tZERO Group, Inc., a blockchain-powered multi-asset infrastructure firm, announced the launch of a private marketplace for secondary trading of illiquid Web3 assets. The platform enables institutional buyers and sellers to transact locked tokens, Simple Agreements for Future Equity (SAFEs), Simple Agreements for Future Tokens (SAFTs), and private equity in crypto-native companies within a compliant U.S. environment. This initiative addresses the fragmented bilateral transactions that have historically characterized this asset class.
The marketplace operates under tZERO's SEC- and FINRA-regulated broker-dealer, which includes a special purpose broker-dealer (SPBD) for secure on-chain custody of digital assets. Participants can choose between traditional OTC brokerage and a differentiated blind auction model designed to enhance price discovery. In the auction model, investors submit private Indications of Interest (IOIs) specifying price and quantity, while sellers define auction terms such as duration and reserve price. Allocations follow a price-time priority methodology, and participants may elect all-or-none parameters to avoid partial fills.
Alan Konevsky, CEO of tZERO, stated, 'Our initial focus with this asset class is on secondary liquidity and launching a fully regulated, licensed private marketplace for the trading of private and traditionally illiquid Web3 assets. The platform is purpose-built for institutional buyers and sellers and provides high-touch execution support alongside multiple price discovery options.' Mike Diedrichs, Head of Sales at tZERO, added, 'We're seeing strong demand from institutional investors and venture funds for structured liquidity in Web3 secondaries – a gap the market has simply not been able to fill in a regulated way. This launch positions tZERO as a leading venue for institutions that require transparency, compliance, and execution certainty as they navigate this rapidly expanding asset class.'
The announcement marks a significant step in expanding institutional infrastructure for digital private markets by introducing structured liquidity pathways for venture portfolios. tZERO operates through its broker-dealer subsidiaries, including tZERO Digital Asset Securities, LLC (registered with the SEC and a member of FINRA and SIPC) and tZERO Securities, LLC (also registered with the SEC and a member of FINRA and SIPC). More information about these entities can be found on FINRA's BrokerCheck.
The launch responds to growing demand for regulated liquidity in the Web3 secondary market, where institutional investors and venture funds seek transparent and compliant trading venues. By providing multiple execution pathways and a regulated environment, tZERO aims to improve execution certainty and accelerate deal timelines for private Web3 assets. The company's technology services are offered through tZERO Technologies, LLC, and further details are available on its website.
