CV VC (Crypto Valley Venture Capital), a Switzerland-based consortium has launched a blockchain startup factory with a $100 million goal, reported on September 20.
According to the reports, CV VC has launched its first incubator dubbed “Genesis Hub” in the Zug’s canton, also recognised as Switzerland’s Crypto Valley. The Crypto Valley Association was established as a government-backed consortium in March 2017 for the purpose of “supporting the blockchain development as well as cryptographic related businesses and technologies”.
At present, the incubator incorporates 20 blockchain startups, although it intends to fund 60 new companies per year eventually. As part of the action, the approved startups will finish CV VC’s three mont kickstart program, along with a seed funding of $125,000, while the most promising projects will receive later stage financing. Also, startups will be offered support and mentoring from the technology consultants of the consortium.
Reportedly, the company’s long-haul goal is to open the doors for 1000 blockchain organisations across the world each year. In return for the financial support of CV VC, the startups will have to give it a stake in their business of up to 8% in the form of digital tokens or shares.
The aim of CV VC also incorporates establishing same incubators in others nations and developing a global network in the coming time. Mathias Ruch, the co-founder of CV VC, said that “blockchain technology is a global phenomenon so we could expand anywhere in the world”.
Furthermore, Ruch believes that ICOs along with IPOs will facilitate the new model creation of financing for young companies. The vice-president of the Crypto Valley Association and CV VC advisor, Vasiliy Suvorov supported that vision, stating –
“ICOs will continue to be a useful mechanism, but they will no longer be core to the blockchain economy. We have had all the hype about ICOs, and now we need a model that takes all these great technology ideas and brings them into the real economy.”