Overstock has always been a big proponent of Bitcoin and blockchain. So much even the company launched its own blockchain outfit, known as tZero. This particular venture has seemingly attracted the attention of GSR Capital. The private equity firm will invest as much as $27m in this blockchain unit.
A lot of money has been poured into blockchain research over the years. Very few projects have working code, let alone a prototype product. Overstock’s tZero is one of the few exceptions, as the firm means business when it comes to exploring new technologies. By securing an additional $270m in funding, the potential of the tZero blockchain outfit is highlighted even further.
tZero Continues to Forge Ahead
Once the news broke, Overstock shares soared by over 20% in quick succession. Any publicly traded company with ties to blockchain seems to be going through such cycles. In the case of Overstock, their blockchain “arm” is genuine and has already proven its metal. GSR Capital will acquire an 18% stake in tZero, which catapults the project’s valuation to $1.5bn.
tZero CEO Saum Nousalehi adds:
“The tokenisation of securities has the potential to disrupt global capital markets responsible for moving hundreds of trillions of dollars. Together with our partners, we will globalise our blockchain-based platform, bringing more efficiency, liquidity, and trust to capital markets.”
It is evident tZero is on a lot of people’s radar. The outfit raised $134m in funding through a security token offering earlier this year. Additionally, the firm partnered BOX Digital Markets to build a new regulated exchange to trade security tokens. There are still plenty of opportunities waiting to be explored in the blockchain world, that much is evident.