tZERO Going Live
On August 12, retail investors will be granted access to the digital securities exchange run by tZERO. This date represents one year since the initial sale of their in-house tokens, distributed through an STO.
Accredited investors have had full access to the exchange since it originally went live in January, 2019.
Initially, retail investors will only have access to the first two digital securities added to the tZERO platform. The first is their own token, known as ‘TZROP’, which was distributed in a 2018 STO. The other are tokenized Overstock shares.
Retail investors will continue to gain access to more tokens, as the assets exit their imposed lock-up periods.
Speaking with CoinDesk, tZERO CEO, Saum Noursalehi, took the time to comment on the anticipation and market response surrounding their retail opening. He stated,
“We had a lot of broker-dealers, about 30 or 40, reach out to us that want to get involved in this ecosystem…We’re working on these requests. Investors have been sending questions as well. They are excited and they are trying to understand it.”
Within the digital securities sector, many are drawn in by the promise of asset liquidity. This, however, is only possible with secondary markets that are open for business to all traders. This opportunity to trade these assets through the tZERO platform represents the beginnings of fulfilling the promise of liquidity.
tZERO is not the only company with their eyes on this prize. The following are a variety of competitors, each at different stages in development. Each of these companies intends to offer secondary markets, and eventually retail trading of digital securities.
OFN launched one of the first ever security token exchanges in late 2018. This Chicago based company remains one of the most popular in the sector, alongside tZERO.
Operating out of the U.K., Archax is a highly anticipated security token exchange which is expected to launch in late 2019. Their various strategic partnerships, and licensing, make them a serious contender in the sector.
While not first to launch, Smart Valor isn’t far behind. This Swiss company recently made waves with the official opening of their own exchange, along with securing funding for continued development.
*For a full list of potential competitors, visit out Exchange Listings Page*
tZERO is a branch of Overstock.com subsidiary, Medici Ventures. This blockchain based company has utilized the technology to develop a suite of services designed for the digital securities sector – such as the secondary markets discussed here today.
CEO, Saum Noursalehi, currently oversees company operations.
In Other News
While opening their platform to retail investors represents a large step forward, this development is not the only positive step tZERO has taken in recent weeks. The following articles are examples of this, as the company has shown progress in talent acquisition, IP, and adoption.
SIX Acquires Stake in daura – SDX Exchange
A Strategic Advantage – SDX Exchange
Boerse Stuttgart Subsidiaries to Benefit from Investment by SBI Holdings
It is fair to say that SBI Holdings has decided to go all-in on blockchain based endeavours as of late. This has been made evident through various high profile investments. The most recent of which include Ripple, Securitize, and now Boerse Stuttgart – the latter of which we will discuss here today.
In an effort to usher in higher levels of adoption surrounding digital securities, SBI Holdings has invested in multiple branches of the Boerse Stuttgart group.
- Boerse Suttgart Digital Exchange
- Boerse Stuttgart Digital Ventures
Plans Moving Forward
In their announcement, it is clear that the rationality behind this new partnership is geared around global expansion. With SBI Holdings operating within Japan, and the various branches of the Boerse Group operation throughout Europe, the pair should find the partnership mutually beneficial.
Beyond simple expansion, the pair of companies closed out their announcement by elaborating on their plans. They stated,
“The SBI Group and the Boerse Stuttgart Group are partners in the digital asset business in Asia, including Japan, as well as in Europe. We will work together to build a global digital asset finance ecosystem utilizing blockchain.”
Upon announcing these investments, representatives from each, SBI Holdings and Boerse Stuttgart, took the time to comment. The following is what each had to say on the matter.
Yoshitaka Kitao, CEO of SBI Holdings, states,
“Due to the decentralized nature of digital assets, it is our top priority to find globally suitable partners to build our digital asset ecosystem. The SBI Group, with its trading platform for digital assets and other relevant companies, will make full use of the cooperation with the Börse Stuttgart Group to respond to the global customer interest in digital assets.”
Alexander Höptner, Chairman of the Management Board of Boerse Stuttgart GmbH, states,
“Asia and Europe are currently the fastest growing markets for digital assets. With the SBI Group, we have found an ideal partner to realize our vision of an efficient, global ecosystem along the value chain of digital assets. In addition to the exchange of knowledge and technology, the collaboration also covers the issuance, listing and trading of digital assets across borders, as well as brokerage services and building the first global bridge for custody.”
The Boerse Stuttgart Group consists of various branches such as Boerse Stuttgart Digital Exchange, and Boerse Stuttgart Digital Ventures. These two branches, in particular, have a focus on blockchain based endeavours, including the eventual creation of a secondary marketplace for digital securities.
An acting subsidiary of SBI Group, SBI Holdings, was launched in 1999. The company maintains headquarters within Tokyo, Japan, where they seek out, and establish, strategic partnerships with high potential companies.
CEO, Yoshitaka Kitao, currently oversees company operations.
In Other News
In recent months, each of the companies discussed here today have found themselves in our news feed. Whether launching a digital exchange, or making strategic investments, both companies have been quite active. The following articles are just a couple discussing recent moves by both.
DX.Exchange Goes Bankrupt – CX Technologies Ltd
Additionally, a host of suppliers have taken suit against the company. These suits run the gambit from unpaid bills to the alleged fraud. The well-known cybersecurity firm, White Hat Ltd is one of the company’s claiming losses due to DX.Exchange actions. Another lawsuit lists Bee2See Dotan B.S. Solutions. This is the firm that handled DX.Exchange targeted marketing. Even the company supplying the servers never got paid – Malam Team.
Writing on the Wall – DX.Exchange
Employees and suppliers knew to take action earlier in the month after the firm closed its doors unexpectedly. At the time, DX.Exchange owner Pinhas Patarkazishvili cited the rising costs and dwindled profits the exchange had left. He told employees that he was searching for a merger or acquisition and if that he was unsuccessful, the company would permanently cease operations.