What is blockchain venture capital?
VC stands for venture capital. Otherwise known as a type of financing that provides funding for start-ups and small businesses. It is proprietary in nature and is implemented in a company through the issue of shares or stocks. This means that the investor becomes a co-owner of the company he or she is backing. Venture capital usually comes from wealthy investors who provide young businesses with capital in exchange for shares. But it does not always take the form of money. Supporting the development of a new start-up also means knowledge and passing on priceless experience from the investor. However, what about blockchain venture capital?
What avenues are opened up by investing in blockchain VCs
The world is changing thanks to cryptocurrencies and blockchain, and building a sustainable future is integral to this. Blockchain Ventures exists to support and make investments in projects that move the sector forward and provide positive social impact. Early VCs at the crossover between blockchain and sustainable technology have been making direct investments. It turns out that this intersection of digital and sustainability is where the great growth area begins. In addition, the Covid-19 pandemic in 2020 has dramatically accelerated awareness and adoption of digital and other sustainability projects. VCs provide companies with valuable expertise and experience and, importantly, business contacts, brand value and strategic advice. Bringing in investor capital has a strong positive impact on the image of the supported company, so for external players it is a signal that it is worth investing in.