Offer Security Tokens backed by Gold and Mining Operations
Gold Goes Digital
TokenORO has gone live with their token offering. This event, which is aimed towards changing the way small miners raise capital, will see the sale and distribution of security tokens known as ‘ORO’.
This process allows for investors to gain exposure to the gold mining industry, while providing small miners with a more efficient means of raising the capital necessary to grow operations. TokenOro described their missions in 3 main steps.
- Create a financing structure, to stimulate small-company mining, through the use of blockchain technology.
- Produce a ‘gold stream’ through mining operations.
- Establish a ‘vault’, comprised of gold-assets.
To successfully host an STO, TokenOro turned to WORBLI. This Singaporean company will provide the services and structuring necessary to ensure the STO is completed in full compliance with regulations.
This event was originally announced by TokenORO and WORBLI back in January 2019, with the proceedings now going live.
What makes this token unique, is how proceeds from the STO will be allocated. Unlike most tokens, which are pegged to a sole form of asset, this will be broken down as follows
- 50% of proceeds go towards purchase of gold, for stable backing of the token
- 50% of proceeds go towards mining endeavours
While investments are divvied up, every action is taken with the goal of increasing holdings of the ‘vault’. With tokens representing fractionalized ownership of the vault, its growth represents an increase in token value. This means that whether the vault is grown through mining operations, or direct deposits through investment, investors benefit through increased token value.
Representatives from each, TokenOro and WORBLI, took the time to comment on these developments. The following is was each had to say on the matter.
James McKenzie, Chairman of TokenORO, stated,
“TokenOro is attempting to provide a token that will fundamentally disrupt an industry in a positive way…We’re offering preferred shares of our equity in the form of a digital token, one that is typically only accessible to specific groups. This could begin the long-awaited disintermediation of traditional financial gold oligopolies. TokenOro is looking for prospects that might have a defined resource of up to 10 million ounces of gold, whilst meeting NI43-101 or JORC reporting standards.”
Domenic Thomas, CEO of WORBLI, stated,
“WORBLI is dedicated to empowering businesses like TokenOro, one of many innovative blockchain projects that WORBLI is working with to bring new opportunities to the public. Individuals are traditionally limited to products like exchange based stock trading, mutual funds, and employer-issued retirement accounts. WORBLI is engaging businesses like TokenOro to bring a wider range of financial opportunities to users.”
Based out of Oregon, TokenOro is a mining company looking to rid their industry of inefficiencies. Their goals have led them towards blockchain, as they look to both finance future endeavours, while providing industry players with a platform to efficiently operate.
Company operations are overseen by Chairman, James McKenzie.
WORBLI is a software company based in Singapore. The company launched in 2017, and has set forth with a goal of utilizing blockchain to usher in the next age of finance. They describe this vision as ‘a day in the near future, whereby everybody is able to pay for a product or service in any currency or cryptocurrency of their choice’ – a simple, but significant task.
Company operations are overseen by CEO, Domenic Thomas.
In Other News
While this token is unique in its structuring, it does retain some semblance of a stablecoin. Stablecoins have become increasingly popular among those within the digital securities sector. Here are a couple of articles touching on the development of stablecoins, and their adoption within the industry.
Smartlands to Tokenise Nottingham Real Estate through STO
After months of platform development, Smartlands is ready to build off of past successes. This young company has just announced the launch of their inaugural security token offering.
Taking place through their Stellar based platform, Smartlands will facilitate the tokenization of shares representing fractionalized ownership of a 124 unit real estate development, purpose built as student housing.
While Smartlands is facilitating this security token offering, the event is a product of Shojin Property Partners – A real estate development and investment firm. Shojin Property Partners completed construction of this complex in 2018, and soon after began filling it with residents.
Now, with the help of Smartlands, Shojin hopes to offer investors a new type of opportunity through the use of security tokens.
Details of the Deal
This deal is providing investors with exposure to revenue, garnered from 32 Russell Street, Nottingham, United Kingdom. With Nottingham playing home to multiple universities, it is expected that these units will be in high demand.
While figures may vary, it is forecasted that investors in this project will receive the following benefits.
– Average dividend yield of approximately 5.74% per annum
– Return of 15.72% per annum including capital growth
For those interested in this opportunity, participation is open to retail investors, with a minimum 500 GBP investment.
In their announcement, Ilya Obraztsov, VP of Technology at Smartlands, took the time to comment. The following is what he had to say.
“At Smartlands we’re rethinking traditional finance models by building a global ecosystem that democratizes access to alternative investments and opens opportunities to higher-yield projects. By connecting blockchain and the real economy, we create new opportunities for retail investors to participate in institutional-grade deals with a much lower buy-in threshold. And we have our first STO to show for our efforts…The student complex in Nottingham is the first tokenized property in the UK, to be followed with new offerings of blockchain-based securities backed by assets in real estate and other markets.”
Smartlands is a U.K company, headquartered in London. The company was launched in 2017, and has since strived to develop solutions geared towards crowdfunding. This has led to the adoption of blockchain technology, and now security tokens.
Company operations are overseen by CEO, Arnoldas Nauseda.
Shojin Property Partners
Shojin Property Partners are a London based company, which was founded in 2009. Above all, they create investment opportunities through the development of various real estate projects, such as the one described here today.
Shojin Property Partners was acquired by Smartlands in early 2019
In Other News
We have detailed Smartlands multiple times over the past few months. Whether discussing acquisitions, or developmental choices, Smartlands has come a long way in this time. The following are a couple of articles discussing these events.
- Security Token Standards – Factom Asset Token- FAT May 23, 2019
- Vertalo Releases V-Token Software for Usage during Tokenization May 23, 2019
- TokenOro to Offer Security Tokens backed by Gold and Mining Operations May 22, 2019
- Smartlands to Tokenise Nottingham Real Estate through STO May 20, 2019
- PCF Capital to Host $250 milllion DSO through KoreConX May 19, 2019