Page 58 - FON Spring Issue

FON MEMBER FEATURE
A Leader in Financial Innovation & Liquidity for Private Companies
tZERO offers institutional-grade solutions for issuers looking to digitize their capital table and investors who are seeking to invest and trade private securities on a SEC regulated platform, the tZERO alternative trading system (tZERO ATS). tZERO is the solution to enhancing flexibility and broadening investor access to the private markets.
tZERO enables mainstream investors to invest in and trade shares of private companies (e.g. real estate, funds, operating companies) as easily and efficiently as they invest and trade shares of any publicly traded company. The value of the ecosystem is becoming increasingly relevant as companies remain private longer, while their investors have limited options for secondary liquidity.
tZERO ATS is an organized and automated marketplace, which transacts hundreds of thousands of shares per month and is growing rapidly. While this volume may be a fraction of what is transacted in the traditional world, it is a major and positive trend in this growing ecosystem. tZERO’s platform allows retail
investors the ability to invest in these securities and offers issuers the opportunity to provide valuable liquidity to their existing shareholders.
In Q3 2020, tZERO ATS recorded $39M of digital security trade volume, nearly a 20x increase compared to the $2M achieved in Q3 2019. tZERO ATS also accounted for roughly 99% of all digital security volume last quarter. In addition, the digital securities traded on the tZERO ATS represent 85% of all digital security value.
tZERO has recently announced multiple partnerships, which will continue to revolutionize the illiquid and private security market:
• St. Regis Aspen Resort – $20 Million of Equity – A security representing ownership in the St. Regis Aspen Resort, a five-star, 179-room luxury hotel that is located in Aspen, Colorado, commenced trading on the tZERO ATS in August 2020. The issuer of the digital security, Elevated Returns, intends to tokenize roughly $1 billion of real estate projects in the future.
58 FON MAGAZINE / SPRING ISSUE 2021 / FONMagazine.com