A Great Article Explaining Overstock.com’s Current Tzero Sto Offering...

[ElioWallSteet]

Here’s a highly technical explanation of what to expect from a tZERO (Overstock.Com) ElioCoin STO offering...

https://restislaw.com/tzero-security-token-offering-unpacked/

 

[Rob Croson]

He's pretty negative on the tZERO STO: "...a crappy offering" and "...expect this thing to puke hard once it starts trading. Until tZERO’s gross profits have annual growth rates approaching 40% (depending on inflation), investors who buy at $10 per token will probably be underwater." i.e. unless tZERO has an astonishingly remarkable profit growth, you will lose money by buying their tokens. (Edit: These comments were soecifically related to the tZERO initial STO, and have nothing to do with the proposed Eliocoin offering.)

Essentially, it sounds like the STOs are stock, without any of the rights and privileges of stock. If they couldn't get people to buy the stock, do they really think they can get people to buy the crappier-than-stock tokens by waving "crypto", "blockchain", and "token" buzzwords?

I guess it all depends on how the token offering is written, and the prices assigned to it. The terms they are talking about with the tZERO offering are garbage.

 

[ElioWallSteet]

He's pretty negative on the tZERO STO: "...a crappy offering" and "...expect this thing to puke hard once it starts trading. Until tZERO’s gross profits have annual growth rates approaching 40% (depending on inflation), investors who buy at $10 per token will probably be underwater." i.e. unless tZERO has an astonishingly remarkable profit growth, you will lose money by buying their tokens.

Essentially, it sounds like the STOs are stock, without any of the rights and privileges of stock. If they couldn't get people to buy the stock, do they really think they can get people to buy the crappier-than-stock tokens by waving "crypto", "blockchain", and "token" buzzwords?

I guess it all depends on how the token offering is written, and the prices assigned to it. The terms they are talking about with the tZERO offering are garbage.

Given the fact that Elio Motors has no foreseeable revenue other than a trickle of new reservations...and no significant assets...it’s hard understand how an asset backed STO (ElioCoin) would find any investor appetite...

I’m also trying to understand what are the consequences of a STO (Elio Coin) offering with regards to the value of the current Reg A+ stock...

ElioCoin is uncharted territory...

 

[FC]

Are there companies that do market research on investors? If so did Elio have the research done to see how thier STO would go?

 

[Gregw]

The more I read about this Elio coin, it seems the less I know. What I do know is that Overstock.com gambled $2.5 million on it, and I have to assume they know more than me.

 

[Sailor Dog]

How about the main points in a legitimately great article from today's (5/24) WSJ titled "Stocks Could Trade Like Bitcoin":

*Canada's TMX Group to team with Overstock.com to create first regulated exchange for STs... digital versions of stocks using block chain.

*Unlike tokens sold in ICOs...fully compliant with SEC rules.

*Largely untested, awhile until approval... Will allow startups to skip VC firms & sell shares online! More efficient & cuts investors' costs.

*Research firm Greenwich Associates said STs an "invasive species" that would cause extinction of traditional stocks.

*BOX Digital Markets in joint venture with tZero...tZero majority owned by Overstock...CEO Patrick Byrne an outspoken proponent of virtual currencies.

*# of startups planning on STs include Harbor, backed by Silicon valley firms including Peter Thiel's Founders Fund & Andreessen Horowitz.

*STs may have built-in computer program forcing owner compliance with SEC rules. ST owners must be accredited.

*BOX-tZero joint venture to be completed in weeks comes as ICO market accelerates. Discussion with regulators to follow.

*$7.15 billion raised in ICOs this year...not slowing down. Quote from Retislaw taken out of context with my emphasis: "Demand for securities on the blockchain IS so HUGE." Of course, please read the entire quote which is skeptical about demand. Read the entire article... I take an opposite view.

*No new exchange, will use BOX's existing exchange license to list STs!


So everyone can choose... believe the short sellers like the one who started this thread or the seekers of truth from legitimate sources like the Wall Street Journal. Your choice... let's all make the right one & make a fortune going long on the gold(coin)mine. Remember...GO ELIO!!!

 

[Sailor Dog]

Given the fact that Elio Motors has no foreseeable revenue other than a trickle of new reservations...and no significant assets...it’s hard understand how an asset backed STO (ElioCoin) would find any investor appetite...

I’m also trying to understand what are the consequences of a STO (Elio Coin) offering with regards to the value of the current Reg A+ stock...

ElioCoin is uncharted territory...

California & Alaska were once uncharted territory ...those who jumped early...well you know the story! *Just checked ELIO up over 5% today... that's nothing...don't just sit there...GET IN EARLY!!!

 

[ElioWallSteet]

How about the main points in a legitimately great article from today's (5/24) WSJ titled "Stocks Could Trade Like Bitcoin":

*Canada's TMX Group to team with Overstock.com to create first regulated exchange for STs... digital versions of stocks using block chain.

Unlike tokens sold in ICOs...fully compliant with SEC rules.

How about the main points in a legitimately great article from today's (5/24) WSJ titled "Stocks Could Trade Like Bitcoin":

*Canada's TMX Group to team with Overstock.com to create first regulated exchange for STs... digital versions of stocks using block chain.

*Unlike tokens sold in ICOs...fully compliant with SEC rules.

*Largely untested, awhile until approval... Will allow startups to skip VC firms & sell shares online! More efficient & cuts investors' costs.

*Research firm Greenwich Associates said STs an "invasive species" that would cause extinction of traditional stocks.

*BOX Digital Markets in joint venture with tZero...tZero majority owned by Overstock...CEO Patrick Byrne an outspoken proponent of virtual currencies.

*# of startups planning on STs include Harbor, backed by Silicon valley firms including Peter Thiel's Founders Fund & Andreessen Horowitz.

*STs may have built-in computer program forcing owner compliance with SEC rules. ST owners must be accredited.

*BOX-tZero joint venture to be completed in weeks comes as ICO market accelerates. Discussion with regulators to follow.

*$7.15 billion raised in ICOs this year...not slowing down. Quote from Retislaw taken out of context with my emphasis: "Demand for securities on the blockchain IS so HUGE." Of course, please read the entire quote which is skeptical about demand. Read the entire article... I take an opposite view.

*No new exchange, will use BOX's existing exchange license to list STs!


So everyone can choose... believe the short sellers like the one who started this thread or the seekers of truth from legitimate sources like the Wall Street Journal. Your choice... let's all make the right one & make a fortune going long on the gold(coin)mine. Remember...GO ELIO!!!

Unfortunately... your takeaway’s from the article are incorrect with regards to an STO (ElioCoin)...

I respectfully suggest you do some research with regards to the differences between ICO (utility coin offering)...and an STO (secured token offering)...

Basically...an STO is just a blockchain derivative of a IPO stock offering... really not that different from Elio’s failed 100 million NASDAQ attempt...

At this juncture...ElioCoin will need SEC approval because it is an STO...not an ICO...

One would have to assume that the SEC was responsible for Elio canceling their last 100 million NASDAQ attempt...bluntly put...the SEC declined their application...

As has been widely discussed on this forum...Elio’s Reg A+ stock has not met current SEC reporting standards... and has been downgraded...and left investors with huge losses..

Bottom line...the asset backed proposed STO ElioCoin is subject to stringent SEC regulations...and faces the strong possibility of being declined again...

ElioCoin is just not free money...LOL

 

[Sweet Leilani]

Unfortunately... your takeaway’s from the article are incorrect with regards to an STO (ElioCoin)...

I respectfully suggest you do some research with regards to the differences between ICO (utility coin offering)...and an STO (secured token offering)...

Basically...an STO is just a blockchain derivative of a IPO stock offering... really not that different from Elio’s failed 100 million NASDAQ attempt...

At this juncture...ElioCoin will need SEC approval because it is an STO...not an ICO...

One would have to assume that the SEC was responsible for Elio canceling their last 100 million NASDAQ attempt...bluntly put...the SEC declined their application...

As has been widely discussed on this forum...Elio’s Reg A+ stock has not met current SEC reporting standards... and has been downgraded...and left investors with huge losses..

Bottom line...the asset backed proposed STO ElioCoin is subject to stringent SEC regulations...and faces the strong possibility of being declined again...

ElioCoin is just not free money...LOL

Even I understand the difference between a STO & ICO. My bruddah said to avoid utility tokens.

 

[Sailor Dog]

Unfortunately... your takeaway’s from the article are incorrect with regards to an STO (ElioCoin)...

I respectfully suggest you do some research with regards to the differences between ICO (utility coin offering)...and an STO (secured token offering)...

Basically...an STO is just a blockchain derivative of a IPO stock offering... really not that different from Elio’s failed 100 million NASDAQ attempt...

At this juncture...ElioCoin will need SEC approval because it is an STO...not an ICO...

One would have to assume that the SEC was responsible for Elio canceling their last 100 million NASDAQ attempt...bluntly put...the SEC declined their application...

As has been widely discussed on this forum...Elio’s Reg A+ stock has not met current SEC reporting standards... and has been downgraded...and left investors with huge losses..

Bottom line...the asset backed proposed STO ElioCoin is subject to stringent SEC regulations...and faces the strong possibility of being declined again...

ElioCoin is just not free money...LOL

Wish I could post the article here. A security token will ultimately be a SEC regulated security backed by real assets of the company, unlike a utility token.

Not a takeaway, but a summary. The article & my crib version pleases investors'... ELIO up 19 cents. Going long will beat going short...have you read about the trouble short traders are having with ELIO lately... up over 40% on the pro-USA long side of ELIO in past few months. How's the short side doing lately? LOL