BitcoinGrowthFund, the blockchain-based startup fund headquartered in Dubai, has today announced that it has garnered interest from the global venture capital industry. In less than a week, the fund has scored investments worth $2.5 million as part of its initial Coin Offering (ICO) organized in Bangkok. It had already picked over $1.6 billion in the first 24 hours, with more capital continually pouring in over the past week. It plans to achieve an overall corpus of around $32 million.
Commenting on the fund, Arvind Sehmay, Director – Communications, BitcoinGrowthFund said,
We received an overwhelming response to our ICO and we were able to raise 1.6 million dollars in the first 24 hours itself. BGF is a liquid fund targeting investments in crypto-currency mining and startup ecosystem.
This investment fund is not quite similar to other venture capital funds you’ve read about till date. The BitcoinGrowthFund (or BGF, its sweet and short moniker) welcomes regular or small retail investors from across the globe to invest in the fund by buying tokens named “MCAPS.” The investors are paid monthly dividends based on the returns earned from investments in either of the activities mentioned underneath.
The capital raised by the venture capital fund will be utilized towards the mining of several different cryptocurrencies, ranging from DASH, Ethereum, and Monero to Litecoin, Z-cash, Bitcoin, and others. An investment in crypto-currencies can surely be beneficial because Bitcoin is currently trading at an all-time high of about $1,500 and Ethereum’s Ether token is also expected to hit $100 in the coming weeks.
But, BitcoinGrowthFund is not entirely depending on the returns from the trading of cryptocurrencies. It also plans on redirecting a chunk of the investment from an upcoming initial coin offering into new, innovative blockchain startups or projects — related to the analysis of cryptocurrencies. The investors can trade and exchange tokens acquired by them among each other or users outside their platform.
As for those unaware of initial coin offerings, this practice is steadily becoming more prominent and innovative projects make hefty sums of capital available from interested investors in an instant. It brings together investors from across the globe, without having to pay the huge onboarding charges associated with crowd-funding platforms or other means for raising capital. It also allows investors to make investments even when equity markets reach all-time highs or interest rates tank.