In the next step in founder Patrick Byrne’s plan to sell Overstock.com (NASDAQ:OSTK) and pivot to blockchain technology, the company’s Medici Ventures has signed a memorandum of understanding to create DeSoto, a company built to work on blockchain.
Details from an SEC filing: Byrne entered into the MOU with Hernando de Soto, will serve as chairman of DeSoto and join Medici Ventures as a director. Byrne will be co-chairman and CEO of DeSoto, to go along with his positions at Overstock and Medici.
DeSoto will be owned 50% by Medici, 33% by Hernando de Soto and 17% by Byrne.
“The goal of the new company is to develop a blockchain-based system to develop a global property registry system focused on the property rights of people in the developing world,” the filing says.
Overstock and/or Medici will pay or contribute $14M to launch the project, with $8M funding DeSoto, and Byrne will personally contribute $14M to the launch.
OSTK rose 10.7% today.
This article was curated from Google News. You can read the original article here.