The upward momentum of the security token sector slowed in the first three quarters of 2020and monthly volume fell by more than 40% for the second consecutive year.
Since it cost nearly $ 22 million in August, Monthly security token trading fell to $ 9.15 million in September before falling to $ 5.27 million in October.
Because 98% of the trade in the sector is carried out via the alternative trading system tZERO, Ownership of OverstockIt appears that Overstock’s plan to increase volume by issuing a “digital dividend” in the form of air-dripped securities to OSTK shareholders has lost steam.
Overstock’s security token OSTKO, which represents 50% of the market capitalization of the combined value token, lost 18% of its value in OctoberThe monthly volume decreased by 20% to around USD 3 million. With a market capitalization of $ 252 million, OSTKO would be the 53rd largest crypto asset overallaccording to CoinMarketCap.
Oddly enough The token traded for $ 70 in October, almost 20% less than OSTK stocks. But still, OSTKO closed the month at $ 57, a dollar higher than the price of Overstock stock.
Most of the security token volume that fell in October took place in the markets for tZERO’s TZROP token, which traded just $ 2.15 million last month, down 60% from $ 5.29 million. USD equivalent in September. The token also lost 8% of its value last month.
With a capitalization of $ 180.7 million TZROP is the second largest security tokenThis makes it the 65th largest crypto asset overall.
While tZERO has maintained dominance over the secondary security token markets to this day, A growing number of companies are building platforms to facilitate the creation and issuance of security tokens.
A week ago, Ignuim has partnered with the equity crowdfunding platform Fundwise launch a tokenized crowdfunding service for small and medium-sized businesses.
Last month, the Japanese financial services company SBI Holdings announced that would make a security token offering to issue shares in its esports subsidiary.