Neufund will be closing its platform on the 17th January 2022. After having tried everything in our power to make the democratization of investing happen, thereby lowering the barriers for retail investments, we had to conclude that the regulators are not ready for us.
Neufund was never just another crypto company or standard crowd-funding tool. Neufund was a company that entered the market with the aim to enable everyone around the world – independent of their location or wealth – to invest in the companies and assets that they can relate to and believe in. Investing has for decades been exclusive, inaccessible and unequal. Outdated standards have had the effect of narrowing the number of people who can participate in capital markets. This has contributed to the growing wealth disparity in Europe and the US. Opportunities usually exist for the few, but doors are closed to the many. We wanted to change that. We connected companies that have impactful, scalable, sustainable ideas with people and organisations who believe in them.
Entrepreneurs seeking funding ranged from startups to established businesses ready to grow. The investors were either individuals, institutions or VCs, committing funds starting from as low as €10. The idea is inclusive and accessible, equal and open, for anyone, anywhere. We believed in progressing sustainably and focusing on continuity. And we were able to thereby attract over 11,000 investors from all over the world, more than 120 countries.
We have proven that Neufund’s model works.
Neufund had the potential to bridge the gap in the inefficient investment world – through technology, creating a new, borderless and global marketplace for investors and companies of all types. We still believe that digital securities will be the future of finance.
Since its inception, Neufund has been proactively working with regulators, in many jurisdictions. Our work has been thoroughly documented and shared with the public. Yet digital assets don’t fit old, paper-based laws. And new laws, while often already drafted, are simply not yet practically applied. As a result, we didn’t fit any of the boxes. And if you don’t fit any box, the regulator would rather do away with you than take the effort to understand you. That’s the reality of most, if not all, companies in the space we work in.
Yet, we have proven that Neufund's model works. Around 20M EUR went through our Ethereum-based platform, and 11.000 investors from 123 countries registered. We conducted the world's first public offering of tokenized on a public blockchain. However, while the regulator allowed us to do it once, for over two years now it remains unsure whether we can repeat the model. Innovation killed by hesitation.
Zoe Adamovicz, the co-founder and CEO of Neufund: ”Our concept-proving case - Greyp Bikes - made the full cycle, from issuing tokenized shares for retail investors, through corporate governance on blockchain, to the exit to Porsche and proceeds distribution via ERC20 tokens. Effectively, there were never any compliance issues, technical problems or security breaches. Simply, a European tech company fundraised through the issuance of securities using a decentralized technology. And over 1000 investors from dozens of countries participated.”
Despite facing tremendous obstacles of out-dated politics, conservative bureaucracy of regulation and walled-off club of traditional finance, blockchain remains unstoppable, gaining supporters and ground slowly, but surely. And we remain committed to it.
Neufund’s team mission is to keep on moving, developing solutions which can bring value and help courageous entrepreneurs now – not in a few years time.
New things are now being worked on – so, see you later.
E-Mail: [email protected]