Intercontinental Exchange (ICE) has agreed to invest in tZERO’s latest financing round and license the company’s blockchain patent portfolio, as the firms set out a memorandum of understanding for infrastructure supporting ICE’s upcoming NYSE-affiliated tokenized-securities platform. The agreement, announced on August 31, makes tZERO a design partner for the proposed market infrastructure, according to tZERO.
ICE’s relationship with tZERO now includes a prospective infrastructure collaboration for its tokenized-securities initiative, as well as a direct investment and an intellectual-property licence. The announcement leaves the investment amount and the patent licence’s financial terms undisclosed.
ICE investment and patent licence
Alongside its planned investment in tZERO’s latest financing round, ICE has agreed to license the company’s blockchain patent portfolio: 23 patent families and 103 patents. The announcement does not specify how much ICE will invest or disclose financial terms for the licence.
tZERO said the memorandum positions it as a design partner for infrastructure supporting ICE’s upcoming NYSE-affiliated tokenized-securities platform.
The designation concerns development of the proposed platform, not a confirmed operating role on a live venue.
Transfer-agent role remains conditional
The memorandum sets out a collaboration framework between tZERO and ICE for infrastructure supporting ICE’s upcoming NYSE-affiliated tokenized-securities platform.
Within that framework, tZERO is expected to become an approved digital transfer agent and a platform subscriber, The Block reported. Approval and participation remain subject to regulatory, technology and operational requirements that the companies have not said are complete; neither announcement provides a launch date.
Clearing-house collateral assessment
ICE and tZERO said they will evaluate whether tZERO’s tokenized assets could be used in collateral management at ICE clearing houses and affiliates, a potential use case rather than confirmation that the assets have been accepted as collateral. The announced relationship also covers platform design, financing and patent licensing. The companies said tZERO’s expected operational transfer-agent role remains subject to regulatory, technology and operational requirements.
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