CIS 2018: VC investors Adam and Tim Draper prefer to back cryptocurrency “movements”

Posted: 1 May 2018 1:00 pm
team celebrating movement small

Adam Draper explains that some of the greatest points in history were movements causing societal change.

Third- and fourth-generation venture capital investors Tim and Adam Draper suggest that people interested in buying into the burgeoning cryptocurrency marketplace support “movements” that are focused on disruption.

During an interview on Tuesday at the Crypto Invest Summit 2018 in Los Angeles, California the two entrepreneurs discussed how they pioneered cryptocurrency investing and why getting in early matters.

When asked how the pair decide which companies to support, both executives pointed to movements.

“I think it’s all about, ‘Are there motivated people behind it and are those people creating some sort of a movement? Is it a movement for ecology, or is it a movement for women, or is it a movement for a better form of governance, or is it a movement to change real estate?'” Tim Draper said.

“Is it something people are going to get behind and say, ‘Yeah, we want this to be better’ and then determine how they can make it better.”

Draper’s son Adam concurred with his father’s views and added that the most essential practice for any investor is to learn about the teams and individuals that drive these cryptocurrency projects and movements.

“I would also say that startup investing has really gone back to movements. Some of the greatest points in history were about movements and causing societal change,” Adam Draper said.

“If you’re new to the industry and have just started investing in cryptocurrency, you might look at all the tokens on a list and see them all as very flat and see the numbers in front of you come up or come down… What’s really important is understanding what teams are behind each project.

My one request is that you don’t blindly invest in something,” Draper added. “Learn what it does and why it’s important… Research the team. Invest in people. That’s what we do.”

Initial Coin Offerings (ICOs) were the success story of 2017. Coin offerings generated more than $6 billion in global startup capital throughout 2017. But are these fundraising efforts beneficial for consumers? In an interview with CNBC, Overstock chief executive Patrick Byrne said that there’s a new, safer way to raise money in the cryptocurrency space. Security Token Offerings (STOs) are the name for this new funding model.

The Crypto Invest Summit 2018 is currently underway at the Los Angeles Convention Center May 30 to April 2, 2018. Speakers include Tezos chief Kathleen Breitman, crypto adviser Koh Kim and Abra CEO Bill Barhydt.

You can learn all about different exchanges, understand exactly how to buy and sell cryptocurrencies, calculate your taxes, discover digital wallets to hold assets and explore a list of all the alternative coins on the market.

Disclaimer: This information should not be interpreted as an endorsement of cryptocurrency or any specific provider, service or offering. It is not a recommendation to trade. Cryptocurrencies are speculative, complex and involve significant risks – they are highly volatile and sensitive to secondary activity. Performance is unpredictable and past performance is no guarantee of future performance. Consider your own circumstances, and obtain your own advice, before relying on this information. You should also verify the nature of any product or service (including its legal status and relevant regulatory requirements) and consult the relevant Regulators' websites before making any decision. Finder, or the author, may have holdings in the cryptocurrencies discussed.

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