NEAR APAC 2023, one of the largest premier blockchain conferences in the Asia-Pacific region, hosted an insightful panel discussion that offered invaluable insights into the world of Web3 startup fundraising. The conference, held on September 9th-10th, brought together leading experts and innovators in the blockchain space.
The panel, moderated by NEAR Foundation’s Blockchain veteran Lei Lei featured prominent figures from the venture capital world and successful Web3 entrepreneurs. The discussion revolved around four key topics that are crucial for Web3 startups aiming to secure investment and achieve sustainable growth.
1. Key Attributes for Attracting Venture Capital
The panelists unanimously agreed that certain attributes are essential for Web3 startups to attract investment from leading venture capital firms. These include a strong team with a track record of success, innovative technology that sets them apart, a clear market potential, a solid roadmap outlining their vision, scalability to accommodate growth, and an engaged community or ecosystem.
2. Preparations for a Successful Fundraising Campaign
To execute a successful fundraising campaign, startup teams should prepare meticulously. Understanding investor behavior and crafting a pitch that highlights the most critical information is crucial. Making a strong impression, having a refined pitch, setting up a data room with all necessary documents, and providing accurate financial forecasts are key elements in attracting potential investors.
3. Securing a Favorable Fundraising Deal
Securing a favorable fundraising deal goes beyond just securing funds. Valuation, exit strategy, negotiation skills, and tokenomics that make sense are essential aspects of the deal. Startups should also consider a long-term exit strategy that aligns with the interests of both investors and the company.
4. Managing Funds for Sustainable Growth and Investor Engagement
Following a successful fundraising round, Web3 startups need to manage their funds wisely for sustainable growth. This includes building forecast scenarios for growth, adopting project management tools, and always having a contingency fund and plan B in place.
Maintaining investor engagement and support beyond capital investment is also a crucial factor. Do not be afraid to raise questions and request to leverage their skills and networks, and keep the transparency by providing regular reporting and feedback on the startup's progress. At the end of the day, it is wiser to treat investors as long-term partners rather than your boss at the office.
Jarrod Barnes, the Head of Ecosystem at NEAR Foundation, commented on the panel discussion, saying, "The insights shared by our panelists today did not receive enough highlight from the mass media and is invaluable for Web3 startups navigating the complex landscape of fundraising. With the right attributes, preparations, negotiation skills, and a commitment to sustainable growth, startups can secure not only the funds they need but also the long-term support of their investors."
The panel discussion at NEAR APAC 2023 provided attendees with a deeper understanding of what it takes to thrive in the competitive world of Web3 startup fundraising. It underscored the importance of strategic planning, investor relations, and the core values that drive successful ventures in the blockchain industry.
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