Backed by the Founder of Mozilla and CEO of Brave, SPiCE VC Is Launching A Fully Regulated Blockchain VC

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SPiCE VC, a venture capital firm, is leveraging blockchain technology to remove the biggest problem for investors in VC funds – the 7-10 years illiquidity period. SPiCE is announcing today the launch of the first ICO for a VC fund that can accept funds from pre-qualified investors (per country regulations, and under Reg D Rule 506(c) in the US) and offers immediate liquidity in a market that was until now completely illiquid.

ICOs are already disrupting the way individual blockchain startups raise money, but what about the way VCs themselves raise capital? Today, investing in the most exciting (and risky) stage of startups, is blocked for most private investors, and even financial institutions could only dedicate a fraction of investments to VC funds because of the 7-10 years lockup. Digital tokenization has the ability to change the way VC funds raise, invest and distribute capital, making it more liquid, inclusive, and manageable.

SPiCE uses the ethereum blockchain to host their SPiCE token, which acts as a digital security, assuring that every investor, while holding the token, gets their share of the exits when they occur. The token can also be used as a tradable asset, making SPiCE both asset-backed, and liquid, and rightfully coining itself a Liquid VC. The SPiCE token ICO is scheduled for late November.

SPiCE will invest its funds in a gap the company identified in the tech ecosystem: Over the last few years, it has become easier for new startups to raise seed money from hundreds of angels and incubators. The challenges arise when arriving to the series A rounds, which have grown in size, and so have the milestones that startups must achieve to secure them. SPiCE VC will focus on companies in that gap, either pre-series-A or pre-ICO, because once a company crosses the chasm, it achieves the fastest growth in valuation, which SPiCE investors may benefit from via its liquidity.

SPiCE offers benefits to both the financial and blockchain industries:

From the world of the blockchain it brings:

  • Immediate liquidity
  • Inclusivity, opening venture capital to pre-qualified investors
  • Investments in blockchain equity rounds, and ICOs

From the world of the venture capital it brings:

  • Robust investment process and due diligence by a team of experienced entrepreneurs
  • Diversification outside crypto, into equity investments across the hottest tech sectors
  • Backing tokens by assets, shielding them from market volatility

Spice boasts a tremendous group of advisors, including Loic Le Meur, famous entrepreneur and founder of Le Web, Brendan Eich, inventor of JavaScript and co-founder of Mozilla and Brave which launched the Basic Attention Token ICO, as well as Eyal Hertzog, founder of Metacafe and co-founder and architect of Bancor. SPiCE is also partnering with the Aragon Network, a digital jurisdiction platform, to bring governance to the world of security tokens.

“While equity crowdsourcing brought startup investments to the public,” said Carlos Domingo, Co-Founder and Managing Partner of SPICE, “we are hoping that SPiCE with its liquidity and inclusivity, will bring more people to investing in a venture capital fund, taking the portfolio approach, and avoiding the inherent risk of investing into a single startup or ICO.”

“We are excited about Spice’s decision to utilize the Bancor protocol to add liquidity to its security token,” said Eyal Hertzog, Co-founder of Bancor and SPiCE adviser, “The extreme efficiency that blockchain and smart contracts technologies enable, resulted in a volume of ICO crowdfunding for blockchain companies that has surpassed traditional early stage VC investment, and now with SPiCE VC, this revolution is coming for the funding of VCs themselves.”

About Richard Kastelein

Founder of industry publication Blockchain News, partner at ICO services collective CryptoAsset Design Group (helped raise over $200m+), director of education company Blockchain Partners (Oracle Partner) and ICO event organiser at leading industry event  CryptoFinancing (first ICO event in Europe) – Richard Kastelein is an award-winning publisher, innovation executive and entrepreneur. He sits on the advisory boards of half a dozen Blockchain startups and has written over 1200 articles on Blockchain technology and startups at Blockchain News and has also published pioneering articles on ICOs in Harvard Business Review and Venturebeat.
 
Kastelein has spoken (keynotes & panels) on Blockchain technology in Amsterdam, Antwerp, Barcelona, Beijing, Brussels, Bucharest, Dubai, Eindhoven, Gdansk, Groningen, the Hague, Helsinki, London, Manchester, Minsk, Nairobi, Nanchang, San Mateo, Shanghai,Tel Aviv and Venice. His network is global and extensive.
 
He is a Canadian (Dutch/Irish/English/Métis) whose writing career has ranged from the Canadian Native Press (Arctic) to the Caribbean & Europe. He’s written occasionally for Harvard Business Review, Wired, Venturebeat, The Guardian and Virgin.com and his work and ideas have been translated into Dutch, Greek, Polish, German and French.
 
A journalist by trade, an entrepreneur and adventurer at heart, Kastelein’s professional career has ranged from political publishing to TV technology, boatbuilding to judging startups, skippering yachts to marketing and more as he’s travelled for nearly 30 years as a Canadian expatriate living around the world.
 
In his 20s, he sailed around the world on small yachts and wrote a series of travel articles called, “The Hitchhiker’s Guide to the Seas’ travelling by hitching rides on yachts (1989) in major travel and yachting publications. He currently lives in Groningen, Netherlands where he’s raising three teenage daughters with his wife and sailing partner, Wieke Beenen.

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