The company announced a $25 million ‘Signature Fund’ to build a decentralized version of the Internet, where users will own their own data and apps will live locally on their devices.
Blockstack is launching $25 million Blockstack Signature fund with the help of venture capital groups and firms. The fund is backed by Lux, OpenOcean, VersionOne, RisingTide, and Compound.
Blockstack is decentralized internet and developer platform based in New York. It was created in 2013 as a small startup in the sphere of bitcoin transactions. Now this platform is one of the biggest and world known platform for decentralized internet resources.
The Blockstack Signature fund aims to mutually beneficial collaboration between decentralized app creators and the venture capital firms or potential investors.
Muneeb Ali, co-founder of Blockstack, said: “We are at a stage where some of the developers are incredibly excited about building apps and usually get in touch with us. If developers get in touch with us with an app that they are excited about, this is one funding channel we can point them to.”
The main role of Blockstack in Signature fund is to find the venture capital companies that are interested in decentralized applications, then attract the developers and help to establish the partnership between them.
According to Blockstack, the Signature fund will dedicated to “rapidly accelerating startups building decentralized applications on the platform, and tools for developers to bootstrap their apps, with tokens on the Blockstack network — just like you see with Ethereum.”
VC (Venture Capital) investing is a type of financing that means money investment to small firms or startups that have potential and can be profitable in future. Creation of Signature fund shows that traditional venture capital still attracts players nevertheless Blockstack specializes in decentralized applications and raising fund via ICO.
However, this is not to say the Blockstack does not continue its ICO strategy. Previous step in this area was creation of decentralized internet browser as a kind of Netscape. This browser includes current applications based on different blockchains. Next step will be ICO funding, in which Blockstack plans to sell its own cryptocurrency for future apps that will used on its platform.
One more method of Blockstack development is aim to launch an award, based on renowned XPRIZE. Primary XPRIZE was established by Peter Diamandis and Google director Ray Kurzweil to promote fast technological development that benefits humanity.
Blockstack’s “x-prize” will be the best way to motivate developers to find solutions to some of blockchain’s oldest unfulfilled tasks. Muneeb Ali says: “Some high-profile investors are willing to put up these prizes for specific apps. We’re pretty excited about that, but we’re ironing out the details.”
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