Boost VC announced that it has provide $52 million in startup funding related to Bitcoin and blockchain companies, as part of its belief that the digital form of currency is the future of electronic payments.
As a result of this investment in small startups, Bitcoin is quickly becoming a possibility for a greater number of users. As it has garnered attention from major banks, Bitcoin, with its ability to ensure anonymous transactions, is becoming more accessible to an increasingly large audience.
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Boost VC, a San Mateo-based small business incubator, has announced that since its founding in 2012 the company has invested in 52 Bitcoin and blockchain companies, providing $52 million in startup funding.
Bitcoin, an emerging digital form of currency that uses encryption techniques to regulate currency and fund transfer is now readily available in 26 countries. Blockchain is the database that tracks the transactions. As the technology has become more accessible and well-known, the interest in companies based on Bitcoin has increased.
What this means is that Bitcoin may in fact represent the future of global currency. Boost VC has previously stated that its corporate mission is to fund entrepreneurs using the emerging technologies of Bitcoin and digital reality and is “committed to empowering great companies to build the future of these industries.”
The company’s passion for the success of new technology has been repeatedly shown by Boost founder and chief Adam Draper. “Our focus…has been to find the most innovative people starting world changing companies,” he said. Prior to the late September announcement, however, the extent of Boost VC’s funding remained unknown, as the previously released report from November only stated funding of $6.6 million.
So what does this mean for the rest of us? As bitcoins have gained attention from major financial institutions like JP Morgan Chase and have been able to attract millions of dollars in corporate funding, Bitcoin has progressed to the point where it appears poised to become the new standard electronic currency. What this means is online purchases will contain anonymity not previously available to us. There will be no transaction fees for businesses because there are no credit card fees attached. Bitcoins can be transferred between two people using only their phones, much like sending cash digitally.
New figures have suggested that 60% of Boost VC’s investments have been Bitcoin and blockchain investments. The company announced in June that it was going to push further into digital reality technology, following its success with Bitcoin-related startups.
As attention has shifted toward the future of digital currency, companies were once only small startups are beginning to gain substantial funding. That funding allows these companies to further develop products involving Bitcoin, which will make both cryptocurrency and the blockchain more accessible to a larger amount of people on a global scale. Thanks to the startups that incubators like Boost VC have backed, widespread acceptance of digital currency is coming closer to being an attainable reality.