Online retailer Overstock has taken the initiative to register its blockchain based digital preferred stock with the US SEC (Securities and Exchange Commission). In this regard, the company has submitted the S-3 form with the regulatory authority.
The news follows earlier reports that Overstock was trying to deregulate its intended digital dividend shares trading.
Jonathan Johnson, who recently assumed the position of CEO of Overstock, revealed the filing through a media release.
Johnson said “This filing represents an initial step in the company’s registration of the OSTKO dividend, and the company is engaged in active discussions with regulatory authorities to obtain approval of the registration.”
For every 10 common shares of Overstock held by shareholders, one unit of the Series A-1 preferred stock will be given.
However, in order to receive the asset, shareholders should initially need to establish an account with Dinosaur Financial Group to access the PRO Securities trading system built by tZERO, the blockchain subsidiary of Overstock.
Johnson explained how blockchain can improve investors’ experience.
“This dividend will be a great introduction for many to how blockchain technology can enhance the investor experience.”