tZERO, the blockchain subsidiary of Overstock.com (NASDAQ: OSTK) that is in the midst of a huge initial coin offering, has agreed to take a 1% stake in Kennedy Cabot Acquisition Holdings (KCA) with a $1 million investment. KCA is a FINRA approved Broker Dealer and is the parent of Siebert Financial. This investment is indicative of tZero’s interest in dominating both traditional capital markets and emerging ones in the cryptocurrency world. This follows an earlier announcement that tZERO and Siebert Financial have entered into a marketing agreement wherein Siebert Financial would have access to offer discounted, online trading to Overstock’s customer base of over 25 million U.S. households.
Overstock CEO Patrick M. Byrne explained the strategic move saying there is nothing better than partnering with like-minded companies with tremendous synergies to disrupt the inefficient monolithic paradigms of Wall Street.
“Our investment today is a vote of confidence to Gloria Gebbia and the SIEB management team. We have a shared vision and now we look forward to being a shareholder.”
Gebbia added that the KCA and Siebert teams welcome Byrne and the entire tZero crew as they continue to offer more traditional services such as brokerage, IRA and Robo-advisory tools.
“It is exciting to team with Overstock/tZERO on connecting the Siebert infrastructure and expertise with the emerging crypto trading ecosystem. We intend to work together with tZERO at the leading edge of the crypto revolution.”
KCA announced last week that they will roll out $2.99 trades and $1.99 trades to a new class of Overstock’s Club O loyalty program, available in Q1 2018.
tZero announced yesterday its ICO had raised around $100 million in the first 12 hours on Saftlaunch. The pre-sale security token is currently only available to institutional investors but other accredited investors should have access to the offer in the coming weeks. tZero is raising $250 million but that amount may go higher.
Have a crowdfunding offering you'd like to share? Submit an offering for consideration using our Submit a Tip form and we may share it on our site!