#Switzerland #Web3 #Zug #Lisk #EMpower Fund

Lisk Launches the EMpower Fund

Lisk, a pioneering platform for Web3 founders, has officially introduced the Lisk EMpower Fund, a unique initiative aimed at providing financial backing and strategic support to startups within high-growth markets. With a commitment of $15 million, this venture fund aims to empower creators who are actively addressing real-world issues in Africa, Latin America, and Southeast Asia.

The announcement comes at a pivotal moment as the demand for robust technological solutions in these regions grows. Many founders are developing innovative startups that not only aim to leverage emerging technologies but also directly tackle local challenges. Gideon Greaves, Lisk's Head of Investments, highlighted the unmatched potential within these underserved markets, stating, "Global VCs have become obsessed with speculation. In high-growth markets, the opposite is true. Founders are solving real problems with real utility and that is where the next unicorns will come from."

The fostered collaborations will bridge the investment gap of $5.2 trillion that continues to exist in emerging markets where large-scale venture capital efforts have been traditionally limited. Notably, the Lisk EMpower Fund immediately identified its first four beneficiaries: Lov.cash, a South African digital supply platform; Afrikabal, an African agriculture technology company; IDRX, an Indonesian stablecoin initiative; and SigraFi, which supports small-scale gold producers through gold-backed loans.

A Focus on Emerging Markets

Unlike the fiercely competitive VC scenes in developed markets, Lisk's initiative cuts through to regions marked by organic growth and purpose-driven goals. The fund's strategy is unique, focusing on education which has been proven to outperform public benchmarks with a remarkable 9-11% annualized venture returns over the last decade. It aims to facilitate the transition of emerging market businesses into established players in the global landscape, thus generating uncorrelated, scalable returns.

Lisk recognizes that many entrepreneurs in these regions bootstrap their way to initial growth without institutional support. This often leads to a misunderstanding among global investors about lucrative opportunities within these environments. By establishing strong partnerships and providing hands-on mentorship alongside financial investments, the Lisk EMpower Fund not only supplies needed capital but also much needed expertise.

As Dominic Schwenter, COO of Lisk, elaborated, "Emerging markets are no longer the future of Web3; they are the present. The Lisk EMpower Fund is designed to bridge the capital gap for world-class founders who are building global companies from these ecosystems."

Innovative Support for Founders

The Lisk EMpower Fund incorporates a comprehensive model for supporting emerging startups. It provides:

• - Web3-Native Funding: Targeting essential infrastructure in areas like payments, remittances, and supply chain management, tailored for Web3 applications.
• - Emerging Market Focus: Prioritizing businesses positioned for organic growth that can potentially scale on a wider level.
• - Advisory Services: Acting as a boutique investment bank, the fund assists founders by refining their projects narratives, structuring for international fundraising, and ensuring they are prepared for secure investments in Series A and B funding rounds.
• - Tokenized Fund Structure: This innovative approach allows for streamlined subscriptions and offers liquidity options while opening doors for retail investors, traditionally locked out from venture funding.

Conclusion

By targeting vital digital infrastructure within emerging economies, the Lisk EMpower Fund is set to reshape the investment landscape, creating a new era of growth and innovation. Not only does this initiative serve to elevate emerging startups, but it also understands the nuanced dynamics of local markets, ensuring that both the founders and their ventures reach their full potential. With an organized support framework and strategic partnerships with established local incubators, Lisk ensures that identified companies receive funding and expert guidance essential for their growth.

For more information about the Lisk EMpower Fund and potential opportunities, visit Lisk's official site.