Funderbeam, the subscription service for startup and investor research, has raised €655k ($745k) from angel investors and 3TS Capital Partners, taking the company to €1.75m ($2m) in total funding. This is the company’s final seed round as it builds the world’s startup marketplace based on blockchain technology.
Poised for beta launch in late 2015, the marketplace will make it easy to invest and trade in startups online so that great teams and investors can create a world where good ideas win.
The network is the institution
The internet may have removed physical barriers, but many others remain. Blockchain technology has the potential to do away with most of them. It is a technology and a network that stores, tracks, and validates digital assets and transactions in blocks of information. In other words, assets, ownership, and transactions can all be validated in minutes without the need for third-party processing. This is the context and promise that Funderbeam is building on. (See Funderbeam’s data profile here.)
“The blockchain is like penicillin that empowers assets and trading,” said Funderbeam founder and CEO Kaidi Ruusalepp. “While complicated under the hood, its effect will be massive and incredibly positive. Of course, just like penicillin, the blockchain has some adverse effects — mainly on the business models of third-party institutions whose costly presence in investing, trading, and validation is no longer required. We’re excited to see the world’s entrepreneurs explore a wild variety of disruptive applications of the blockchain. In our case, that means delivering speed, transparency, and liquidity to early-stage investors.”
Funderbeam’s final seed round brings together a stellar list of current and new investors with backgrounds in investment banking, brokerage, startups, and venture capital.
Led by Rockspring, the round also includes Skype cofounder Jaan Tallinn, Kei Aar, 3TS Capital Partners (one of Europe’s top tech VCs), Pascal Isbell (partner at Lancea Partners), Richard Parsonson (partner at Castlegreen Partners), David Braben (founder and CEO at Frontier Developments, and cofounding trustee at Rasperry Pi), Tim Parsonson (serial angel and entrepreneur) David Cummings (venture partner at Draper Esprit), Joe Schorge (angel, entrepreneur and VC/PE professional), and Chris Wade (Venture Partner at Octopus Ventures and Entrepreneur First).
“Funderbeam’s combination of startup and investor data, investment syndication, and aftermarket trading will liberate early-stage investing,” said Pekka Mäki, Managing Partner at 3TS Capital Partners. “It’s like lifting the global visa regime and replacing costly bureaucracy with diligent automation that opens up the planet. As a VC, we need to be at the forefront of these changes. We’re proud to join Funderbeam in their quest.”
“Funderbeam presents an amazing opportunity to open up private equity markets,” said David Braben. “It’s something that will make a big difference to investors, creating liquidity in a great many young companies, and so helping those companies themselves.”
Funderbeam started by cleaning up messy startup data so it could create models and algorithms for meaningful analytics. The resulting intelligence is available to subscribers today. In building the startup marketplace, the company is combining data intelligence with blockchain-based investment syndication and trading on aftermarket. The marketplace is set to launch in beta by the end of this year.
Originally published on the 15th of October 2015