RevenueCoin Says it is Shaking Up the Venture Capital World

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The venture capital (VC) industry has historically had a high barrier to entry. Everyday people could put some of their money in things like stocks but venture capital was reserved for the large firms and investors with millions of dollars to throw around.

However, we live in the 21st century where many industries have been democratized thanks to the internet and the disruptive technologies that thrive on them.

Take blockchain, for example. The technology that brought up cryptocurrency has been used to create easier access to the real estate market and now, the venture capital market is getting the same treatment.

How the VC World is Changing

The influx of blockchain into the world of VC means that there is a new way not only for more people to get into the industry but new ways for companies to receive funding. One example of this is RevenueCoin, a blockchain-based VC company that claims to democratize the industry and disrupt it through an innovative new model.

On the surface, RevenueCoin’s business model takes the form of the traditional initial coin offering (ICO) and will also be having their own initial dex offering (IDO) on several launchpads. Interested parties do not buy into the company directly but instead, buy $RVC, RevenueCoin’s native BEP-20 cryptocurrency. Because this process is based on blockchain, it is more straightforward and less complicated for the buyer.

After funds are collected from the sale of $RVC, then comes the actual funding part. Out of a number of possible companies, a select few are chosen through a combination of Revenue Capital experts’ opinions and voting from the community. Once the companies are chosen, they agree that after they receive funding, a portion of their revenue will be used for the buying and burning of $RVC in the future.

The funds from the RevenueCoin community are used to help the chosen companies expand and grow their revenue and when this is done, they will then buy up certain amounts of $RVC and burn them from existence. The reason for this is that the value of $RVC is based on a number of factors, including its supply.

By buying up significant amounts and burning them, the value of the $RVC that is left (the ones held by those who initially bought in to fund the companies), will go up in value, helping them to make a profit. The token is also tradable on various centralized and decentralized exchanges, meaning investors can liquidate their stash whenever they wish. RevenueCoin already has two profitable companies in its roster, Exeria and SkyRocket, and intends to bring more onboard over time.

RevenueCoin maintains that its system is unlike anything that the VC world has seen before and offers a ton of benefits for all players in the ecosystem. For the people who wish to invest, the barrier to entry is lowered and as such, they will be able to get into VC, which would have been much less likely otherwise.

Investors will also be able to watch the real-time growth of their tokens’ value and make core decisions about which companies will receive funding. For the companies, they can receive the funding they need to expand.

Blockchain in Venture Capital

RevenueCoin and other companies in the blockchain VC space intend to have a long-term effect. The VC space may become a less exclusive affair, as everyday people will be able to buy into it and make a profit. Companies may also be able to access more diverse sources of funding and not just to large VC firms with stringent requirements.

Overall, a combination of blockchain and a disruptive outlook may create a healthier and more community-focused landscape.

The preceding post was written and/or published as a collaboration between Benzinga’s in-house sponsored content team and a financial partner of Benzinga. Although the piece is not and should not be construed as editorial content, the sponsored content team works to ensure that any and all information contained within is true and accurate to the best of their knowledge and research. The content was purely for informational purposes only and not intended to be investing advice.