VNX Exchange Looks To Improve Venture Capital Liquidity Within Crypto Industry

2018-9-4 15:27

According to a press release written by VNX Exchange, the company is now developing a decentralized marketplace and trading platform that investors will be able to use as a way to buy and sell tokenized portfolios and venture capital funds.

During the announcement, the company has also informed that Dominque Valschaerts was added to the Board of Directors. Valschaerts already worked as the CEO of the Brussels Stock Exchange and on the Executive Committee of the Luxembourg Stock Exchange.

VNX Exchange To Attract A Huge Industry

Venture capital is a big industry and one of the major drivers of the entrepreneurship and innovation in the world. Because of this, it can be considered a very important and huge industry. Official estimates show that venture capital companies spent over $129 billion USD in 2017 in over ten thousand companies.

This enables many companies to finally achieve the results that they needed and to start ideas when the creators do not have a lot of money. Because of this, it can be said that venture capital is one of the main forces driving the digital and information revolution in this century. The numbers also indicate that 43% of the public US companies have venture capital backing.

When you look at it, 82% of the companies’ research and development can be traced back to venture capital companies, you can even include giant companies like Apple and Amazon in the list of companies that used venture capital to start.

Solving Problems In The Venture Capital Industry

However, even with these numbers, it is important to notice that venture capital was a “small” industry that was closed off to the majority of the regular investors until recently. The reasons are obvious. Venture capital, unlike some other simpler investments, requires a lot of market expertise and reliable networks to understand in which you should invest.

Some deals can be so complex that they will have over 200 pages in legal documents, so you have to be prepared before you invest.

The founder of the VNX Exchange, Alexander Tkachenko, has recently affirmed that one of the goals of the company is to unlock the ordinary investors of the industry by creating leverage to a whole new wave of innovation.

According to him, the exchange is creating a marketplace that will help to bring liquidity to an industry that has a total of $620 billion USD global venture capital. This way, they want to make it easier and cost-effective for any professional venture capital investor to get more liquidity when raising capital.

Research indicates that it takes an average of 10 to 12 years for a venture capital fund to return the capital to their investors and they rarely permit people to leave before 5 to 7 years. Also, it generally requires at least $1 million USD in capital, which is a big barrier for many investors.

One of the main goals of the VNX Exchange is to be part of the solution and to bring liquidity to this market in an effort to unlock the investors and enable more people to enter. Because of this, more regular investors will be able to enter this market and to foment more innovation.

According to the founder of the company, the VNX Exchange was created to solve this problem by combining know-how from the best practices in today’s market with the emerging new technologies like the blockchain technology.

This way, portfolios can be tokenized by using the blockchain and this will make them tradeable and more liquid in secondary markets in which startup accelerators can trade them and create an investor-friendly scenario for all.

Also, this might help to stimulate an influx of more capital into this industry, which can give more chances to people who want to get access to funds to develop new products and start their careers.

Similar to Notcoin - TapSwap on Solana Airdrops In 2024

origin »

First Bitcoin Capital (BITCF) на Currencies.ru

$ 0.01244 (+0.00%)
Объем 24H $0
Изменеия 24h: 0.00 %, 7d: 0.00 %
Cегодня L: $0.01244 - H: $0.01244
Капитализация $0 Rank 99999
Цена в час новости $ 0.0573482 (-78.31%)

company vnx venture exchange capital tokenized portfolios