Dacxi Team

Assessing Dacxi Coin’s Commercial Demand and the Need for a New Era of Token Valuation Metrics

As the crypto market evolves, it becomes increasingly evident that traditional approaches to assessing token value, based primarily on technology metrics, are inadequate. With financial analysts entering the field, the crypto industry is naturally shifting toward emphasizing commercial demand as a critical determinant of token value. This article delves into the complexities of this shift, exploring the valuation of Dacxi Coin, an innovative project poised to disrupt the global equity crowdfunding market.

I. The Problem with Traditional Crypto Valuation Metrics:

      1. Justifying Market Capitalization through Ecosystem-based Analysis:

A coin’s current value is simply the price someone would pay for it today, factoring in the liquidity of the market for that coin. Market capitalization, a widely-used metric for valuing crypto projects, is calculated by multiplying the total number of coins in circulation by the current market price of the coin.

In the absence of credible income streams for most assets, the industry has justified a token’s market capitalization and its future potential based on ‘ecosystem metrics’, such as the number of developers in its community, dApps launched, projects built, follower community, or daily users. However, as an asset driven by demand and income streams, a crypto-token’s ecosystem only serves as an indication of market strength or potential. Ultimately, this approach is as flawed as the ‘counting eyeballs’ strategy used during the 1990s Internet Dot Com boom.

      2. The Case of Ethereum:

Ethereum (ETH) exemplifies the limitations of traditional valuation metrics. With a market capitalization of $225bn, analysts struggle to justify this valuation based on its annual revenue from fees (less than $2bn). Its $19bn in locked ETH in staking is based on that fee income, so it delivers approx a 5% return, which is unjustifiably high. The valuation is 100 times fee income, with leading commentators predicting 200-500% price growth. Ethereum may have the world’s largest and strongest ecosystem, but justifying a 500 times fee income growth is challenging, especially considering the rise of strong competitors offering much lower fees and the entry of major companies like Google, Microsoft, and Ant Financial into the token platform space.

      3. Commercial Realities:

While these ‘ecosystem’ metrics were the only credible valuation argument in the early days of crypto development, they fail to capture critical aspects of a project’s commercial viability, such as income generation and the competitive landscape.

II. The Need for a New Approach to Crypto Valuation:

      1. The Importance of Commercial Metrics:

To accurately assess a crypto project’s value, like all financial sectors, the industry will shift its focus to commercial metrics like project income and the likelihood of competitive price pressure. By emphasizing these factors, investors can gain a more comprehensive understanding of a project’s potential and make more informed decisions.

      2. Adjusting for Market Dynamics:

The crypto market is continuously evolving, and as new players enter the space and existing projects mature, it is crucial for valuation methods to adapt accordingly. By incorporating commercial metrics into valuation models, analysts can better account for market dynamics and more accurately predict future capitalization growth.

      3. Aligning Valuations with Traditional Finance Principles:

Incorporating commercial metrics into crypto valuation models can help bridge the gap between the crypto world and the traditional finance sector. By aligning valuation methodologies with principles used in mainstream finance, crypto projects can attract a broader base of investors, fostering greater market stability and growth.

III. Dacxi Coin: A New Benchmark for Token Valuation:

      1. The Launch of the Dacxi Chain and Tier 1Exchange Listings:

As the Dacxi Chain approaches its launch and listing on Tier 1 exchanges, the question of Dacxi Coin’s valuation takes center stage. Traditional metrics that focus on the developer community and dApp projects are ill-suited for valuing Dacxi Coin, as it is a fundamentally different kind of project.

      2. A Unique Value Proposition:

Unlike projects like Ethereum, Uniswap, or Chainlink, Dacxi Chain is not a ‘tokenization infrastructure’ project where its token’s demand and value are based on fee income. Instead, Dacxi Coin serves as an internal currency for a global equity crowdfunding network, facilitating investments across borders and offering a faster, more efficient alternative to traditional fiat systems and stablecoins. A secondary use case for Dacxi Coin is as a Dacxi blockchain currency for fees, like ETH, but its demand is tiny compared to transactional volume.

IV. Valuing Dacxi Coin Based on Commercial Demand:

      1. The Global Equity Crowdfunding Network:

Dacxi Coin’s value is driven by the demand generated from transaction volume on its global equity crowdfunding (eCF) network. This network aims to revolutionize the equity crowdfunding option for early-stage investments by providing global scale. Deal issuers gain access to a worldwide pool of investors, and investors gain investment opportunities from across the globe, underpinned by global standards. Blockchain technology has seven potential applications, from tokenized equity to cryptocurrency-based payments to global KYC.

      2. The Inefficiency of Fiat Systems and Stablecoins:

Dacxi Chain requires its own currency because traditional international fiat payment systems are too slow and expensive for a global network that will eventually encompass deals and investors from 100 countries using 100 currencies. The network could require investments to be sent from any country to any other country, creating the need for 100 x 100 = 10,000 different currency pairs. The stablecoin option is burdened by limited currency pairs and very negative regulatory challenges. Dacxi Coin is the best option for the network.

      3. Demand is based on the Network:

The quantity of Dacxi Coin issued is fixed, so its value is based on demand produced by the Dacxi Chain network. The Dacxi Chain links local equity crowdfunding platforms together in a network. Each platform launches deals for investment, and its investor base invests in deals offered from the network. The Dacxi Coin moves the investments from investor to deal issuer.

      4. Demand is Empowered by the Network Effect:

The ‘network effect’ is the power behind digital leaders such as Facebook, Uber, and Amazon. The more users they have, the more network connections they create, adding to the value exponentially. The more eCF platforms join the Dacxi Chain, the more deals attracted and offered, the more investors attracted and investments made, attracting more platforms. Investment volumes should grow exponentially, driving demand for Dacxi Coin exponentially.

V. Estimating Dacxi Coin’s Market Potential:

      1. The Early Stage VC Market and the Global eCF Market:

Based on the size of the Early Stage VC market in 2021 at $230bn, a global eCF market worth $100bn annually is conceivable. Considering the growing interest in alternative investment opportunities and the potential of crowdfunding in developing economies of Asia, this projection may be conservative.

      2. Market Share and Dominance in the Decentralized eCF Network:

A decentralized eCF network could capture 90% of the market share, with one dominant company claiming at least 80% of that share. In this scenario, Dacxi Coin could potentially command an annual turnover of $70bn.

      3. Monthly Turnover Fluctuations:

Given the inherent fluctuations in investment activity, Dacxi Coin’s monthly turnover could range between $3bn and $15bn. The market will decide how much currency will be held to support this turnover.

      4. Comparison with Ethereum:

Ethereum’s 100x annual turnover should not be compared with Dacxi Coin’s potential $70bn turnover, as some have suggested. Dacxi Coin will need to be bought and sold to facilitate investments with high currency velocity. Total demand would be a couple of months turnover.

Embracing the Future: A New Era of Crypto Valuation and the Unfolding Potential of Dacxi Coin:

While traditional metrics make it challenging to accurately value most cryptocurrencies, Dacxi Coin’s valuation is refreshingly straightforward. It is based on the expected demand generated by the global crowdfunding platform network set to launch in Q2/2023. As the crypto market continues to evolve, the industry must embrace new valuation methods that prioritize commercial demand, ensuring that investors can make well-informed decisions in a rapidly changing landscape.

As the crypto space matures, it is essential to recognize the limitations of traditional valuation metrics and adopt innovative approaches that better capture a project’s true potential. By shifting the focus to commercial demand and market dynamics, the industry can facilitate more accurate valuations and foster informed decision-making among investors.

The case of Dacxi Coin serves as a powerful example of the need for a new approach to crypto valuation. With its unique value proposition and potential to disrupt the global equity crowdfunding market, Dacxi Coin’s valuation cannot be adequately assessed using technology-based metrics. Instead, its potential lies in the commercial demand it generates as a transactional currency within a rapidly growing market.

As the global eCF market expands and more investors and deal issuers embrace the Dacxi platform, the demand for Dacxi Coin is expected to increase, contributing to its growing value. This demand-driven valuation approach aligns with traditional finance principles, helping to bridge the gap between the crypto world and mainstream finance.

In conclusion, the future of crypto valuation necessitates a paradigm shift that moves beyond traditional technology-based metrics and embraces commercial demand as a critical determinant of token value. By adopting this new approach, the industry can better assess the potential of innovative projects like Dacxi Coin and support the continued growth and maturation of the crypto market as a whole.

The analysis presented in this article underscores the importance of understanding the intricacies of token valuation, particularly as the market continues to evolve at breakneck speed. As the industry matures, investors and analysts alike must be willing to adapt and embrace innovative valuation methodologies that better capture the true potential of crypto projects. In doing so, we can ensure that the future of crypto valuation is as bright and promising as the innovative technologies it supports.

• The global equity crowdfunding space is evolving rapidly, with innovative platforms and technologies enabling new opportunities for businesses and investors alike. Dacxi Chain is at the forefront of this transformation, leveraging the power of blockchain and the network effect to create a decentralized ecosystem that connects investors with investment opportunities across the world. In this blog post, we’ll delve into the insights shared by Ian Lowe, CEO of Dacxi Chain, in a recent video update, exploring the company’s vision, strategy, and its potential impact on the global equity crowdfunding landscape. You can watch the full video here:

The Power of the Network Effect

Before diving into the details of Dacxi Chain’s strategy, it’s essential to understand the concept of the network effect, which underpins the company’s approach to growth. Most companies grow in a linear path, with incremental growth over time. However, some businesses, like Uber and Facebook in their formative years, experience exponential growth driven by the network effect.

The network effect refers to the compound impact of building an ecosystem where a fast-growing number of providers transact with a rapidly increasing number of customers. As the number of participants in the ecosystem multiplies, the network’s value and growth potential also expand exponentially.

Dacxi Chain leverages the network effect by connecting equity crowdfunding platforms to one another through its blockchain-based infrastructure. As a result, investors on one platform can access deals on other platforms, creating a bi-directional flow of investment opportunities and capital. This dynamic, combined with the growing number of platforms connected via Dacxi Chain, leads to a compound growth effect in which more platforms lead to more deals and investors, further attracting even more deals and investors, and so on.

Dacxi Chain’s Three-Stage Expansion Plan

To capitalize on the network effect and drive exponential growth, Dacxi Chain has devised a three-stage expansion plan:

1. MVP (Minimum Viable Product): In this initial stage, Dacxi Chain focuses on a few platforms in the Asia-Pacific (APAC) region to pioneer the core elements of the project. With a proven demand for the technology and a functioning platform, the primary goal is to validate the business model and refine the platform’s features.
2. Expansion into Key Markets: Once the MVP stage is complete, Dacxi Chain plans to expand the number of partner platforms, targeting around ten platforms in eight markets worldwide, all operating in English. This expansion will increase the network’s reach and facilitate access to a broader range of deals and investment opportunities for investors.
3. Unleashing the Growth: In the final stage, Dacxi Chain aims to bring licensed equity crowdfunding platforms from across the globe into its network. With potentially hundreds of partners, the network effect will reach a tipping point, resulting in an explosion of deals, investors, investments, and demand for the Dacxi Coin.

Presently, Dacxi Chain is focusing on the MVP stage and has made significant progress in refining its platform and establishing partnerships in the APAC region.

The Importance of Circulating Supply and Dacxi Coin’s Value

In addition to its ambitious expansion plans, Dacxi Chain has also made headlines recently with CoinMarketCap acknowledging the accurate circulating supply of Dacxi Coin. With a fixed total supply, Dacxi Coin’s circulating supply sits at an impressive 90%, placing it in a strong position compared to other major cryptocurrencies like Cardano and Polygon.

A high circulating supply is crucial to avoid devaluation from an influx of new coins, as it reassures the market that there won’t be a sudden flood of coins that could undermine their value. The value of Dacxi Coin is driven by investment demand and the need to move investments across the world, converting between different currencies. As Dacxi Chain moves into Stage 3 of its expansion, the network effect will ignite exponential growth, further increasing the value of Dacxi Coin and its utility within the ecosystem.

The Impact of Dacxi Chain on the Global Equity Crowdfunding Space

As Dacxi Chain continues to expand and connect equity crowdfunding platforms worldwide, the company’s innovative approach has the potential to revolutionize the global equity crowdfunding landscape in several ways:

1. Increased Access to Investment Opportunities: By connecting platforms, Dacxi Chain enables investors to access a broader range of deals across different regions, industries, and market segments. This increased access will allow investors to diversify their portfolios and discover new, high-potential investment opportunities.
2. Enhanced Cross-Border Investments: Dacxi Chain’s blockchain-based infrastructure facilitates seamless cross-border transactions, making it easier for investors to participate in deals outside their home countries. This will encourage capital flow across borders, stimulating economic growth and development in various regions.
3. Empowering Smaller Platforms and Businesses: By leveraging the network effect, Dacxi Chain can help smaller equity crowdfunding platforms and businesses access a larger pool of investors and capital. This will enable these platforms and businesses to compete more effectively with larger, established players in the market.
4. Greater Transparency and Trust: Blockchain technology offers enhanced transparency and security, which can help build trust among investors and businesses within the equity crowdfunding space. This increased trust can, in turn, encourage more participation in the market and fuel further growth.
5. Streamlined Regulatory Compliance: Dacxi Chain’s platform can facilitate compliance with various regulatory requirements in different jurisdictions by providing a standardized, transparent, and secure infrastructure for conducting equity crowdfunding transactions.

Final Thoughts: A Promising Future for Dacxi Chain and the Global Equity Crowdfunding Market

Dacxi Chain’s innovative approach to harnessing the power of the network effect and blockchain technology has the potential to reshape the global equity crowdfunding space, driving exponential growth and creating new opportunities for investors and businesses alike. As the company progresses through its three-stage expansion plan, the network effect will only continue to amplify, ultimately leading to a more interconnected, accessible, and vibrant market for equity crowdfunding.

With unwavering support from its investors and community, Dacxi Chain is well-positioned to achieve its ambitious goals and establish itself as a powerful, global network that fuels deals, investments, and coin demand. The future is truly exciting for Dacxi Chain, and we look forward to witnessing the impact of its growth on the global equity crowdfunding landscape.

Be sure to stay updated on Dacxi Chain’s progress by watching Ian Lowe’s video update here and following the company’s latest news and announcements. Your continued support will play a vital role in driving Dacxi Chain’s success and transforming the global equity crowdfunding market for the better.

The Vision and Mission of Dacxi Chain

The core mission of Dacxi Chain is to democratize access to investment opportunities and create a truly global equity crowdfunding ecosystem. By connecting multiple, independent, and fully licensed local equity crowdfunding platforms from around the world, Dacxi Chain is able to create a seamless, interconnected investment experience for users across the globe.

Ian Lowe, the CEO of Dacxi Chain, explains that the company aims to “turn a whole bunch of otherwise disparate and disconnected local equity crowdfunding propositions into a singular global proposition.” In other words, the platform seeks to enable investors from all walks of life to participate in growth opportunities, regardless of their location or the local currency they use.

For a more in-depth look at the Dacxi Chain vision and the exciting potential it holds, be sure to watch Ian Lowe’s video, where he, as the CEO of Dacxi Chain, provides a comprehensive overview of the project and its unique approach to tackling the challenges of global equity crowdfunding.

A Practical Example of Dacxi Chain in Action

To illustrate the transformative potential of Dacxi Chain, let’s consider a practical example involving a licensed crowdfunding platform in Korea. Let’s say this platform, which typically connects Korean investors and Korean growth companies that seek growth capital – all in Korean Won – is connected to the Dacxi Chain network.

As part of the network, the Korean platform can now share local investment opportunities with the rest of the world, while also giving its users access to additional investment opportunities from the rest of the world.  This creates a powerful network effect, opening up new avenues for investment and growth for both businesses and investors.

Now, let’s imagine another licensed equity crowdfunding platform in Germany, is also connected to the Dacxi Chain network. German investors can now access deals from Korea, while German companies seeking capital can tap into a pool of potential investors in Korea.  And the same in reverse – Korean investors can see and invest in opportunities in Germany, and Korean companies can raise growth capital from investors in Germany.

This simplified example of the network effect, played out across many platforms and countries, creates previously unseen access to vast amounts of growth capital, and previously unseen access to a vast catalog of investment opportunities from around the world.

It also creates a complex web of transactions across multiple currencies in all directions, presenting unique challenges and requiring an innovative approach to cross currency, cross market payments.

The Role of Cryptocurrency in Dacxi Chain’s Vision

Cryptocurrency plays a central role in Dacxi Chain’s mission to revolutionize global equity crowdfunding. With its ability to facilitate fast, efficient, and cost-effective transfers of funds between different local currencies, cryptocurrency offers an ideal solution to the challenges posed by cross-border transactions.

However, not all cryptocurrencies are suitable for this purpose. Fiat currencies are slow and expensive, Bitcoin is not a long term viable payment currency, and stablecoins face regulatory hurdles and accessibility challenges. This is where Dacxi Coin, the native coin of the Dacxi Chain ecosystem, comes into play.

The Advantages of Dacxi Coin

With a native coin, the Dacxi Chain platform can control the method, timeliness, and fees associated with transferring funds around the world. Instant transfers protect both investors and companies from fluctuations in coin value, ensuring a secure and stable investment experience.

As the Dacxi Chain network grows and attracts more users, the liquidity of Dacxi Coin will also increase. This, in turn, will draw more traders to the coin, contributing to demand and positioning Dacxi Coin as an attractive investment opportunity. In essence, Dacxi Coin is central to the success of the Dacxi Chain solution, playing a pivotal role in revolutionizing global equity crowdfunding.

Why Fiat Currencies Fall Short

Fiat currencies, while the traditional choice for cross-border transactions, are simply not up to the task when it comes to facilitating the kind of seamless, interconnected investment experience that Dacxi Chain requires. These currencies are slow to transfer and via established banking and payment rails, attract exorbitant fees, making them an impractical choice for a platform like Dacxi Chain which relies on speed and efficiency to deliver its services.

The Limitations of Bitcoin and Stablecoins

While Bitcoin has earned its place as a valuable store of wealth, it falls short as a payment currency. With high transaction fees and limited accessibility, Bitcoin simply isn’t a practical choice for a global equity crowdfunding platform like Dacxi Chain.

Stablecoins, on the other hand, offer more liquidity and are an improvement over Bitcoin in terms of transaction fees. However, they still face significant regulatory headwinds, with authorities in various markets applying increasing scrutiny. Moreover, major exchanges promoting their own stablecoins have started to block other competitors, further exacerbating the accessibility challenges for everyday investors.

Conclusion: The Future of Global Equity Crowdfunding with Dacxi Chain

Dacxi Chain represents a new era in the world of equity crowdfunding, leveraging the power of cryptocurrency to create a truly global, interconnected investment ecosystem. By harnessing the potential of its native coin, Dacxi Coin, the platform is poised to overcome the limitations of traditional financial systems and revolutionize the way businesses and investors connect.

As the network expands, so too will the liquidity and demand for Dacxi Coin, further cementing its place as an integral component of the Dacxi Chain solution. With its innovative approach, Dacxi Chain is set to democratize access to investment opportunities, opening up new horizons for both investors and growth companies alike.

The future of global equity crowdfunding is here, and Dacxi Chain is leading the charge. Through the power of cryptocurrency and the ingenuity of its platform, Dacxi Chain is poised to reshape the investment landscape and usher in a new era of financial inclusivity and opportunity. Don’t miss your chance to be part of this groundbreaking revolution – join the Dacxi Chain community today, and experience the future of equity crowdfunding for yourself.

Welcome to the CrowdFunded Giants series, where we shine a light on the remarkable journeys of successful crowdfunded companies. In our inaugural episode, we raise a glass to the phenomenal success story of BrewDog, a trailblazing craft beer company that leveraged the power of equity crowdfunding to revolutionize the industry and achieve international stardom.

BrewDog: A Crowdfunded Craft Beer Empire’s Remarkable Journey

From humble beginnings in 2007, BrewDog, founded by James Watt and Martin Dickie from Scotland, embarked on a mission to bring fresh flavours and a passion for quality beer to the masses. Their meteoric rise to global prominence can be attributed to a combination of dedication, innovation, and an unwavering commitment to their vision.

Equity for Punks

A game-changer in the world of funding, BrewDog launched its first crowdfunding campaign, “Equity for Punks,” in 2009. The goal was to raise capital to expand production and distribution while preserving their independence from traditional investors. This groundbreaking approach struck a chord with the public, attracting thousands of investors eager to be part of a company that dared to challenge the status quo in the craft beer industry.

“Equity for Punks” turned out to be an astounding success, raising £750,000 from more than 1,300 investors. This achievement paved the way for four additional rounds, collectively amassing over £74 million from over 100,000 investors worldwide. These funds enabled BrewDog to scale its operations, open bars globally, construct a state-of-the-art brewery in the United States, and even launch a television network dedicated to craft beer.

Investors who backed BrewDog during its equity crowdfunding campaigns in 2017 saw impressive returns on their investments. The company’s Equity for Punks IV campaign raised over £26 million from 50,000 investors, with a minimum investment of just £25. By 2019, the value of the company had doubled, with the company’s founders James Watt and Martin Dickie announcing that investors who had backed the 2017 campaign would see returns of up to 2,800% on their initial investment.

Fostering a Loyal Community

The crowdfunding campaigns didn’t just provide BrewDog with the necessary capital to grow but also fostered a strong sense of community among its investors. The company’s loyal fan base has been instrumental in driving its success, as they act as brand ambassadors, spreading the word about BrewDog’s products and ethos.

Embracing Transparency and Sustainability

BrewDog’s commitment to transparency and sustainability has further endeared it to its customers and investors. The company has implemented various eco-friendly initiatives, such as using renewable energy to power its breweries, repurposing waste products, and purchasing an area of land in Scotland to create a BrewDog forest for carbon offsetting purposes.

While BrewDog’s rapid expansion has not been without its challenges, the company has taken them in stride, using them as opportunities to learn, grow, and improve its business practices. Despite facing scrutiny and criticism regarding its marketing tactics, corporate culture, and environmental impact, BrewDog has maintained its commitment to transparency and sustainability.

Inspiring a New Generation of Craft Beer Enthusiasts

One of the key takeaways from BrewDog’s remarkable success story is that equity crowdfunding can be a game-changer for startups. By harnessing the power of the crowd, BrewDog was able to maintain its independence, foster a loyal community, and secure the necessary capital to fuel its rapid expansion. This approach has allowed the company to disrupt the beer industry and inspire a new generation of craft beer enthusiasts.

China: The Next Frontier for BrewDog’s Expansion

Looking towards the future, BrewDog has set its sights on China as the next frontier in its global expansion plans. In 2023, the company announced a joint venture with Budweiser China to produce its flagship craft beer, Punk IPA, at the Putian Craft Brewery in Fujian province. The beers will be sold through Budweiser China’s sales and distribution network, providing BrewDog with a strong foothold in the Chinese market.

The move into China is a significant step for BrewDog, as it marks a continuation of the company’s mission to disrupt the beer industry and drive growth through innovative strategies. With plans to open several new bars in China and tap into the country’s burgeoning craft beer scene, BrewDog is poised for further success and expansion.

Final Thoughts: The Potential of Equity Crowdfunding 

BrewDog’s remarkable success story serves as a testament to the power of equity crowdfunding and the potential it holds for startups and established businesses alike. By leveraging the power of the crowd, BrewDog was able to maintain its independence, foster a loyal community, and secure the necessary capital to fuel its rapid expansion. With its expansion plans into China, BrewDog is poised to continue disrupting the industry and inspiring a new generation of craft beer enthusiasts. The company’s commitment to transparency, sustainability, and community-building is a shining example of what can be achieved through innovative financing methods and a passion for quality products.

Are you interested in learning more about equity crowdfunding and its potential to help businesses like BrewDog thrive? The Dacxi Chain and its global equity crowdfunding network are revolutionizing the way businesses connect with investors. Visit dacxichain.com to discover how you can be part of this exciting new world of global crowdfunding and help shape the future of innovative enterprises.

Join the Dacxi Chain Revolution Today – Visit dacxichain.com!

The collapse of Silicon Valley Bank (SVB) was a monumental event that sent shockwaves through the global economy. This devastating financial catastrophe, the largest since the 2008 global financial crisis, left thousands of tech startups in limbo. With many startups relying on the bank for early-stage funding through SVB Venture loans the collapse has undoubtedly made it harder for these young companies to secure the capital they need to grow and succeed. In light of these challenges, some startups may be forced to merge or collapse, and the possibility of further banking collapses only exacerbates these problems. Amid this uncertainty, Dacxi Chain emerges as a powerful alternative financing solution. By leveraging a globally networked ecosystem of crowdfunding companies, the Dacxi Chain provides much-needed support for tech startups in these turbulent times.

The Current Funding Landscape for Startups

The collapse of SVB highlighted the vulnerabilities in traditional funding models for tech startups. Reliance on centralized institutions for early-stage financing can result in a domino effect of problems when these institutions falter. The impact of the SVB collapse has left many startups scrambling to secure funding, and the uncertainty surrounding the future stability of other banks creates additional challenges for tech companies seeking investment.

Ethan Kurzweil, a partner at Bessemer Venture Partners, shared his thoughts on the current startup funding environment via email. He acknowledged that SVB’s downfall leaves a “clear void” if the bank’s startup-focused services like venture debt are not maintained. However, he also pointed out that high-interest rates and a “pseudo-recessionary environment” for selling new products have a more direct impact on the funding landscape. (Yahoo Finance) 

Furthermore, a recent survey by NFX revealed that over 60% of the 800 founders in their network are worried that SVB’s collapse will make the already challenging fundraising environment even tougher. This sentiment further emphasizes the need for alternative funding solutions to support startups during these uncertain times.

Moreover, the financial crisis has prompted a shift in investment strategies, with many investors turning to private equity as an alternative to stocks, bonds, and shares. This shift further underscores the need for innovative funding solutions that cater to both startups and investors.

Introducing the Dacxi Chain Solution

The Dacxi Chain offers a unique solution to the funding challenges faced by tech startups in the wake of the SVB collapse. By creating a globally networked ecosystem of crowdfunding companies, the Dacxi Chain enables startups to access alternative sources of financing, bypassing traditional banking institutions and their inherent risks. This groundbreaking approach empowers tech companies to raise capital from a diverse and global investor base, ensuring their continued growth and success despite the uncertain economic climate.

The timing of the Dacxi Chain’s emergence is crucial, as the current situation provides the perfect opportunity for the platform to showcase its innovative approach to crowdfunding. The financial turmoil has created a void in the startup funding landscape, and the Dacxi Chain is poised to fill that void by offering a reliable, efficient, and secure alternative to traditional financing methods.

A quote from Ian Lowe, the CEO of the Dacxi Chain, highlights the significance of this moment: “The collapse of Silicon Valley Bank has highlighted the risks of an overly centralized startup funding ecosystem, but it’s also created a unique opportunity for alternative financing solutions like the Dacxi Chain. We’re in the right place at the right time to help tech startups overcome these challenges and unlock their full potential.”

The Benefits of the Dacxi Chain’s Global Crowdfunding Ecosystem

The Dacxi Chain’s globally networked ecosystem of crowdfunding companies provides several key advantages for tech startups and investors alike:

Scale: By uniting the world’s investor bases, the Dacxi Chain creates an enormous global investor community that no single platform could hope to achieve. This ensures a sufficient number of investors with interest in every conceivable deal concept.

Decentralization: By leveraging a decentralized network of crowdfunding platforms, the Dacxi Chain reduces the risks associated with relying on a single, centralized institution for funding.

Diversification: The global reach of the Dacxi Chain allows startups to access a diverse range of investors, increasing their chances of securing the funding they need to succeed.

Flexibility: The Dacxi Chain’s ecosystem is adaptable and can accommodate a wide range of investment strategies, including private equity investments, making it an attractive option for investors seeking alternative investment opportunities.

Security: The Dacxi Chain blockchain employs advanced security measures to protect the investments and personal data of its users, ensuring a safe and secure environment for both startups and investors.

Closing Thoughts 

The collapse of Silicon Valley Bank was a stark reminder of the fragility of traditional funding models for tech startups. With thousands of companies left in limbo and the potential for further banking collapses, the need for alternative financing solutions has never been more apparent. The Dacxi Chain, with its innovative approach to crowdfunding and globally networked ecosystem, presents a promising solution for tech startups seeking funding in these uncertain times.

By providing a decentralized, diverse, flexible, secure, and supportive platform for startups and investors, the Dacxi Chain is well-positioned to help companies overcome the challenges posed by the current financial landscape. As Ian Lowe, CEO of the Dacxi Chain, put it: “We’re in the right place at the right time to help tech startups overcome these challenges and unlock their full potential.”

As the global economy continues to evolve and adapt to the consequences of the SVB collapse, the Dacxi Chain stands as a beacon of hope for tech startups and investors alike. By embracing this innovative crowdfunding solution, startups can secure the funding they need to thrive, while investors can access new and exciting investment opportunities in the burgeoning world of private equity.

The Rise of Equity Crowdfunding

Equity crowdfunding has experienced tremendous growth in recent years, with the market’s value predicted to reach new heights. This surge in popularity is largely attributed to the democratization of investment opportunities, which has enabled everyday investors to access a previously exclusive domain of Venture Capital companies and their institutional backers. By investing in startups and small businesses, individuals can now play a more active role in nurturing innovation, job creation, and economic development.

The Benefits of Equity Crowdfunding

1. Access High-Growth Potential: The allure of hyper-growth. Investing in early-stage companies presents the exhilarating chance to participate in a startup’s hyper-growth journey. When these ventures succeed and expand rapidly, the return on investment can be extraordinary, igniting the passion of investors as they contribute to the development of groundbreaking ideas and thriving businesses.
2. Diversification: Equity crowdfunding allows investors to diversify their portfolios by investing in a wide range of industries and sectors. This diversification can help mitigate risk, as it reduces the impact of poor-performing investments.
3. Supporting Innovation and entrepreneurship: Equity crowdfunding enables investors to contribute to the growth and success of innovative ideas and businesses. By backing new ventures, investors help foster a vibrant entrepreneurial ecosystem.
4. Democratization of Investment Opportunities: Equity crowdfunding has opened the doors for everyday investors to participate in the world of startups, allowing them to invest in companies at various stages of development.

The Risks of Equity Crowdfunding and Its Market Share Challenge

As with any investment, equity crowdfunding comes with its share of risks. Potential investors should be aware of the following:

1. High failure rate: Startups and early-stage companies inherently carry a higher risk of failure, which could result in the total loss of an investment.
2. Limited information: Compared to publicly traded companies, private businesses may not provide as much information, making it more challenging to assess their potential.
3. Illiquidity: Unlike publicly traded stocks, investments in private companies are generally illiquid, making it difficult to sell shares and realize gains.

These risks contribute to the primary reason equity crowdfunding holds only a one percent market share in early-stage innovation funding compared to venture capital: the challenge of achieving scale. Attracting a sizable crowd of investors to this sector has proven difficult, and crowdfunding remains largely localized in entrepreneurial hubs like California, New York, London, and Berlin. The vast majority of the world, home to 90 million potential investors, has yet to embrace this new sector. As a result, the industry has struggled to gain national or global traction, inhibiting its growth and impact.

Dacxi Chain Global Equity Crowdfunding Solution: A Transformative Landscape

In light of the risks and challenges associated with equity crowdfunding, the Dacxi Chain Global Equity Crowdfunding Solution aims to revolutionize the landscape. By leveraging blockchain technology, the Dacxi Chain solves the scale problem and creates a global crowdfunding solution akin to how the internet eliminated distance as a factor for accessing information.

The Dacxi Chain is a network of local crowdfunding companies where deals are tokenized on the blockchain and shared globally. Payments are made locally and then transferred globally using the Dacxi Coin, the native currency of the Dacxi Chain. This approach fosters transparency, security, and efficiency, addressing the challenges facing investors and businesses alike.

With its blockchain foundation, the Dacxi Chain ensures that transactions and records are secure, tamper-proof, and easily accessible. This increased transparency allows investors to make better-informed decisions, while businesses benefit from improved trust and credibility.

The platform also streamlines the investment process, making it more efficient and cost-effective for both investors and businesses. Through smart contracts, the Dacxi Chain automates many aspects of the investment process, reducing the administrative burden and lowering barriers to entry for investors.

Furthermore, the Dacxi Chain facilitates secondary market trading, addressing the issue of illiquidity often faced in equity crowdfunding investments. By providing a platform for investors to trade their shares, the Dacxi Chain enhances liquidity and enables investors to better manage their portfolios.

Final Thoughts

Equity crowdfunding presents a unique and exciting investment opportunity, enabling investors to participate in the growth and success of early-stage companies. While there are inherent risks associated with investing in startups, the potential for high returns and the opportunity to support innovation make it an attractive proposition for many.

The Dacxi Chain Global Equity Crowdfunding Solution aims to transform the landscape by addressing some of the challenges faced by investors and businesses in this space. With its focus on scaling,  transparency, security, and efficiency, the Dacxi Chain is poised to usher in a new era for equity crowdfunding, making it an even more viable and attractive investment option.

In conclusion, while equity crowdfunding may not be suitable for every investor, its potential for high returns, diversification, and support of innovation make it a compelling addition to a well-balanced investment portfolio. As solutions like the Dacxi Chain continue to improve the equity crowdfunding experience, we can expect this form of investment to gain even more traction in the coming years.

Equity crowdfunding, the practice of raising capital by soliciting small investments from a large number of people, has come a long way in the key USA market since product crowdfunding first gained popularity in the mid-2000s. Initially, crowdfunding was largely limited to product, donations or rewards-based campaigns, but with the passage of the JOBS Act in 2012, equity crowdfunding was legalized in the United States. 

But equity crowdfunding is not just about democratizing access to capital. It’s also about leveraging emerging technologies like blockchain and artificial intelligence to create a new global investment opportunity for the public. An opportunity that will allow investors to get in on the deals that previously only Venture Capital companies and their big money backers have accessed.

The early days of equity crowdfunding

The origins of crowdfunding can be traced back to the early 2000s, when platforms like ArtistShare and SellaBand were launched to help artists and musicians raise money from fans in exchange for a share of future profits. In 2006, Kiva, a platform for microlending to entrepreneurs in developing countries, was launched, paving the way for a new generation of crowdfunding platforms focused on social impact.

Around the same time, product crowdfunding platforms like Kickstarter and Indiegogo emerged, enabling entrepreneurs and creatives to raise money from a large number of small investments in exchange for new innovative products or projects like films. These platforms proved hugely popular, with Kickstarter alone raising over $5 billion since its launch in 2009.

However, it wasn’t until the passage of the JOBS Act in 2012 that equity crowdfunding as we know it today became legal in the United States. The JOBS Act allowed companies to raise up to $1 million in capital through crowdfunding, paving the way for the launch of platforms like SeedInvest, Crowdfunder, and WeFunder.

The rise of equity crowdfunding

Since the passage of the JOBS Act, equity crowdfunding has grown rapidly, with platforms attracting billions of dollars in investments. In 2018, the equity crowdfunding market in the US was valued at over $1 billion. Despite the challenges brought on by the Covid-19 pandemic, the industry experienced a surge in growth, with new platforms, partnerships, and campaigns emerging daily. Looking ahead, the crowdfunding market is predicted to expand aggressively over the next few years powered by new excitement in the sector and new blockchain-powered global crowdfunding.

One of the key drivers of this growth has been the democratization of access to capital. Prior to the rise of equity crowdfunding, startups and small businesses had limited options for raising capital, often relying on traditional sources like bank loans or venture capital firms. Equity crowdfunding has changed this, enabling entrepreneurs to tap into a vast pool of potential investors and raise capital more quickly and efficiently than ever before.

Another factor driving the growth of equity crowdfunding has been the increasing importance of social impact and sustainability. Many investors today are looking for more than just financial returns – they want to support companies that are making a positive impact on the world. Equity crowdfunding platforms like StartEngine and Republic have capitalized on this trend, offering investors the opportunity to support companies focused on social impact and sustainability.

The future of equity crowdfunding

Looking ahead, the future of equity crowdfunding is likely to be shaped by three key trends: decentralization, blockchain, and artificial intelligence.

Decentralization

One of the main criticisms of traditional finance is that it is too centralized, with a small number of large institutions controlling the flow of capital. Equity crowdfunding has already gone some way towards addressing this issue, but the industry is still dominated by a handful of large platforms.

In the future, we can expect to see a more decentralized ecosystem, with smaller platforms and even individual investors playing a greater role in the funding process. This will  be facilitated by the emergence of decentralized finance (DeFi) platforms, which use blockchain technology to create a more open, transparent, and accessible financial system.

Blockchain

Blockchain technology has the potential to revolutionize the equity crowdfunding industry by overcoming the scaling issue that limits the investor base that deals are offered to. By tokenising company shares on the blockchain, the ability to buy, own and sell what were previously illiquid assets can be transformed. 

The greatest revolution in the investment business is that a system based on blockchain technology can become global, with deals offered to a global investor community. Payments can be secured through cryptocurrency, and ownership secured by blockchain. The impact on investment opportunities will be as revolutionary as the Internet has been for knowledge–there are no geographical limitations.

Blockchain will also improve the security and transparency of the investment process. By using smart contracts, investors could be assured that their funds are only released to the company when certain conditions are met, such as reaching a certain funding goal or meeting certain milestones.

Artificial Intelligence

Finally, the use of artificial intelligence (AI) is likely to play a significant role in the future of equity crowdfunding. AI could be used to improve the efficiency of the investment process, for example by automating the due diligence process or by using algorithms to match investors with suitable investment opportunities.

AI could also help to reduce the risk of fraud and improve the accuracy of investment decisions. By analyzing vast amounts of data, AI could help investors to identify high-potential investment opportunities and avoid potential scams.

Final thoughts 

Equity crowdfunding has come a long way from its roots as a niche fundraising model for artists and musicians. Today, it is a rapidly growing industry that is democratizing access to capital and empowering entrepreneurs to bring their ideas to fruition.

As we look ahead, it is clear that the future of equity crowdfunding will be shaped by decentralization, blockchain, and artificial intelligence. These technologies hold enormous potential to create a more transparent, efficient, and secure financial ecosystem that benefits both investors and companies alike.

The Dacxi Chain, with its global crowdfunding network, is well-positioned to lead the way in this new era of equity crowdfunding. By leveraging blockchain and AI technologies, the platform provides investors and companies with a secure and transparent crowdfunding experience. With its commitment to creating a sustainable, equitable, and inclusive financial system, Dacxi Chain is poised to be a key player in the continued growth and evolution of equity crowdfunding.

As the industry evolves, it will be crucial for regulators to strike a balance between encouraging innovation and safeguarding investors from potential risks. Ultimately, the success of equity crowdfunding will depend on its ability to create a robust and equitable financial system that benefits all stakeholders – entrepreneurs, investors and crowdfunding companies alike.

Crowdfunding has become an increasingly popular way for businesses to raise funds, and with the rise of blockchain technology, it has become even more accessible and efficient. The emergence of blockchain technology has brought about significant changes in the way crowdfunding is done, making it more accessible, efficient, and secure. One company that has been at the forefront of this development is Dacxi Chain, a blockchain-enabled platform that aims to revolutionize global crowdfunding.

Democratizing Investment with Dacxi Chain

The role of the Dacxi Chain in global crowdfunding is multifaceted. The platform leverages the inherent qualities of blockchain technology to address some of the most pressing challenges facing the crowdfunding industry, including scalability, security, and transparency. By providing a decentralized, trustless platform that is accessible to everyone, the Dacxi Chain is empowering individuals and businesses from all over the world to participate in crowdfunding, regardless of their location, background, or financial status.

Solving the Scalability Issue with Blockchain Network Effect

One of the key advantages of the Dacxi Chain is its ability to solve the issue of scalability through the network effect. Blockchain technology enables the creation of a global, decentralized network that can process a large volume of transactions without the need for intermediaries. This means that the Dacxi Chain can handle a massive number of crowdfunding transactions simultaneously, without compromising on speed, security, or efficiency.

Embedding Smart Contracts for Automated and Transparent Transactions

Another advantage of the Dacxi Chain is its ability to embed smart contracts into transactions. Smart contracts are self-executing contracts with the terms of the agreement between buyer and seller being directly written into lines of code. This technology enables the automation of complex crowdfunding transactions, such as the distribution of profits and the management of shareholder rights. By embedding smart contracts into transactions, the Dacxi Chain ensures that all parties involved in the crowdfunding process have access to transparent and immutable records of the transaction, which reduces the likelihood of fraud and other malicious activities.

Borderless Platform: Promoting Diversity and Inclusion in Crowdfunding

Furthermore, the Dacxi Chain leverages the power of blockchain to create a borderless platform that is accessible to anyone with an internet connection. This means that investors and businesses from all over the world can participate in crowdfunding without the need for intermediaries or the limitations imposed by traditional financial systems. As a result, the Dacxi Chain provides a level playing field for all participants, regardless of their location or financial status, which is crucial for promoting innovation, diversity, and inclusion in the crowdfunding ecosystem.

High Level of Security and Privacy with Blockchain Technology

In addition to these advantages, the Dacxi Chain also provides a high level of security and privacy. Blockchain technology ensures that all transactions are encrypted and stored on a decentralized ledger, which makes it virtually impossible for hackers or other malicious actors to tamper with the data. This means that investors can have peace of mind knowing that their investments are secure and protected from fraud or other malicious activities.

Ian Lowe CEO Dacxi on Blockchain: The Defining Moment for Crowdfunding

“We get to a point where blockchain not only could be the game changer for crowdfunding, blockchain is the game changer. It completely reimagines what’s possible through crowdfunding for all participants. And that reimagining is much more in line with, I think, what the world expected crowdfunding could become over a decade ago. So blockchain really is the defining moment for crowdfunding.”

Final Thoughts: Dacxi Chain Paving the Way for a More Equitable Financial System

The Dacxi Chain is truly democratizing investment and empowering global crowdfunding. It is challenging traditional financial institutions by providing a decentralized, trustless platform accessible to everyone. With the ability to embed smart contracts into transactions, handle a large volume of transactions simultaneously, and provide a high level of security and privacy, the Dacxi Chain is redefining the way crowdfunding is done globally. The potential impact of blockchain technology on the global financial system cannot be overstated, and the Dacxi Chain is at the forefront of this transformation. By pioneering the opportunity that blockchain presents for crowdfunding, the Dacxi Chain is paving the way for a more transparent, efficient, and equitable financial system that benefits everyone. As Ian Lowe said, “Blockchain not only could be the game changer for crowdfunding, blockchain is the game changer.” The Dacxi Chain is leading the way in this new era of democratization in finance.

Since its inception in 2018, the Dacxi Chain has been working on developing the world’s first  global crowdfunding network, powered by its utility token, Dacxi Coin (DACXI). Dacxi Chain aims to bridge the gap between early-stage investors from all over the world and entrepreneurs in need of funding to grow their businesses. As the currency of the Dacxi Chain, DACXI plays a vital role in facilitating seamless and secure transactions on this innovative blockchain-enabled platform.

Here are seven reasons why DACXI should be on your radar:

1. Viable Use case: 

Dacxi Coin is the cryptocurrency of an ecosystem with a viable use case. Unlike many other cryptocurrencies, which lack a clear use case or real-world application, Dacxi Coin serves a specific purpose within the Dacxi Chain ecosystem. As the currency used for investment transfers and tokenized equity share exchanges, DACXI facilitates efficient and low-cost transactions for investors worldwide.

 2. Large Potential Market: 

The potential market for the Dacxi Chain and therefore use of Dacxi Coin on the network is large. According to IBM Blockchain, tokenized equity crowdfunding is estimated to be worth at least $1 trillion by 2030. As the cryptocurrency of the Dacxi Chain, DACXI is positioned to play a significant role in this growing market.

3. Growing demand: 

Demand for Dacxi Coin is projected to be in the billions once the Dacxi Chain is in full operation. With the Dacxi Chain still in the early stages of its worldwide deployment, there is ample room for growth in demand for DACXI. As more investors discover the benefits of equity crowdfunding on the Dacxi Chain, the value of DACXI is expected to rise.

4. Liquidity to venture funding: 

The Dacxi Chain introduces liquidity to venture funding. Traditionally, investing in early-stage ventures has been challenging due to a lack of liquidity. However, with the introduction of the Dacxi Chain and DACXI, investors can now buy and sell their tokens on Dacxi Coin exchanges, providing much-needed liquidity to the venture funding market.

5. Experienced Leadership Team: 

The leadership team comes from the digital and financial product business community rather than being developer-centric. Rather than being developer-centric, the team has a background in digital and financial product businesses, providing a strong foundation for the growth and development of the Dacxi Chain ecosystem.

6. Relatively low-profile coin: 

The Dacxi Coin is still a relatively low-profile coin, which is keeping a lid on its current value. Despite its potential and growing demand, DACXI is still a relatively low-profile coin. This means that there is an opportunity for investors to acquire DACXI at a lower price point than other more established cryptocurrencies.

7. Early stages of deployment: 

The Dacxi Chain is in the early stages of its worldwide deployment. As the Dacxi Chain continues its global deployment, there is significant potential for growth in demand for DACXI. As more investors discover the benefits of equity crowdfunding on the Dacxi Chain, the value of DACXI is expected to rise.

If you’re interested in owning Dacxi Coin, you’ll be pleased to know that it’s available on several cryptocurrency exchanges, including HitBTC, BitForex, CONSBIT, and the Wealth99 Platform. Investing in DACXI offers you the chance to be part of an ecosystem with a viable use case, a large potential market, and a leadership team with extensive experience in the digital and financial product business community.

To benefit from the potential growth of DACXI, head over to one of these exchanges today.

Over the past decade, startup financing has experienced a significant transformation. The advent of crowdfunding platforms, angel investors, and syndicate deals has disrupted the traditional venture capital (VC) market and opened up new options for entrepreneurs seeking early-stage funding. In fact, the global crowdfunding market is expected to grow to $43 billion by 2028, indicating the success and popularity of this new era of startup financing.

Leading the charge in this era is Dacxi Chain, a global crowdfunding network that connects investors and entrepreneurs in a streamlined experience. Its revolutionary approach to startup financing has the potential to change the way we think about investing in new ideas. Dacxi’s extensive interoperability network is one of its key benefits. It allows entrepreneurs to reach a wider audience of potential investors from different crowdfunding platforms, making it easier to access the funding they need to grow their businesses.

What sets Dacxi apart is its use of blockchain technology to deliver global crowdfunding and overcome the challenges associated with global funding and investment solutions. By tokenizing shares on the blockchain, ownership issues are solved on a global basis. Cryptocurrency allows for instant global multi-currency investments, tokenized shares allow for a global secondary market providing asset liquidity, and four other blockchain applications enhance the network’s functionality.

Despite all the technological innovations, the true power of Dacxi’s global crowdfunding network lies in its ability to provide a trusted solution for raising capital and investing globally. Its decentralized nature means local platforms are regulated, ensuring the crowd can trust that they will be supported.

“Crowdfunding and blockchain technology are two of the most disruptive forces in modern finance. By combining these two innovations, Dacxi Chain is shaking up the traditional venture capital market and paving the way for a new era of startup financing. With our blockchain-powered global crowdfunding solution, we’re making it easier than ever for entrepreneurs to access the funding they need to turn their ideas into reality. Dacxi Chain is not just a network, it’s a movement that’s changing the way we invest in new ideas and democratizing access to capital.”  – Fernando Pacheco, Chief Product Officer at Dacxi Chain.

Final Thoughts 

Dacxi Chain is disrupting the VC market by providing a viable pathway to funding through its global crowdfunding network. Its use of blockchain technology ensures transparency, security, and efficiency in the crowdfunding process. Entrepreneurs can tap into a wider pool of potential investors, making funding more accessible than ever. Dacxi is at the forefront of the transformation of startup financing and is poised to change the way we invest in new ideas, paving the way for a new era of startup financing.