Overstock.com Inc. (NASDAQ:OSTK) Q2 2019 Earnings Conference Call Transcript
Aug 08, 2019 • 04:30 pm ET
out the last two.
On August 6, we announced that we were awarded a patent for how traditional systems can be anchored into the blockchain. This is the second patent this year and we see it as complementary to the first. On the last item, you see in a few days we expect to trade the tZERO token among non-accredited investors, so for those tokens to become freely tradable.
And before we go on, I'll just point out that it was over a year ago some laid out a road map that seemed unbelievably compressed to a number of people. And if you go back and check, every he has hit, essentially every day, maybe some -- let's say a week or two, something like that, but he has brought to life in just 15 months. This is an incredible set of achievements, that I actually don't think the market has recognized the significance of what these all stack up to.
Go ahead, Saum.
Thanks, Patrick. Next slide. This is Slide 9, the security token ecosystem. As you can see, we've made significant progress here. We completed on the left the tokenization, which less issuers digitize their assets. And also on the top right in blue, you see we signed up a second broker dealer ETC to trade security tokens. We're in conversations with additional third-party brokerages, so to create liquidity we want to make sure we allow multiple sources of brokerages to access this new ecosystem. And we've also filed for our own new member application for our own in-house retail broker dealer.
Saum, can you comment on the recent announcement of an Overstock dividend, what that has done for you in terms of?
Yes. And actually we will get to that, but the dividend we recently announced OSTKO will bring 40,000 to 50,000 new customers to this new ecosystem. So a huge advantage and getting adoption for our platform. And in addition, we've had a significant outreach of for many broker dealers -- big name broker dealers that are interested in participating in security tokens. And we have all the technology to power them and give them access to security token trading.
Okay. Next slide. This is a list of the Company priorities, which we further refined. The first onboard quality assets, enhance liquidity, launch the new version of our DLR, Digital Locate Receipt platform, and get our national exchange BSTX live.
Slide 11. So the first priority is to onward quality tokens. To achieve this, we launched OSTKO as the second token on June 27. This is digital preferred share of Overstock's public stock. We announced an LOI to tokenized the first major motion picture Atari, which is produced by Leonardo DiCaprio's production company. So we think it's -- this has the opportunity to massively disrupt how film raises capital. We've hired and it's not listed here, but a Head of Issuance, Brooke Navarro, a Managing Director from Barclays to lead the issuance effort.