All Financial Wisdom
The Berlin Startup of the Future
In the startup sector, not everything is in Silicon Valley, far from it. London and Berlin are also especially known for their enterprising and innovative pushes, and in these two capitals, there is a hotbed of startups in full spring.
And it is precisely in the cosmopolitan and diverse German capital that the startup ecosystem currently has given birth to a new member, which promises to radically change markets and the way we invest today. Of course, this new disruptive change comes hand in hand with the omnipresent Blockchain.
Why are expectations so high around the startup Neufund?
Well, as I said before, Blockchain is the issue. Neufund offers a specific token for stock markets, whose role in the crypto market will be to act as shareholder titles.
With blockchain, you can market with the fruit of your work without the need for any fiat currency, although what is really disrupting is that you will not even need any crypto-currency like Bitcoin: a token can be enough. With a simple token, you can exchange sweat equity, currency, etc…directly with others.
Going one step further in the concept of tokens and markets, the Neufund platform will allow investors to directly finance projects, startups, and companies, in exchange for shareholding in the form of tokens. A stock market in the most traditional sense of the word, but with all the advantages that Blockchain brings.
As you will have read, the intention of Neufund is to issue these tokens with the name of NEU, and that they are negotiable in the digital assets trading platforms. The people in charge of Neufund affirm with conviction that the NEU will not be an asset more to the use, but that it is going to be a new type of asset with disruptors and new characteristics. The most notable is that the NEU will be a token that will represent an action, but at the same time it will have the liquidity and negotiation capacity of any crypto-currency.
Today, investors can invest their money in crypto startups through the famous ICOs (or Initial Coin Offering), equivalent to an IPO, when a new cryptocurrency is listed on the market. But in an ICO, the investor does not acquire a title of possession of a part of the company.
The NEU intends to cover that gap, and issue tokens that are shares, but that will also enjoy all the advantages of Blockchain and the crypto-market.
At the low transaction costs of a Blockchain network, there is the absence of intermediaries because Blockchain makes the parties reliable even if they are not known. Nor can we fail to mention the possibility of adding to the equation, the potential existence of smart contracts, which would greatly simplify day-to-day market trades, and allow investors to gain a lot in flexibility, anticipation of future trades.
It remains to be seen how Neufund intends to implement other types of common operations in traditional stock markets such as the distribution of dividends. But the way to do it is quite obvious, and could be done by issuing new NEUs, as well as a capital increase. What is certain is that Neufund should be able to issue new tokens as appropriate, depending on each dividend distribution and each capital increase. In addition, the ability to include code would make NEUs flexible to adapt to an unpredictable (and unimaginable) future.
Fasten your belt and hold on tight for the takeoff of the neomarkets!