HK’s GSR Capital To Invest $374M in Overstock, $270M Goes to Blockchain Subsidiary tZERO

Hong Kong-based private equity firm GSR Capital will invest a total $374.55 million in e-commerce retailer Overstock, with $270 million to be allocated for its blockchain subsidiary tZERO.

tZERO CEO Saum Noursalehi commented on the deal:

"We are honored to have GSR Capital as a strategic investor. The tokenization of securities has the potential to disrupt global capital markets responsible for moving hundreds of trillions of dollars. Together with our partners, we will globalize our blockchain-based platform, bringing more efficiency, liquidity, and trust to capital markets,"

At the beginning of July, it was reported that tZERO signed a letter of intent with GSR Capital to raise $160 million, with the latter investing the funds in tZERO’s security token offering (STO), a form of fundraising that resembles an initial coin offering (ICO) but is compliant with the regulations. However, as we see in the recent announcement, the Hong Kong firm has increased its stake.

Sonny Wu, the chairman and founder of GSR Capital, commented:

"GSR Capital is very excited to partner with tZERO in its effort to expand the global footprint for blockchain-enabled asset trading including stocks, bonds, commodities, etc. We have a long-term view on how we want to scale this platform on a global basis."