Overstock has acquired SpeedRoute. Overstock used its crypto currency subsidiary t0 to make the acquisition. t0 develops technology that aims to make private and public equities trading secure. Overstock believes the deal should help connect crypto capital markets to existing national markets. The deal is valued at $30m.
Overstock, a Bitcoin supporter, hopes to reinvent the public stock market using cryptosecurities, or virtual stocks based on bitcoin's blockchain technology. Bitcoin is a digital currency platform with no central regulating authority involved in the transactions. It is also called crypto currency because it utilizes military-grade cryptography to protect users against fraud. Bitcoin and other cryptocurencies operate on blockchain which is a distributed public ledger. Cryptosecurities will likely be the next major change in the stock market. With this deal, Overstock will enter a new financial technology space. SpeedRoute’s infrastructure and its underlying technologies will help the company to connect t0 securities trading platform with the entire U.S. equity market. This will bring in more transparency and efficiency to the existing capital markets, which was the basic idea behind t0.com.