New way to invest in blockchain technologies is open to all

$10 million raised in 6 hours as venture-capital company issues its own ‘investment’ digital coins.

Imagine a way to invest money in the latest tech without having to pay brokers fees or go through exchange companies. Blockchain Capital is proving its credentials as a pioneer by issuing its own digital coin. The coin has already raised USD 10 million for what the company calls “the first digital liquid venture fund”.

Blockchain Capital is a San Francisco-based venture capital firm that has been trading since 2013 and invests exclusively in entrepreneurs within the Blockchain economy. At a tech event in Bucharest earlier in the year, the managing partner, Brock Pierce, announced plans to issue his own digital tokens. This so-called ‘Initial Coin Offering (ICO)’ makes it easy for investors from all over the world to buy-into his portfolio of Blockchain start-ups. Just like with Bitcoin or other digital coins, the offer bypassed traditional regulated exchange companies and allows investors to take part direct. The fact that the new site for the ‘BCAP Tokens’ is published in Chinese as well as English, says much about the targeted audience. At the time of writing the ICO has successfully closed and the first BCAP tokens will issued on May 10.

We have already seen how Bitcoin has been used to do crowdfunding and innovations with the Bitcoin debit cards. Now with Bitcoin trading at well over a thousand dollars and many other coins appearing in the market, it seems like the Blockchain economy is here to stay.

Are investors more willing to trust Blockchain technologies after nearly a decade of Bitcoin? And how might entrepreneurs make their Blockchain offerings lower risk?