Introducing A16Z Crypto
a16zcrypto.com
Introducing A16Z Crypto
1–10 of 312 posts
Re: Introducing A16Z Crypto
#2Here's what I don't understand: if you're a crypto project, why wouldn't you raise funds through an ICO yourself? What benefit does a16z give you? One of the biggest assets of crypto is the ability to self-fund. Also, since the space is relatively new, I have my doubts about the ability of a16z to provide any useful crypto experience.
Re: Introducing A16Z Crypto
#3Here's what I don't understand: if you're a crypto project, why wouldn't you raise funds through an ICO yourself? What benefit does a16z give you? One of the biggest assets of crypto is the ability to self-fund. Also, since the space is relatively new, I have my doubts about the ability of a16z to provide any useful crypto experience.
Unfortunately ICOs are still a grey area, legally speaking, with regards to the SEC. Some tokens are securities, some are not. Really depends on the structuring of the token and what it represents. At this time, from a risk perspective, I could see going with A16Z being a safer move. Plus, you get access to A16Z resources, which are substantial.
Re: Introducing A16Z Crypto
#4Here's what I don't understand: if you're a crypto project, why wouldn't you raise funds through an ICO yourself? What benefit does a16z give you? One of the biggest assets of crypto is the ability to self-fund. Also, since the space is relatively new, I have my doubts about the ability of a16z to provide any useful crypto experience.
ICOs have become a self-mocking joke, considering how many are outright scams or contain huge technical flaws, or some combination of the two. The latest season of Silicon Valley parodies it pretty well.
Re: Introducing A16Z Crypto
#5Here's what I don't understand: if you're a crypto project, why wouldn't you raise funds through an ICO yourself? What benefit does a16z give you? One of the biggest assets of crypto is the ability to self-fund. Also, since the space is relatively new, I have my doubts about the ability of a16z to provide any useful crypto experience.
There aren't any regulatory issues with taking investment from the a16z crypto fund, where a public ICO can bring attention from the SEC and other bodies. It lets founders and developers focus on getting their token network off the ground instead of figuring out how to do a legally kosher token sale.
Re: Introducing A16Z Crypto
#6Here's what I don't understand: if you're a crypto project, why wouldn't you raise funds through an ICO yourself? What benefit does a16z give you? One of the biggest assets of crypto is the ability to self-fund. Also, since the space is relatively new, I have my doubts about the ability of a16z to provide any useful crypto experience.
For one, raising money through an ICO is a legal gray area without much legal precedent. So even with a good lawyer, you are taking risk with the related securities laws. You might prefer to avoid this risk by raising money the traditional way.
Re: Introducing A16Z Crypto
#7Here's what I don't understand: if you're a crypto project, why wouldn't you raise funds through an ICO yourself? What benefit does a16z give you? One of the biggest assets of crypto is the ability to self-fund. Also, since the space is relatively new, I have my doubts about the ability of a16z to provide any useful crypto experience.
One good reason is that money doesn’t buy you connections, but an a16z investment does. Another is because ICOs typically turn your currency into a security at least temporarily so you might as well play that game properly. A third one is that, rather than the reputation that comes with an ICO, you’re instead getting the reputational baggage of being a16z alumni.
Re: Introducing A16Z Crypto
#8Here's what I don't understand: if you're a crypto project, why wouldn't you raise funds through an ICO yourself? What benefit does a16z give you? One of the biggest assets of crypto is the ability to self-fund. Also, since the space is relatively new, I have my doubts about the ability of a16z to provide any useful crypto experience.
They list out the reasons on the bottom of the site.
Re: Introducing A16Z Crypto
#9Here's what I don't understand: if you're a crypto project, why wouldn't you raise funds through an ICO yourself? What benefit does a16z give you? One of the biggest assets of crypto is the ability to self-fund. Also, since the space is relatively new, I have my doubts about the ability of a16z to provide any useful crypto experience.
One good reason is that money doesn’t buy you connections, but an a16z investment does. Another is because ICOs typically turn your currency into a security at least temporarily so you might as well play that game properly. A third one is that, rather than the reputation that comes with an ICO, you’re instead getting the reputational baggage of being a16z alumni.
> One good reason is that money doesn’t buy you connections
Time for a crypto LinkedIn?
Re: Introducing A16Z Crypto
#10Here's what I don't understand: if you're a crypto project, why wouldn't you raise funds through an ICO yourself? What benefit does a16z give you? One of the biggest assets of crypto is the ability to self-fund. Also, since the space is relatively new, I have my doubts about the ability of a16z to provide any useful crypto experience.
Well, there are certainly some non-cynical reasons. But one obvious one is that if you sell 10 Million of your token to A16z I bet you won't have much trouble selling billions of your token to the masses. I'm sure A16z is perfectly sincere about being long-term focused investors, but they're so perfectly positioned for pump-and-dump style schemes they may wind incurring their ill effects accidentally.