tZero Digital Securities Platform Fuels Surge in Overstock

Overstock's digital securities platform, tZero ATS, sees record trading volume in May.
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Shares of Overstock  (OSTK) - Get Report jumped Wednesday amid a surge of interest in the online retailer's digital securities platform tZero and its cryptocurrency app.

Overstock's stock price surged 6.01% to $23.28 a share after the internet shopping giant reported that its tZero digital currency trading platform handled a record number of transactions in May.

The platform, tZero ATS (Alternative Trading System), saw 423,000 digital securities traded last month, four times the volume of last May and a internal record.

Trading volume is up by almost 50% for the year to date compared to the same period during the first five months of 2019, Overstock noted in a press release.

In addition, Overstock claims that its tZero exchange accounted for 95% of all digital security token volume in May, citing Cointelegraph and Security Token Group.

Overstock's tZero crypto currency trading app, tZero Crypto, boosted its user base by 15% in March, the company said.

The surge of interest in the tZero digital currencies trading platform comes after Overstock last month launched trading of its shares on the exchange while offering a digital stock dividend.

"We had four times the trading volume last month, compared to May 2019," said Saum Noursalehi, tZero's CEO, in a press statement.

"Having significantly enhanced the liquidity on our platform, we are positioned to offer issuers and investors the best trading experience for tokenized securities," Noursalehi said.

There are currently three broker-dealer subscribers to the tZero ATS exchange, with talks underway to bring more on board, the company said.