The traditional VC funding model in crypto has flaws. Without the ability to raise funds through public offerings, projects must rely solely on private investors. This reliance leads to inflated valuations, with VCs eager to deploy capital driving project valuations into the hundreds of millions or even billions of dollars. They anticipate selling these stakes at even higher prices to retail investors, often resulting in billion-dollar fully diluted valuations on day one, only for retail investors to face immediate losses when private investors exit.This centralized funding structure restricts access for retail investors, meaning they often miss out on early-stage opportunities. As such, many retail participants become dissatisfied with legitimate projects and shift their focus to meme coins and other speculative assets. This trend may hurt the integrity of credible initiatives in crypto.Ultimately, the current VC funding model exacerbates inequalities in token distribution and marginalizes retail investors, highlighting the need for a more equitable funding approach in the cryptocurrency ecosystem.
Buildpad is connecting projects and communities
//
The Solution
01
Skin in the game
For projects to cultivate real long-term communities who are believers and supporters, who have a vested interest -- putting their money on the line. These contributors to the project's success, in turn, will enjoy investment terms more advantageous than those typically offered to VCs, in terms of valuation or vesting schedules.
02
A more requitable fundraising system
We must re-emphasize cryptocurrency's foundational mission of decentralization and fairness. This system is designed to empower individuals and communities, rather than VCs, whales, or opportunistic airdrop farmers.
03
Fully KYC and Compliant
Buidlpad adheres strictly to regulatory standards ensuring the long-term sustainability of projects and their tokens. To participate, users are required to register an account by connecting their wallet and completing identity and KYC verifications.
04
Transparent participation status with stable coins
Users will no longer need to rush to a crashing website, or navigate complex mechanisms such as purchasing a platform token for staking. Instead, they can just contribute to the project and then participate with stablecoins.
05
Promising projects with return potential
Buidlpad conducts comprehensive due diligence and research to identify and collaborate with the most promising projects in the space, reviving the golden era of public token sales, redistributing power and potential profits to the communities that support these initiatives.