Blockchain Valley Ventures opened its doors Thursday in Zug, Switzerland, bringing together veterans from IBM, UBS, and SAP alongside the Swiss startup Lykke to back early-stage crypto companies. The
Blockchain Valley Ventures opened its doors Thursday in Zug, Switzerland, bringing together veterans from IBM, UBS, and SAP alongside the Swiss startup Lykke to back early-stage crypto companies. The new firm will offer capital, business guidance, and advisory work to blockchain startups, with an initial focus on Switzerland and Europe.
Oliver Bussmann leads the board at BVV and also heads the Crypto Valley Association. He previously held the role of group chief information officer and group managing director at UBS. "BVV's core mission is to build bridges between startups and investors, assisting those projects which offer real, substantive benefits to the global digital economy and the blockchain sector as a whole," Bussmann said. "Our partners are proven and successful companies who support the further development of a credible blockchain-powered ecosystem – both within Switzerland and internationally."
Switzerland houses one of the world's most developed blockchain and crypto ecosystems. The government has backed the sector through accommodating regulations and a welcoming policy stance. The Crypto Valley Association, established in January 2017, works to expand blockchain development in Zug and across the country.
General partner Heinrich Zetlmayer, who ran IBM Global Business Services in Switzerland before joining BVV, described the firm's aim as becoming "a leading management holding in the crypto space, offering assistance to projects we believe have real potential to have lasting effects on industries primed for disruption." Zetlmayer added that blockchain has already reshaped supply chains, e-commerce, and fintech. "We are excited to be facilitating and supporting the continued transformation of our shared global digital future," he said.
BVV will offer several services. The firm manages its own funds and works with venture capital partner Vicenda Asset Management AG on the Blockchain Investment Opportunities Note. It also helps companies with business and financial planning, initial coin offering strategy, marketing work, token design, and access to Lykke's open-source technology. Lykke operates a blockchain-based trading platform for cryptocurrencies and financial assets.
Lykke founder and CEO Richard Olsen said the firm will help BVV's portfolio companies launch and scale. "As ICOs have become the new normal, it is no longer necessary to wait until you have accumulated significant revenue to make your dreams into reality. However, many would-be token-issuers need guidance which is neutral, independent, and unbiased," Olsen said. "BVV provides this quality support, offering the necessary advice and assistance so that inspired businesses may fully recognize their potential."
BVV employs what it calls a "hybrid model" that merges traditional venture capital investment with ICO funding. The approach aims to "optimize not only the capital-raising of BVV portfolio companies but to serve as a key tool in accelerating their growth and business development, offering significant benefits compared to more conventional investment mechanisms."
