ER XSpring Fund 1, seeded by XSpring Capital and managed by Elevated Returns, announced it participated in the Series B investment round in tZERO, a financial technology company that provides transformative market-based solutions for companies, entrepreneurs, and retail and institutional investors, to support tZERO’s long-term mission of innovation. Since its founding in 2014, tZERO’s mission has been to democratize access to capital markets by establishing more efficient, accessible, and transparent marketplaces. ER XSpring Fund 1’s investment is a part of tZERO’s strategic funding round led by NYSE parent company Intercontinental Exchange, Inc.
Elevated Returns and tZERO have worked together since 2020 to stimulate the growth and adoption of digital securities. In August 2020, the St. Regis Aspen digitally enhanced security (ASPD) commenced trading on the tZERO ATS, enabling investors to have shares of indirect ownership in the St. Regis Aspen Resort, a five-star, 179-room luxury hotel located in Aspen, Colorado. The issuer of ASPD, Aspen Digital, Inc., is managed by ER-RE, LLC., a subsidiary of Elevated Returns, a New York-based real estate asset management and advisory firm. In addition to its capital investment, Elevated Returns also entered into a Memorandum of Understanding (MOU) with tZERO to collaborate on the growth and adoption of digital assets globally.
As a part of the MOU, Elevated Returns and tZERO are exploring synergies to increase the securities trading on the tZERO ATS by offering investors the ability to invest in financial products within Elevated Returns’ network. The companies are also looking into the possibility of quoting securities on both tZERO ATS and Elevated Return’s regulated securities trading venue in Southeast Asia in an effort to create a compliant and frictionless East-West corridor and enhance global liquidity. With Elevated Returns and tZERO each having pioneered blockchain-enabled securities and liquidity solutions, the companies are examining joint thought leadership opportunities to continue their education and advocacy efforts to promote the digital asset ecosystem.
“We could not a find a more trusted partner for our digital assets strategy in the U.S.,” said Stephane De Baets, President of Elevated Returns. “tZERO has the right technology, the right stakeholders, and the right regulatory approach to develop a marketplace that has the integrity and transparency the sector needs to trigger mass adoption.”
“tZERO, like Elevated Returns, is a proponent of developing a compliant financial ecosystem focused on investor protection and responsible digital innovation that supports long-term market stability and adoption,” said David Goone, Chief Executive Officer of tZERO. “We look forward to collaborating further with the like-minded firm and continuing our efforts to grow the digital asset ecosystem.”
ER XSpring Fund is a venture fund managed by Elevated Returns investing in companies developing infrastructure for the digital securities and digital assets ecosystem. It usually invests in seed to series B capital rounds.
Elevated Returns (ER) is a financial group leading the push to digitize traditional assets, and a parent company to ER Global, which focuses on capital partner replacements, equity monetization, and recapitalizations for class A properties located throughout the U.S, Southeast Asia, and Europe. Elevated Returns and ER Global established themselves in the blockchain industry as one of the first companies to successfully structure, implement, and execute the tokenization of a trophy asset, the St. Regis Resort Aspen, Colorado, a project which raised $18 million USD through a security token offering (STO) in 2018. ER acts as principal in its transactions.
Read other stories: The Token RegRadar Interview Series – Episode 1