Who is CityBlock Capital?
CityBlock Capital is a venture capital firm that is looking to launch various geographically based funds. They believe the future is digital, and that the technology that will take us there is blockchain. With multiple high-profile partnerships, CityBlock Capital is poised to make waves in the industry in the coming years.
What is the problem?
Traditional investing in foreign start-ups is typically met with high levels of resistance. This may occur though simple accessibility, or through a lack of liquidity.
Both of these issues have a negative effect on both the investor and the start-up themselves. The investor is deterred due to the hurdles that must be cleared, and the start-up suffers because they may be passed over for another company.
Finally, money is limited. There needs to be a way to tap into a larger investment pool. If this is achieved, along with the removal of liquidity and accessibility issues, the industry’s future will look bright.
How will they fix it?
CityBlock Capital believes they have an answer to the issues raised above. The company intends to launch various VC funds targeted towards different markets. Their current flagship fund is specifically geared towards start-ups based in New York City. This fund is known as NYCQ, and totals $20million.
Through the implementation of blockchain, a simple idea is made possible. CityBlock capital is able to provide start-ups with capital to help them along their way. This is drawn from a pool of capital, globally, rather than being restricted to the United States. Those that invest and provide this capital receive a digital version of a ‘share’ in the fund. This digitized share is known as a security token.
This token provides international investors accessibility to start-ups in the United States. Investors within the United States are only required to invest $25,000 or more, while international investors can start with as little as $1000.
At the same time, investors have the luxury of high levels of liquidity. Through partnerships with trading platforms such as AirSwap, these tokens can be traded easily. This is enticing to investors, as they are not locked into their investments long term if they do not want to be.
By following these simple steps, CityBlock Capital has increased accessibility, liquidity, and appeal of their planned funds.
In the short time that the company has been around, the trio at the helm of CityBlock Capital have managed to develop partnerships with multiple high-profile companies. These range from Morgan-Creek Financial and Airswap, to Securitize. Drawing on their experiences from working at Google, practicing VC law, and entrepreneurialism, the following founders have high hopes for CityBlock Capital.
NYCQ is only the tip of the iceberg. CityBlock Capital has announced that this fund is only the 1st of 3 that they plan on launching before years end. Each of these funds will be targeted to specific geographical areas similar to NYCQ.
To learn details about the project, please view our CityBlock Capital Token Listing page.