NY stock exchange owner ICE buys stake in tZero security token platform

Published at: Feb. 23, 2022

The Intercontinental Exchange (ICE) has announced a strategic investment in private digital securities marketplace and crypto asset liquidity platform tZero.

ICE, which owns and operates 12 global exchanges including the New York Stock Exchange (NYSE), made the announcement on Feb. 22, however, there was no mention of the terms or details of the investment other than ICE becoming a “significant minority shareholder” in tZero.

It did state that as part of the investment, ICE’s Chief Strategy Officer David Goone will join tZero as its new CEO serving on the board of directors.

tZero operates a blockchain-based alternative trading system (ATS) upon which companies can list tokenized versions of their stocks. The firm is fully regulated with the Securities and Exchange Commission (SEC) and acts as a broker-dealer in the digital asset space, also offering a number of cryptocurrencies. The platform only offers a handful of tokenized stocks at the moment, one of which is early investor Overstock under the ticker OSTKO.

The platform’s target market is financial firms and investors seeking access to a digital marketplace and unique private assets and equities such as cryptocurrencies and nonfungible tokens (NFTs).

ICE founder, Chairman, and CEO, Jeff Sprecher, commented on Goone’s appointment stating that he has been a “steward of our problem-solving culture,” before adding:

“David’s leadership and his mastery of trading, data, and clearing technology will be a big asset as tZERO begins its next chapter leading the growth and adoption of next-generation market infrastructure.”

Goone, who has been with ICE since 2001, brings a lot of experience to the table having developed and managed many of ICE’s product lines during his tenure.

ICE is a Fortune 500 firm and leader of global exchanges and clearinghouses that provide financial technology and data services across major asset classes.

tZero got off to a rocky start following its security token offering (STO) and numerous investments in 2020. At the time, the fledgling security token platform was still losing money, though this latest investment could provide access to new markets for tZero.

Related: Intercontinental Exchange sells Coinbase stake for $1.2 billion

As reported by Cointelegraph on Feb. 15, the NYSE is showing a greater interest in the digital asset space as it filed a patent application for a number of crypto and blockchain-related products and services. These include an online marketplace for trading crypto assets, NFTs, and Metaverse technology such as augmented reality software.

Tags
Adoption
Business
Nyse
Security
Related Posts
Adapt or die: Payments giants partner with crypto firms to ensure security
Institutional interest for digital assets continues to grow rapidly, demonstrating that cryptocurrencies, stablecoins and nonfungible tokens (NFT) are here to stay. At the same time, traditional financial institutions are beginning to understand the dire need to properly support digital assets. For example, although payments giants such as Mastercard and Visa currently offer crypto-enabled credit and debit cards, these companies are also forming partnerships with crypto organizations to enable better security and trust for consumers transacting with digital currencies. Shedding light on the matter, Ajay Bhalla, president of cyber and intelligence at Mastercard, told Cointelegraph that Mastercard’s customers and other partners …
Adoption / Sept. 21, 2021
The remaining steps to mainstream institutional investment
It has been said that you only get one chance to make a first impression. Perhaps the best example of this old adage is the cryptocurrency space. From exit scams and money laundering, to unaudited code and high carbon footprints, the crypto landscape has spent the better part of the past decade scrubbing itself of its infamous past. For many, the sanitizing of the decentralized ecosystem was inevitable — simply a matter of when, not if. This mindset hindered the sense of urgency that should have been on display and may have ultimately contributed to the skepticism exhibited by mainstream …
Adoption / May 29, 2021
Why Santander Doesn’t Want to Use Ripple for International Payments Yet
Santander, the large scale Spanish bank and one of Ripple’s major partners, is still hesitant to adopt XRP as part of its international payment network, One Pay FX. The company reasoned that the token “was not actively traded in enough markets” to support the company’s banking needs. During an interview with the Financial Times, Cedric Menager, chief executive officer of One Pay FX, explained that Santander wants to provide the “best [user experience] as quickly as possible.” He also said that the bank hopes to “operate in as many currencies and corridors as possible from the beginning.” Ripple clarified that …
Adoption / Aug. 13, 2020
How Not to Lose Your Coins in 2020: Alternative Recovery Methods
When Peter Schiff claimed that his wallet lost his Bitcoin (BTC), many in the crypto community were skeptical. While some believe that Schiff simply lost his password, others, like Ethereum co-founder Vitalik Buterin, highlighted that losing private keys remains an important issue for cryptocurrency users. Being your own bank is hard Keeping custody of your own cryptocurrency is quite complex, especially for non-tech savvy users. Most wallets require the user to write down the private key before accessing the wallet. Storing the key can be done by simply writing it down on a piece of paper, a method that is …
Adoption / Jan. 21, 2020
Using blockchain technology to combat retail theft
The retail industry is one of the most important sectors of the United States economy. Unfortunately, the COVID-19 pandemic has left the trillion-dollar retail sector vulnerable to in-store theft. Findings from the National Retail Federation’s 2022 Retail Security Survey show that retail losses from stolen goods increased to $94.5 billion in 2021, up from $90.8 billion in 2020. Some retailers also have to lock away certain products to prevent theft, which may lead to decreased sales due to consumers’ inability to access goods. Retailers look toward blockchain to solve retail theft Given these extreme measures, many innovative retailers have started …
Adoption / Jan. 7, 2023