According to recent local news reports, Swiss consortium Crypto Valley Venture Capital (CV VC) has taken the ambitious step of launching a blockchain incubator with a total goal of $100 million. The first incubator is called "Genesis Hub" and is based in Switzerland's Zug canton. Zug has become known as the nation's "Crypto Valley," as there are many cryptocurrency-related businesses operating in the area. The Crypto Valley Association started out as a government-backed consortium in 2017 and has the objective of supporting the creation of technologies and businesses related to the blockchain and cryptography. There are currently 20 startups that are part of the blockchain incubator. CV VC is hoping to be able to provide funding for 60 companies each year. Approved companies participating in the incubator will go through a three-month program, receiving $125,000 as seed funding. Projects that look very promising will receive additional funding at later stages. All startups that are part of the incubator will benefit from support and mentoring from experienced technology consultants hired by the consortium. According to an online statement, the company is hoping that they'll fund up to 1,000 blockchain-related projects every year. In exchange for getting financial support, startups will provide the consortium with a stake in their business representing up to 8 percent in the form of digital tokens or shares. Thanks to this ambitious project, CV VC has become the largest blockchain incubator in Switzerland. They're also seeking to eventually expand beyond the country's borders and establish a truly global network in the next couple of years. According to CV VC's co-founder, blockchain technology is something that can be used all over the world with no limitations, which allows them to expand to any country. CV VC believe that Initial Public Offerings (IPOs) together with Initial Coin Offerings (ICOs) will result in a new financing model for startups. According to the Crypto Valley Association, ICOs won't make up the core of the blockchain economy, but they will still keep being a useful mechanism for small businesses to get the financing they need to move their projects forward.
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