Is Overstock’s tZERO worth the investment? | Author: Dwayne D’cunha | The Capital | July 2021


tZERO was launched after the large online shopping business website Overstock and other trading companies decided to jointly launch their own cryptocurrency. The release was completed in the form of ICO (Initial Token Offering) at the end of 2017. It is important to remember that investing in ICOs was very popular at the time, but at the same time led to many companies with money.

Especially ICO has received great curiosity. Many investors put their funds into it to help fund the cryptocurrency and the notorious tZERO trading platform. Although due to lack of funds, it did last a long time, more than most. ICO raised more than 250 million US dollars. It also changed the original structure of the ICO. As a reward for purchasing these tokens, they have the opportunity to purchase blockchain-enabled DLR (Digital Location Receipt). The DLR will allow traders participating in the short sale to borrow the stocks they want to trade. Unfortunately, it only reached US$134 million before the end of the ICO, however, this has been covered by a US$374 million investment by Chinese private equity firm Sands River Capital. The company’s transition to an ICO dealt a major blow to Overstock’s stock price, but it eventually rebounded.

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