Overstock To Raise Up To $ 500 Million Through ICO To Launch Regulated Token Exchange
Retail company Overstock.com will hold an ICO to launch a new regulated token exchange. Writes about this CoinDesk.
The tØ (tZERO) exchange will be the first trading platform created specifically for trading tokens, which are classified as securities in the US. TØ is a capital market subsidiary of Overstock.
During the crowdfunding campaign, a specialized token will be created and put up for sale, which in the future will serve to pay commissions for using the exchange services.
Overstock CEO Patrick Byrne, speaking to the International Business Times (IBT), said that its own token tØ will differ from the tokens listed on the exchange, since it will be a functional token, not a security.
Overstock will “easily” raise $ 200 million to $ 500 million through crowdfunding campaign, Byrne says..
The launch of the exchange will take place in cooperation with RenGen and Argon Group. It is assumed that tØ will become an alternative trading system that fully complies with the requirements of the US Securities and Exchange Commission (SEC) and the Financial Institutions Regulatory Agency (FINRA).
Initially, tØ was developed as a platform for trading securities on the blockchain, but subsequently Overstock decided to reorient the site to trading tokens in response to the SEC’s attention to a certain type of token and the growing popularity of ICO.
TØ meets all SEC requirements, so Byrne believes that creating such a service is a natural process: “We took what was already considered legitimate and legitimate and adapted it to work with the blockchain”.
“If there is only one company that can issue tokens legally, then it will be us,” he added..
IBT Says Platform Launch Should Be Before Thanksgiving (Nov 23rd).