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Australian Bitcoin Entrepreneur Launches Robo-Advice Platform

Source: bitcoin

Bitcoinist_Future Penny Robo-Advice

It is no secret bitcoin entrepreneurs and startups have a vested interest in disrupting the financial system as we know and use it to this very day. Although not everyone may know the name Zhenya Tsvetnenko, this Australian Bitcoin entrepreneur has joined forces with David Pettit to form a new robo-advice platform.

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FinTech and Bitcoin Collide For New Robo-Advice Platform

People active in the world of financial news may have heard the term robo-advice before, as it seems to be one of the hottest trends in FinTech right now. Especially the millennials demographic is looking for financial advice, but they are not comfortable with just relying on the information given to them by banks and other financial institutions.

When a Bitcoin entrepreneur and a financial planner come together to create a new robo-advice service, exciting things are bound to happen. Future Penny, as this platform is called, was founded half a year ago, and both co-founders invested in the project themselves. Additionally, thanks to some external financial aid, the company has secured US$500,000 in funding to get the ball rolling.

Considering how robo-advice platforms offer financial advice to its users through algorithms, it is not surprising a Bitcoin entrepreneur would be looking to get involved in such a project. Investments are just one part of the financial advice being given, though, as there is also a lot of focus on budgeting, insurance, and estate planning.

Bitcoin entrepreneur Zhenya Tsvetnenko has quite a lot of experience in the financial world, as he is the founder and director of DigitalX [ASX: DCC} and Mpire [ASX: TMP]. Some people may remember DigitalX – formerly known as Digital CC – as it is listed on the Australian Securities Exchange for public trading.  

Future Penny co-Founder David Pettit stated:

“The financial services industry continues to be led by product, rather than the best interests of the consumer. Existing robo-advice offerings are essentially designed to sell a product, while Future Penny is a platform for guided decision-making.”

Similar to other companies trying to branch out into the world of Bitcoin and FInTech, Future Penny will face a challenge in attracting clients. Although the concept of a robo-advice platform is quite appealing, and the company is already in talks with three “top tier” firms, there is a lot of competition in this market. Keeping in mind how the platform will also give investment advice, it will be interesting to see whether or not it makes any mention of Bitcoin at some point.

What are your thoughts on this new robo-advice service? Should it take Bitcoin into account for investing purposes? Let us know in the comments below!

Source: AFR

Images courtesy of StartupDaily, Shutterstock

The post Australian Bitcoin Entrepreneur Launches Robo-Advice Platform appeared first on Bitcoinist.net.

Australian Bitcoin Entrepreneur Launches Robo-Advice Platform

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Different Ways to Raise Funding For A Bitcoin Startup

Source: bitcoin


Starting a company in the Bitcoin world is not that hard these days. All one needs is a good idea, and a proof-of-concept to show this idea is valuable to begin with. But the biggest challenge for most startups is to raise enough funding, as day-to-day operations can be quite costly. Rather than looking for VC funding, there are other alternatives well worth exploring by Bitcoin entrepreneurs.

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Raising The Funding For Your Bitcoin Company

When it comes to securing funding for a Bitcoin startup, venture capitalists are the preferred target. Presenting one’s case at any of the Bitcoin conferences around the world is a great way to reach an audience of potential investors, although the end results may vary slightly. Not every concept needs VC backing, though, as there are plenty of other ways to raise funds.

Crowdfunding campaigns in the Bitcoin ecosystem are not all that common just yet, although things are changing. Equity crowdfunding is a particularly interesting trend in the digital currency space these days, where companies will offer a small share of their company in exchange for funding. What makes these campaigns so interesting is how they will get a company lots of press exposure, and there is no need to hunt down individual investors.

Even though most countries around the world are still debating on whether or not they should create a regulatory framework for Bitcoin, there could be a bright future ahead. Bitcoin offers innovation, and any form of innovation should be stimulated through startup grants. It remains to be seen whether or not these perks will ever translate to Bitcoin startups, but it is an alternative form of funding to keep in mind for the future.

Angel investors are quite popular among Bitcoin entrepreneurs these days, as they offer flexible business agreements and bring a strong network of partners to the table. But at the same time, it is difficult to obtain follow-up investments from angel investors. Startup unicorns might be an exception to this rule although they are very uncommon these days.

Last but not least, there is the option of receiving a peer-to–peer loan. Keeping in mind how Bitcoin is all about the peer-to-peer transaction, this type of funding seems to be perfect for digital currency startups and entrepreneurs. These loans provide a fast way to raise capital without sacrificing equity, but they do require some form of collateral in most cases.

There Is No Wrong Approach To Secure Funding

With so many different options at the disposal of startups and entrepreneurs in the Bitcoin industry, there is no wrong way to raise funding. Every individual method has their pro’s and con’s, and cookie-cutter solutions simply do not exist. Different types of businesses will benefit from different approaches.

Raising the necessary funding to get one’s project off the ground is an important aspect of the Bitcoin business world. Just having a bright idea is not enough, as, without money, there is not much progress to be made. That being said, combining several of the options as mentioned above might yield the best results.

How would you go about raising the necessary funding for a bitcoin funding? Are the other ways that are viable as well? Let us know in the comments below!

Source: Tech In Asia

Images courtesy of Shutterstock, Catalyst Resources

The post Different Ways to Raise Funding For A Bitcoin Startup appeared first on Bitcoinist.net.

Different Ways to Raise Funding For A Bitcoin Startup