Why tokenizing a fund is a good thing

Carlos Domingo
Oct 30, 2017 · 9 min read

Advantages of tokenizing a fund

“A VC partnership is a 10- year blind-pool — a long relationship in which investors have limited ability to exit, and no clarity of outcomes”

From “Venture Crap” by Jean de La Rochebrochard

“LP interests are likely to be tokenized. The prestige VC firms will resist this, but there are already a few new VC firms at the margins that are tokenizing. Soon, a few more will do it. Then a few more. Eventually, illiquidity will be a competitive disadvantage in fundraising that only the top firms will be able to justify.”

“We are beginning to explore the possibility of issuing a VC Token for our diverse network of investors, entrepreneurs, local and global businesses. We’d like for this to be a Smart Token, so it can benefit from continuous liquidity from day 1.”

Tokenized funds vs publicly listed funds

Conclusion

SpiceVC

Disrupting the world of venture capital with the Blockchain

Carlos Domingo

Written by

Co-founder and CEO Securitize and co-founder and managing partner of SPiCE VC.

SpiceVC

SpiceVC

Disrupting the world of venture capital with the Blockchain