Following Patrick Byrne’s Exit, Overstock Will Change Former CEO’s Crypto Dividends
Overstock, a giant of the retail industry, has recently decided to drop the originally intended restrictions for its digital dividends. This happened because of trouble with the former CEO of the company Patrick Byrne.
Byrne left the company after a scandal which was said to involve a romantic affair with a Russian spy. However, before he left his position, he arranged so that the dividends of the year would be paid using a digital security listed on the company’s subsidiary tZERO.
Now, however, as he left the company, Overstock decided that it was better to restructure some of the ways that dividends would be paid in order to make the experience more seamless. In order to do it, the company has put the dividends on hold. Overstock will need time to set everything right, though, which is why the decision of freezing the assets for the moment was taken.
According to the official statement of the company, Overstock is working with the authorities in order to provide more liquidity and to structure the dividend shares in a way that they bring the most benefits to investors.
Originally, part of the dividends were paid in the way that the Byrne was structured, was to make short sellers move away from the firm. Byrne believed that people were shorting Overstock. Initially, as he presented the new payment structure, the price of the shares went up. However, after that, they went down again as some banks started to accept them.
Now, the company is working on the restructuring of the whole system to cater to the needs of the investors.