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Perhaps best known globally for sunny vacations, folkloric Flamenco, and savory Paella, Spain is also home to one of the fastest-growing technology ecosystems in Europe. According to data from Dealroom, last year, Spanish startups were collectively worth around €100 billion (USD 111 billion), outpacing countries like Norway and Denmark, but still well behind more established ecosystems like the United Kingdom, Germany, and The Netherlands. The country ranked seventh in Europe in terms of attracting venture capital and had the fourth-highest number of funding rounds, according to the report which was made in collaboration with BBVA. While cities like Madrid and Barcelona lead the country for development on Startup Genome’s Global Ecosystems report, other cities like Valencia are also playing a big role in transforming Spain into an innovation hub on the continent. Valencia, a startup hub Valencia, Europe’s fifth busiest port city, is located in Eastern Spain on the Mediterranean Sea. It’s the third most populated municipality in the country and in addition to being one of Spain’s most important cities for export and logistics, it also houses a strong manufacturing sector and is a tourism hotspot. The city’s blend of old-world architecture (it was believed to be founded in 138 B.C.) with the futuristic buildings of one of its most famous children, renowned architect Santiago Calatrava, make for an aesthetic ripe for technological innovation. And founders are taking note. According to Startup Genome data, the city’s estimated startup ecosystem value – which measures exits and startup valuations – is over USD 5 billion, and the city saw 12 exits in 2022 and five in 2023. Particularly strong are startups innovating in AI. According to data from Startup Valencia, a non-profit dedicated to promoting startups in the city, over 20% of Valencian startups are powered by AI. What’s more, nearly 35% of startup companies in the city count at least one female co-founder, and 81% of startups surveyed say they align with the United Nations Sustainable Development Goals (SDGs). Overall, the non-profit reported that the city’s startup sector is growing at a rate of 16%. One big initiative from Startup Valencia that is helping to fuel that growth is their annual technology conference, VDS (formerly Valencia Digital Summit). The two-day gathering, which will host its seventh edition on October 23 and 24 under the theme “Embracing Evolution: Invest in the Leaders of Tomorrow,” convenes some of the world’s leading technology thought leaders to southern Europe. According to a company statement, the event is expected to bring together over 2,500 startups, and over 12,000 attendees from more than 100 countries. Also in attendance will be 700 investors, including representatives from global funds like Softbank and Techstars. Startups will also have a chance to pitch to investors on the demo stage, and featured speakers include Steve Chen, co-founder and former Chief Technology Officer of YouTube, Randi Zuckerberg, founder and CEO of Zuckerberg Media and HUG, Juan Antonio Samaranch, Vice President of the International Olympic Committee, among many others. Other initiatives too are driving the startup ecosystem forward in Valencia. Recently, Startup Valencia announced a partnership with the German research institute The Center for Digital Technology and Management, which aims to help the center scale in Spain and help foment local entrepreneurship. Also, Invest in Valencia, which promotes foreign investment into the city, is creating initiatives to promote Valencia’s 5G, cybersecurity and innovation sectors. Spain’s nation-wide support of startups On a national level, Spain has been taking steps in recent years to help foster startups and the tech sector. In December of 2022, the country passed its Startups Law, which aimed to cut some bureaucratic processes for starting companies, as well as tax incentives for startups and investors, as well as lower barriers for foreigners to enter the country to start a business or work with a startup. Earlier this year, the government announced the creation of a National Entrepreneurship Office (ONE), which focuses principally on prompting startups. The platform offers information for founders who want to recruit international talent, provides spaces for networking and startup events, information on grants and accelerators, and other information relevant to entrepreneurs. And in May, the government approved its AI strategy, which will deploy a total of €2.1 billion to help shore up the country’s AI sector. The strategy includes more funding for homegrown supercomputing, a structure for building a sustainable network of data centers to power AI, as well as investments and loan opportunities for companies innovating in AI. Taken together, the push from Spain as a whole, but also from Valencia as a startup hub, aims to help propel the country to be a leader in tech in southern Europe in the years to come. At least, that is the hope. The Sociable Perhaps best known globally for sunny vacations, folkloric Flamenco, and savory Paella, Spain is also home to one of the fastest-growing technology ecosystems in Europe. According to data from Dealroom, last year, Spanish startups were collectively worth around €100 billion (USD 111 billion), outpacing countries like Norway and Denmark, but still well behind more established ecosystems like the United Kingdom, Germany, and The Netherlands. data The country ranked seventh in Europe in terms of attracting venture capital and had the fourth-highest number of funding rounds, according to the report which was made in collaboration with BBVA. according While cities like Madrid and Barcelona lead the country for development on Startup Genome’s Global Ecosystems report , other cities like Valencia are also playing a big role in transforming Spain into an innovation hub on the continent. report Valencia, a startup hub Valencia, a startup hub Valencia, Europe’s fifth busiest port city, is located in Eastern Spain on the Mediterranean Sea. It’s the third most populated municipality in the country and in addition to being one of Spain’s most important cities for export and logistics, it also houses a strong manufacturing sector and is a tourism hotspot. The city’s blend of old-world architecture (it was believed to be founded in 138 B.C.) with the futuristic buildings of one of its most famous children, renowned architect Santiago Calatrava, make for an aesthetic ripe for technological innovation. And founders are taking note. According to Startup Genome data , the city’s estimated startup ecosystem value – which measures exits and startup valuations – is over USD 5 billion, and the city saw 12 exits in 2022 and five in 2023. data Particularly strong are startups innovating in AI. According to data from Startup Valencia, a non-profit dedicated to promoting startups in the city, over 20% of Valencian startups are powered by AI. data What’s more, nearly 35% of startup companies in the city count at least one female co-founder, and 81% of startups surveyed say they align with the United Nations Sustainable Development Goals (SDGs). Overall, the non-profit reported that the city’s startup sector is growing at a rate of 16%. One big initiative from Startup Valencia that is helping to fuel that growth is their annual technology conference, VDS (formerly Valencia Digital Summit). The two-day gathering, which will host its seventh edition on October 23 and 24 under the theme “Embracing Evolution: Invest in the Leaders of Tomorrow,” convenes some of the world’s leading technology thought leaders to southern Europe. VDS According to a company statement, the event is expected to bring together over 2,500 startups, and over 12,000 attendees from more than 100 countries. Also in attendance will be 700 investors, including representatives from global funds like Softbank and Techstars. Startups will also have a chance to pitch to investors on the demo stage, and featured speakers include Steve Chen , co-founder and former Chief Technology Officer of YouTube, Randi Zuckerberg , founder and CEO of Zuckerberg Media and HUG, Juan Antonio Samaranch , Vice President of the International Olympic Committee, among many others. Steve Chen Randi Zuckerberg Juan Antonio Samaranch Other initiatives too are driving the startup ecosystem forward in Valencia. Recently, Startup Valencia announced a partnership with the German research institute The Center for Digital Technology and Management, which aims to help the center scale in Spain and help foment local entrepreneurship. Also, Invest in Valencia , which promotes foreign investment into the city, is creating initiatives to promote Valencia’s 5G, cybersecurity and innovation sectors. announced Invest in Valencia Spain’s nation-wide support of startups Spain’s nation-wide support of startups On a national level, Spain has been taking steps in recent years to help foster startups and the tech sector. In December of 2022, the country passed its Startups Law, which aimed to cut some bureaucratic processes for starting companies, as well as tax incentives for startups and investors, as well as lower barriers for foreigners to enter the country to start a business or work with a startup. passed Earlier this year, the government announced the creation of a National Entrepreneurship Office (ONE), which focuses principally on prompting startups. The platform offers information for founders who want to recruit international talent, provides spaces for networking and startup events, information on grants and accelerators, and other information relevant to entrepreneurs. announced And in May, the government approved its AI strategy, which will deploy a total of €2.1 billion to help shore up the country’s AI sector. The strategy includes more funding for homegrown supercomputing, a structure for building a sustainable network of data centers to power AI, as well as investments and loan opportunities for companies innovating in AI. Taken together, the push from Spain as a whole, but also from Valencia as a startup hub, aims to help propel the country to be a leader in tech in southern Europe in the years to come. At least, that is the hope. The Sociable The Sociable The Sociable

Valencia’s Ambitious Plans to Become Southern Europe’s Next Startup Hub

London remains the number-one tech city outside of the US, based on Dealroom’s analysis that used a combination of factors including funding, patents, and billion-dollar-plus exits. The breadth of the activity can be noted during London Tech Week, an annual five-day event that brings together international enterprise leaders, government officials, and a dynamic expo to thousands of attendees. During the 2024 edition, held in the London Olympia in June, the hype around artificial intelligence (AI) in the UK’s capital could be heard loud and clear. In a strategically timely move, Salesforce unveiled the opening of its first dedicated AI Center on the eve of London Tech Week, coinciding with the company’s own London World Tour. Salesforce’s new AI Center will see a 40,000-square-foot facility opened up in the Blue Fin Building, an iconic landmark based on the south bank of the River Thames in Southwark, and will host a range of AI training and up-skilling programs while also building important connections between tech companies, specialists and Salesforce partners. But why did Salesforce opt for London, and was this decision a smart move? A vote of confidence for London Although Salesforce looks likely to open more AI Centers in key international locations in the future, its decision to opt for London as the first host city for this major endeavor speaks volumes for the potential of the city. Further, it looks like Salesforce isn’t the only tech firm that views London in a positive light with AI development. Research by London & Partners, one of the driving forces behind London Tech Week, found that some 77% of decision-makers at major international AI firms consider the city to be “more supportive of AI development than other major AI hubs,” according to Managing Director Janet Coyle. It’s also interesting to note that the AI Center isn’t the first play that Salesforce has made here. The company has committed $4 billion to invest in AI innovation over the next five years under Salesforce Ventures. To date, $200 million has already been awarded to UK AI firms including Eleven Labs, a provider of an AI-powered text-to-speech and voice generator, and the procurement platform AutoGen AI to name a couple of examples. The presence of the Salesforce Ventures fund coupled with the AI center shows a clear vote of confidence for London’s future in AI, but its success is likely to hinge on the wider tech ecosystem in the capital. The rise of AI centers in Europe However, it seems that London will be one of many cities hosting dedicated AI centers soon. For instance, Microsoft plans to invest $3.2 billion in AI facilities in Sweden, its largest-ever infrastructure bet in the Nordic country. The enterprise Data4 also announced this month plans to develop an AI center outside of Athens, signaling a boost to Greece’s digital infrastructure and economy. To understand more about the benefits of AI centers we spoke to Ranjit Tinaikar, CEO of Ness Digital Engineering (Ness), which earlier this year launched an innovation center in Europe. Speaking on the growth of AI centers globally and the opening of Salesforce’s inaugural AI Center in London, Tinaikar explained, “I think AI Centers are a very valid idea. And I completely understand the goals of becoming the R&D hub for driving AI innovation.” At the same time, he stressed the importance of the ecosystem’s foundation for determining the success of such programs. “If you were to compare Boston, which used to be the tech center for America in the sixties and seventies, before being supplanted by Silicon Valley as a tech hub; why did that revolution happen? It required four things: First, it needed an institution like Stanford, which was truly interested in primary research. Primary research, not commercial. Second, it needed the VC and the capital markets around it to fund those ideas and commercialize it by working with the universities. Third, you can’t do that unless you have a local talent pool that actually sits in that ecosystem and takes those ideas to market. Fourth, you need government support to allow people to take risks.” However, the executive cautioned, “If you don’t have purely research-oriented, high-end research institutions, a talent hub, and a capital market that actually funds it, then in the long term it’s not sustainable.” With this feedback in mind, it seems that the AI landscape in the UK is on solid footing. For example, the aforementioned developer training courses that Salesforce is now offering through its new London-based AI Center have the backing of City Hall, with the Deputy Mayor of London for Business and Growth, Howard Dawber, present at the opening ceremony. Meanwhile, the city has a wealth of internationally competitive research universities such as University College London, the London School of Economics and King’s College London, all of which further the progress of foundational data science research and collaborate with national programs such as the Alan Turing Institute, the UK’s national institute for data science and AI, founded in 2015 and largely funded by the UK government. The Alan Turing Institute is based in London’s ‘Knowledge Quarter’, a focal point around the King’s Cross area of London that houses other national institutes such as the Francis Crick Institute in addition to major tech firms like Google, who chose the site for its UK headquarters. This critical mass of educational institutions, national programs, high levels of investment and the presence of major tech enterprises all point towards a solid future for AI in London and the UK. Where next for AI centers? While it’s still too soon to see how much of an impact the AI centers discussed above will bring, their presence alone suggests a bright future. Whether it’s Salesforce in London or Microsoft in Sweden, such sizable investments to open such ambitious AI operations will be made after careful consideration. The fact that these locations have been chosen to host an AI center means they already boast the requisite parts of the AI ecosystem required. The British are famous for innovating around inefficiencies, which suggests that the new center will be able to navigate around any future hurdles that arise. Erick Espinosa on 150Sec London remains the number-one tech city outside of the US, based on Dealroom’s analysis that used a combination of factors including funding, patents, and billion-dollar-plus exits. number-one tech city The breadth of the activity can be noted during London Tech Week , an annual five-day event that brings together international enterprise leaders, government officials, and a dynamic expo to thousands of attendees. London Tech Week During the 2024 edition, held in the London Olympia in June, the hype around artificial intelligence (AI) in the UK’s capital could be heard loud and clear. artificial intelligence (AI) In a strategically timely move, Salesforce unveiled the opening of its first dedicated AI Center on the eve of London Tech Week, coinciding with the company’s own London World Tour. AI Center Salesforce’s new AI Center will see a 40,000-square-foot facility opened up in the Blue Fin Building, an iconic landmark based on the south bank of the River Thames in Southwark, and will host a range of AI training and up-skilling programs while also building important connections between tech companies, specialists and Salesforce partners. iconic landmark But why did Salesforce opt for London, and was this decision a smart move? A vote of confidence for London A vote of confidence for London Although Salesforce looks likely to open more AI Centers in key international locations in the future, its decision to opt for London as the first host city for this major endeavor speaks volumes for the potential of the city. Further, it looks like Salesforce isn’t the only tech firm that views London in a positive light with AI development. Research by London & Partners, one of the driving forces behind London Tech Week, found that some 77% of decision-makers at major international AI firms consider the city to be “more supportive of AI development than other major AI hubs,” according to Managing Director Janet Coyle. It’s also interesting to note that the AI Center isn’t the first play that Salesforce has made here. The company has committed $4 billion to invest in AI innovation over the next five years under Salesforce Ventures. $4 billion To date, $200 million has already been awarded to UK AI firms including Eleven Labs, a provider of an AI-powered text-to-speech and voice generator, and the procurement platform AutoGen AI to name a couple of examples. The presence of the Salesforce Ventures fund coupled with the AI center shows a clear vote of confidence for London’s future in AI, but its success is likely to hinge on the wider tech ecosystem in the capital. The rise of AI centers in Europe The rise of AI centers in Europe However, it seems that London will be one of many cities hosting dedicated AI centers soon. For instance, Microsoft plans to invest $3.2 billion in AI facilities in Sweden, its largest-ever infrastructure bet in the Nordic country. The enterprise Data4 also announced this month plans to develop an AI center outside of Athens, signaling a boost to Greece’s digital infrastructure and economy. To understand more about the benefits of AI centers we spoke to Ranjit Tinaikar, CEO of Ness Digital Engineering (Ness), which earlier this year launched an innovation center in Europe. Speaking on the growth of AI centers globally and the opening of Salesforce’s inaugural AI Center in London, Tinaikar explained, “I think AI Centers are a very valid idea. And I completely understand the goals of becoming the R&D hub for driving AI innovation.” At the same time, he stressed the importance of the ecosystem’s foundation for determining the success of such programs. “If you were to compare Boston, which used to be the tech center for America in the sixties and seventies, before being supplanted by Silicon Valley as a tech hub; why did that revolution happen? It required four things: First, it needed an institution like Stanford, which was truly interested in primary research. Primary research, not commercial. Second, it needed the VC and the capital markets around it to fund those ideas and commercialize it by working with the universities. Third, you can’t do that unless you have a local talent pool that actually sits in that ecosystem and takes those ideas to market. Fourth, you need government support to allow people to take risks.” However, the executive cautioned, “If you don’t have purely research-oriented, high-end research institutions, a talent hub, and a capital market that actually funds it, then in the long term it’s not sustainable.” With this feedback in mind, it seems that the AI landscape in the UK is on solid footing. For example, the aforementioned developer training courses that Salesforce is now offering through its new London-based AI Center have the backing of City Hall, with the Deputy Mayor of London for Business and Growth, Howard Dawber, present at the opening ceremony. Meanwhile, the city has a wealth of internationally competitive research universities such as University College London, the London School of Economics and King’s College London, all of which further the progress of foundational data science research and collaborate with national programs such as the Alan Turing Institute, the UK’s national institute for data science and AI, founded in 2015 and largely funded by the UK government. The Alan Turing Institute is based in London’s ‘ Knowledge Quarter ’, a focal point around the King’s Cross area of London that houses other national institutes such as the Francis Crick Institute in addition to major tech firms like Google, who chose the site for its UK headquarters. Knowledge Quarter This critical mass of educational institutions, national programs, high levels of investment and the presence of major tech enterprises all point towards a solid future for AI in London and the UK. Where next for AI centers? Where next for AI centers? While it’s still too soon to see how much of an impact the AI centers discussed above will bring, their presence alone suggests a bright future. Whether it’s Salesforce in London or Microsoft in Sweden, such sizable investments to open such ambitious AI operations will be made after careful consideration. The fact that these locations have been chosen to host an AI center means they already boast the requisite parts of the AI ecosystem required. The British are famous for innovating around inefficiencies, which suggests that the new center will be able to navigate around any future hurdles that arise. Erick Espinosa on 150Sec Erick Espinosa on 150Sec Erick Espinosa on 150Sec Erick Espinosa

Why Salesforce Chose London for Its First AI Center and $4 Billion AI Investment

Proč si Salesforce vybral Londýn pro své první centrum AI a investici do AI ve výši 4 miliard dolarů

Hvorfor Salesforce valgte London til sit første AI-center og $4 milliarder AI-investering

Por qué Salesforce eligió Londres para su primer centro de inteligencia artificial y una inversión de 4.000 millones de dólares en inteligencia artificial

Zergatik aukeratu zuen Salesforcek Londres bere lehen AI zentrorako eta 4.000 milioi dolar AI inbertsiorako

Por que Salesforce elixiu Londres para o seu primeiro centro de intelixencia artificial e un investimento en intelixencia artificial de 4.000 millóns de dólares

Perché Salesforce ha scelto Londra per il suo primo centro di intelligenza artificiale e un investimento di 4 miliardi di dollari in intelligenza artificiale

Salesforce が初の AI センターと 40 億ドルの AI 投資の拠点としてロンドンを選んだ理由

Kāpēc Salesforce izvēlējās Londonu savam pirmajam AI centram un 4 miljardu dolāru investīcijām AI

Waarom Salesforce Londen koos voor zijn eerste AI-centrum en $ 4 miljard aan AI-investeringen

เหตุใด Salesforce จึงเลือกลอนดอนเป็นศูนย์ AI แห่งแรกและลงทุน AI มูลค่า 4 พันล้านดอลลาร์

Kutheni i-Salesforce ikhethe iLondon kwiziko layo lokuqala le-AI kunye ne-4 yeebhiliyoni zeerandi zoTyalo-mali lwe-AI

Kungani i-Salesforce Ikhethe iLondon Isikhungo sayo sokuqala se-AI kanye ne- $ 4 Billion AI Investment

The European investment environment in 2024 is marked by a surge of exciting and promising sectors that are capturing the attention of venture capitalists and investors alike. According to the Venture Pulse Report by KPMG, the European venture capital market experienced a significant increase in activity in the second quarter of 2024, with investments rising from $13.9 billion to $17.8 billion across 1,869 transactions. This growth was primarily driven by mega deals involving companies like Wayve, Abound, Mistral AI, and Monzo. As we navigate through this evolving ecosystem, understanding the sectors poised for substantial growth and innovation is crucial for making informed investment decisions. In this article, we will delve into the most promising investment sectors in Europe for 2024, exploring the driving trends and key factors that make these sectors attractive to investors. Understanding Where to Invest Let's consider the criteria to keep in mind when making investment decisions. Investors should evaluate market trends, global demand, sustainability, and the sector's resilience during economic downturns. Analyzing these factors helps in identifying sectors poised for growth and innovation. Market Trends: Observing industry developments and forecasting future trends.
Global Demand: Identifying sectors catering to growing global needs or potential markets.
Sustainability: Investing in sectors contributing positively to environmental and social goals.
Economic Resilience: Choosing sectors that remain in demand irrespective of economic conditions. By considering these factors, let's explore the most interesting investment sectors for 2024. Top Sectors for Investment in 2024 Fintech Overview: Fintech encompasses technological innovations in financial services, including digital payments, blockchain, and online lending. Current Trends: In the first half of 2024, the global Fintech sector navigated a challenging investment environment. According to Innovate Finance, global Fintech investments during this period amounted to $15.9 billion across 1,566 deals. During the first half of the year, the UK secured $2.0 billion in investments through 184 deals, surpassing the rest of Europe’s total of roughly $1.8 billion. This demonstrates the UK's ongoing leadership in the European Fintech sector, despite global economic and political uncertainties. Germany and the Netherlands emerged as the second and third-largest markets, underscoring the rising significance of tech hubs across continental Europe. Sweden remains a key player, while France also ranks among the top five, indicating its strong position as a hub for financial technology innovation. Notably, 167 of these deals were under $20 million, focusing on Seed and Series A stages. The average deal size was $10.2 million, down from the $12 million average in 2022 and 2023, indicating a shift back towards early-stage ventures. Why It’s Attractive: The fintech sector is at a critical inflection point, with innovations in digital banking, blockchain, and financial inclusion driving growth. The sector's adaptability to regulatory changes and consumer preferences ensures a robust investment outlook. Artificial Intelligence (AI) Overview: AI continues to shine in 2024, driving innovation across various industries, from healthcare to finance. Current Trends: According to PitchBook, AI investments in Europe doubled from the previous quarter to €4.2 billion in Q2 2024. Overall, AI companies attracted €6.3 billion in the first half of the year. The integration of AI in various sectors has demonstrated its transformative potential, from enhancing operational efficiencies to pioneering new product developments. The UK remains at the forefront of the European AI scene, with the highest number of VC-backed AI and machine learning (ML) companies. With 1,319 startups, the UK surpasses France, which holds the second spot with 520 companies. This leadership is evident in the substantial deal values and volumes attracted by AI companies in the UK. Why It’s Attractive: AI's ability to revolutionize industries and its rapid adoption make it a top investment choice. AI technologies, including machine learning, natural language processing, and robotics, are expected to continue driving significant advancements and creating substantial economic value. 3. SaaS and B2B Overview: SaaS (Software as a Service) and B2B (Business-to-Business) solutions focus on providing software and services to businesses, enhancing operational efficiency and productivity. Current Trends: In recent years, SaaS and B2B solutions have become increasingly prominent in the venture capital landscape. According to Dealroom, 47% of venture capital investments in 2023 were directed towards startups with a SaaS business model, accounting for nearly half of all venture capital funding. This represents a significant increase over the past decade, highlighting a sustained and accelerating trend towards SaaS-focused investments. Why It’s Attractive: The scalability and recurring revenue models of SaaS and B2B make them attractive for investors. The continuous need for businesses to streamline operations and adopt digital solutions drives growth in these sectors. 4. Cybersecurity Overview: Cybersecurity is crucial for protecting information and systems from cyber threats, with increasing importance due to the rise of digitalization. Current Trends: According to PitchBook’s report on the sector, investments in cybersecurity reached $9.6 billion across 693 deals in 2023, with top-performing companies commanding high valuations. Last year, cybersecurity unicorns saw exceptional valuation growth, outpacing many other emerging tech sectors. Leading companies are still attracting substantial valuations despite a slowdown in venture capital funding. Wiz reached a $10 billion valuation in February following a $300 million Series D round. In November, Keyfactor achieved a $1.3 billion valuation, and Prove Identity crossed the $1 billion mark in October. Why It’s Attractive: The growing frequency of cyber threats and the need for robust security measures drive the demand for cybersecurity solutions. The sector's critical role in protecting data and systems makes it a compelling investment choice. 5. Climate Tech Overview: Climate tech focuses on developing technologies to combat climate change and promote sustainability. Current Trends: Climate tech investments totaled $11.3 billion in H1 2024, despite a 20% decline from the previous year. The sector continues to attract attention with innovations in energy, sustainable materials, and carbon management. Why It’s Attractive: Climate tech aligns with global sustainability goals, offering long-term growth potential. Investments in renewable energy, sustainable agriculture, and green technologies position the sector as a key player in addressing environmental challenges. The information provided in this article is for informational purposes only and should not be considered as financial advice. The content does not constitute investment recommendations, and we do not assume any responsibility for any financial decisions made based on this information. The European investment environment in 2024 is marked by a surge of exciting and promising sectors that are capturing the attention of venture capitalists and investors alike. According to the Venture Pulse Report by KPMG , the European venture capital market experienced a significant increase in activity in the second quarter of 2024, with investments rising from $13.9 billion to $17.8 billion across 1,869 transactions. This growth was primarily driven by mega deals involving companies like Wayve, Abound, Mistral AI, and Monzo. As we navigate through this evolving ecosystem, understanding the sectors poised for substantial growth and innovation is crucial for making informed investment decisions. the Venture Pulse Report by KPMG In this article, we will delve into the most promising investment sectors in Europe for 2024, exploring the driving trends and key factors that make these sectors attractive to investors. Understanding Where to Invest Let's consider the criteria to keep in mind when making investment decisions. Investors should evaluate market trends, global demand, sustainability, and the sector's resilience during economic downturns. Analyzing these factors helps in identifying sectors poised for growth and innovation. Market Trends: Observing industry developments and forecasting future trends. Global Demand: Identifying sectors catering to growing global needs or potential markets. Sustainability: Investing in sectors contributing positively to environmental and social goals. Economic Resilience: Choosing sectors that remain in demand irrespective of economic conditions. Market Trends: Observing industry developments and forecasting future trends. Market Trends: Global Demand: Identifying sectors catering to growing global needs or potential markets. Global Demand: Sustainability: Investing in sectors contributing positively to environmental and social goals. Sustainability: Economic Resilience: Choosing sectors that remain in demand irrespective of economic conditions. Economic Resilience: By considering these factors, let's explore the most interesting investment sectors for 2024. Top Sectors for Investment in 2024 Fintech Overview: Fintech encompasses technological innovations in financial services, including digital payments, blockchain, and online lending. Overview: Current Trends: In the first half of 2024, the global Fintech sector navigated a challenging investment environment. According to Innovate Finance , global Fintech investments during this period amounted to $15.9 billion across 1,566 deals. Current Trends: According to Innovate Finance During the first half of the year, the UK secured $2.0 billion in investments through 184 deals, surpassing the rest of Europe’s total of roughly $1.8 billion. This demonstrates the UK's ongoing leadership in the European Fintech sector, despite global economic and political uncertainties. Germany and the Netherlands emerged as the second and third-largest markets, underscoring the rising significance of tech hubs across continental Europe. Sweden remains a key player, while France also ranks among the top five, indicating its strong position as a hub for financial technology innovation. Notably, 167 of these deals were under $20 million, focusing on Seed and Series A stages. The average deal size was $10.2 million, down from the $12 million average in 2022 and 2023, indicating a shift back towards early-stage ventures. Why It’s Attractive: The fintech sector is at a critical inflection point, with innovations in digital banking, blockchain, and financial inclusion driving growth. The sector's adaptability to regulatory changes and consumer preferences ensures a robust investment outlook. Why It’s Attractive: Artificial Intelligence (AI) Overview: AI continues to shine in 2024, driving innovation across various industries, from healthcare to finance. Overview: Current Trends: According to PitchBook , AI investments in Europe doubled from the previous quarter to €4.2 billion in Q2 2024. Overall, AI companies attracted €6.3 billion in the first half of the year. The integration of AI in various sectors has demonstrated its transformative potential, from enhancing operational efficiencies to pioneering new product developments. Current Trends: PitchBook The UK remains at the forefront of the European AI scene, with the highest number of VC-backed AI and machine learning (ML) companies. With 1,319 startups, the UK surpasses France, which holds the second spot with 520 companies. This leadership is evident in the substantial deal values and volumes attracted by AI companies in the UK. Why It’s Attractive: AI's ability to revolutionize industries and its rapid adoption make it a top investment choice. AI technologies, including machine learning, natural language processing, and robotics, are expected to continue driving significant advancements and creating substantial economic value. Why It’s Attractive: 3. SaaS and B2B Overview: SaaS (Software as a Service) and B2B (Business-to-Business) solutions focus on providing software and services to businesses, enhancing operational efficiency and productivity. Overview: Current Trends: In recent years, SaaS and B2B solutions have become increasingly prominent in the venture capital landscape. According to Dealroom , 47% of venture capital investments in 2023 were directed towards startups with a SaaS business model, accounting for nearly half of all venture capital funding. This represents a significant increase over the past decade, highlighting a sustained and accelerating trend towards SaaS-focused investments. Current Trends: According to Dealroom Why It’s Attractive: The scalability and recurring revenue models of SaaS and B2B make them attractive for investors. The continuous need for businesses to streamline operations and adopt digital solutions drives growth in these sectors. Why It’s Attractive: 4. Cybersecurity Overview: Cybersecurity is crucial for protecting information and systems from cyber threats, with increasing importance due to the rise of digitalization. Overview: Current Trends: According to PitchBook’s report on the sector, investments in cybersecurity reached $9.6 billion across 693 deals in 2023, with top-performing companies commanding high valuations. Current Trends: According to PitchBook’s report Last year, cybersecurity unicorns saw exceptional valuation growth, outpacing many other emerging tech sectors. Leading companies are still attracting substantial valuations despite a slowdown in venture capital funding. Wiz reached a $10 billion valuation in February following a $300 million Series D round. In November, Keyfactor achieved a $1.3 billion valuation, and Prove Identity crossed the $1 billion mark in October. Why It’s Attractive: The growing frequency of cyber threats and the need for robust security measures drive the demand for cybersecurity solutions. The sector's critical role in protecting data and systems makes it a compelling investment choice. Why It’s Attractive: 5. Climate Tech Overview: Climate tech focuses on developing technologies to combat climate change and promote sustainability. Overview: Current Trends: Climate tech investments totaled $11.3 billion in H1 2024 , despite a 20% decline from the previous year. The sector continues to attract attention with innovations in energy, sustainable materials, and carbon management. Current Trends: totaled $11.3 billion in H1 2024 Why It’s Attractive: Climate tech aligns with global sustainability goals, offering long-term growth potential. Investments in renewable energy, sustainable agriculture, and green technologies position the sector as a key player in addressing environmental challenges. Why It’s Attractive: The information provided in this article is for informational purposes only and should not be considered as financial advice. The content does not constitute investment recommendations, and we do not assume any responsibility for any financial decisions made based on this information. The information provided in this article is for informational purposes only and should not be considered as financial advice. The content does not constitute investment recommendations, and we do not assume any responsibility for any financial decisions made based on this information. The information provided in this article is for informational purposes only and should not be considered as financial advice. The content does not constitute investment recommendations, and we do not assume any responsibility for any financial decisions made based on this information. The information provided in this article is for informational purposes only and should not be considered as financial advice. The content does not constitute investment recommendations, and we do not assume any responsibility for any financial decisions made based on this information.

Most Promising and Exciting Investment Sectors in Europe in 2024

Personalized product development is now a must rather than a choice for businesses looking to succeed in the current technology era. The "Next in Personalisation 2021 Report" indicates this pattern, demonstrating companies who are adept at personalizing their offerings experience a rise in revenue growth along with increased customer satisfaction and loyalty. Another evidence of the relationship between successful product customization and financial success comes from the fact that businesses that successfully comprehend and meet the unique needs of their consumers routinely beat their rivals. According to Dealroom, 18% of fintech investments made in the previous year went into customized financial counsel. The relevance of individualized financial solutions in the fintech sector is being highlighted by this large funding rise. It’s a sign that investors understand how customized financial management systems may boost consumer loyalty and company expansion. Nowadays, in the highly competitive business world, businesses that prioritize customization are emerging as leaders, as personalization continues to form consumer expectations and corporate strategy. Let's take a closer look at how personalization helps businesses to increase customer loyalty and boost their revenue and overall performance. Personalization Impact, Data Proof As customer expectations for personalized experiences continue to rise, personalization has become increasingly vital while working on the creation of new products. Changes in consumer behavior caused by global crises such as the Pandemic-19 have made it more common for customers to hunt for businesses that can offer more customized solutions to satisfy their changing needs. As evidence of this, the research shows a notable shift in customer expectations: 71% of consumers nowadays anticipate personalized interactions from businesses, and 76% become upset if these expectations are not met, according to McKinsey. A one-size-fits-all approach does not yield the same kind of advantage as successful customization in offers, which increases revenue for organizations by a significant 40% and it doesn't end there. The Complex World of Personalization in Product Development Product personalization primarily focuses on the strategic use of consumer data to give users better, more engaging experiences. In order to suit market demands and each client's unique needs and preferences, products and services must be designed accordingly. The goal is to make every customer feel valued and appreciated, whether through individualized service, flexible features, or adaptive product designs. Personalized experiences enhance engagement and satisfaction, and this is demonstrated by the impact of personalization in a variety of industries. For example, skincare companies have witnessed increases in sales and client retention by providing personalized treatments based on individual skin tests. Offering adopted fitness plans has also significantly increased customer engagement and brand loyalty for gym enterprises. But even if demands for highly customized services are growing, it is not an easy task to put into practice. Less than 50% of banks successfully use customer data management, despite the fact that 71% of institutions run personalized campaigns and communications, according to Infosys Finacle and Qorus' "Maximizing Digital Engagement" report. These financial institutions find it difficult to offer data-driven proactive guidance, and human-augmented sales supported by AI and ML recommendations. The Fine Line in Personalization: Avoiding the "Creepy" Factor More than a decade ago, Target made scandalous headlines when it improperly used personalization in its clients’ management: it sent a teenager coupons for baby supplies before her parents even got to know about her pregnancy. Target's predictive analytics attempted to foresee customer wants, however, it fell on the side of being both thoughtful and creepy. This is a warning example for many businesses, but especially for banks handling large amounts of confidential client data. There is a great amount of responsibility associated with being able to provide hyper-personalized experiences, such as proactive financial advice or customized product recommendations. However, it's important to remember that if personalization comes up as intrusive or insensitive, it could backfire, shattering consumers' trust and forcing them to switch banks. The key is to personalize without scaring off clients. Customers should feel valued and appreciated without feeling like they are being watched over, thus personalization must be done carefully and wisely. For instance, banks can utilize aggregated insights to offer broad categories of services that could interest the consumer, instead of sending explicit messages based on personal data. Thus, finding the right balance in product development is a delicate art, even when the benefits of personalization are evident. Businesses require caution while navigating the complexity of data used to avoid finding their personalization efforts intrusive. Revolut: A Case Study in Successful Product Personalization The Revolut marketing campaign is an excellent example of a successful product personalization strategy in the banking industry. Their ability to provide financial services that are customized to meet the demands of each client shows how effective their personalized service is: the company offers its customers tailored financial solutions, such as flexible account features, individualized financial advice, and many more. Revolut's strategy consists of offering sophisticated financial tools and easily customizable app interfaces so that users may personalize their experience according to their own needs and tastes. The remarkable rise of Revolut, which now has over 35 million customers, may be attributed in a significant way to its focus on personalization. The company's performance highlights the value of personalization in raising customer satisfaction and engagement, demonstrating that tailored financial services may result in significant user growth and loyalty when implemented properly. The Role of Machine Learning in Scalable Personalization With the rise of AI and machine learning, personalization has undergone a revolution that makes it possible for businesses to effectively provide millions of customers with personalized product experiences. With the help of these tools, businesses can comb through enormous data sets and find insights that make large-scale product customization possible. In order to be successful, personalization needs to improve the product's essential features. An excellent illustration of this is the iPhone, which offers customers quick access to essential functions along with customization choices for apps as well as the way they appear on the screen. By striking this balance, personalization offers value without making the user experience more complex. Through the use of AI and machine learning, businesses may achieve scalable personalization that improves the customer experience. However, it's vital to remember that customization should simplify and enhance rather than make the user experience overcomplicated. Future Directions: Balancing Personalization with User Needs Maintaining a balance between the potential advantages and drawbacks of personalization will be the primary challenge for businesses in the future. It is essential for companies of all kinds to give high importance to ethical considerations and transparency for their clients. Businesses can use personalization to create a digital environment that is more dynamic, personalized, and engaging by implementing technology to increase data security and privacy and develop closer customer interactions. In summary, the role of personalization in product creation continues to expand and remains significant. Effectively utilizing technology to improve customer engagement, satisfaction, and loyalty can give businesses a competitive edge and boost revenue. But it's crucial to find the ideal balance. A bank's bottom line, long-term customer value, and satisfaction could all be enhanced by personalization in banking. This can only be accomplished by keeping a balance between privacy and information, relying on best practices and responsible data governance. By using this kind of approach, businesses may maximize personalization and set the way for a more personalized and engaging digital future. Through careful balancing, financial organizations can fully leverage personalization to propel growth and cultivate strong customer relationships. Personalized product development is now a must rather than a choice for businesses looking to succeed in the current technology era. The "Next in Personalisation 2021 Report" indicates this pattern, demonstrating companies who are adept at personalizing their offerings experience a rise in revenue growth along with increased customer satisfaction and loyalty. "Next in Personalisation 2021 Report" "Next in Personalisation 2021 Report" Another evidence of the relationship between successful product customization and financial success comes from the fact that businesses that successfully comprehend and meet the unique needs of their consumers routinely beat their rivals. According to Dealroom, 18% of fintech investments made in the previous year went into customized financial counsel. The relevance of individualized financial solutions in the fintech sector is being highlighted by this large funding rise. It’s a sign that investors understand how customized financial management systems may boost consumer loyalty and company expansion. Nowadays, in the highly competitive business world, businesses that prioritize customization are emerging as leaders, as personalization continues to form consumer expectations and corporate strategy. Let's take a closer look at how personalization helps businesses to increase customer loyalty and boost their revenue and overall performance. Personalization Impact, Data Proof As customer expectations for personalized experiences continue to rise, personalization has become increasingly vital while working on the creation of new products. Changes in consumer behavior caused by global crises such as the Pandemic-19 have made it more common for customers to hunt for businesses that can offer more customized solutions to satisfy their changing needs. As evidence of this, the research shows a notable shift in customer expectations: 71% of consumers nowadays anticipate personalized interactions from businesses, and 76% become upset if these expectations are not met, according to McKinsey . McKinsey A one-size-fits-all approach does not yield the same kind of advantage as successful customization in offers, which increases revenue for organizations by a significant 40% and it doesn't end there. The Complex World of Personalization in Product Development Product personalization primarily focuses on the strategic use of consumer data to give users better, more engaging experiences. In order to suit market demands and each client's unique needs and preferences, products and services must be designed accordingly. The goal is to make every customer feel valued and appreciated, whether through individualized service, flexible features, or adaptive product designs. Personalized experiences enhance engagement and satisfaction, and this is demonstrated by the impact of personalization in a variety of industries. For example, skincare companies have witnessed increases in sales and client retention by providing personalized treatments based on individual skin tests. Offering adopted fitness plans has also significantly increased customer engagement and brand loyalty for gym enterprises. But even if demands for highly customized services are growing, it is not an easy task to put into practice. Less than 50% of banks successfully use customer data management, despite the fact that 71% of institutions run personalized campaigns and communications, according to Infosys Finacle and Qorus' "Maximizing Digital Engagement" report . These financial institutions find it difficult to offer data-driven proactive guidance, and human-augmented sales supported by AI and ML recommendations. report The Fine Line in Personalization: Avoiding the "Creepy" Factor More than a decade ago, Target made scandalous headlines when it improperly used personalization in its clients’ management: it sent a teenager coupons for baby supplies before her parents even got to know about her pregnancy. Target's predictive analytics attempted to foresee customer wants, however, it fell on the side of being both thoughtful and creepy. This is a warning example for many businesses, but especially for banks handling large amounts of confidential client data. There is a great amount of responsibility associated with being able to provide hyper-personalized experiences, such as proactive financial advice or customized product recommendations. However, it's important to remember that if personalization comes up as intrusive or insensitive, it could backfire, shattering consumers' trust and forcing them to switch banks. The key is to personalize without scaring off clients. Customers should feel valued and appreciated without feeling like they are being watched over, thus personalization must be done carefully and wisely. For instance, banks can utilize aggregated insights to offer broad categories of services that could interest the consumer, instead of sending explicit messages based on personal data. Thus, finding the right balance in product development is a delicate art, even when the benefits of personalization are evident. Businesses require caution while navigating the complexity of data used to avoid finding their personalization efforts intrusive. Revolut: A Case Study in Successful Product Personalization The Revolut marketing campaign is an excellent example of a successful product personalization strategy in the banking industry. Their ability to provide financial services that are customized to meet the demands of each client shows how effective their personalized service is: the company offers its customers tailored financial solutions, such as flexible account features, individualized financial advice, and many more. Revolut's strategy consists of offering sophisticated financial tools and easily customizable app interfaces so that users may personalize their experience according to their own needs and tastes. The remarkable rise of Revolut, which now has over 35 million customers, may be attributed in a significant way to its focus on personalization. The company's performance highlights the value of personalization in raising customer satisfaction and engagement, demonstrating that tailored financial services may result in significant user growth and loyalty when implemented properly. The Role of Machine Learning in Scalable Personalization With the rise of AI and machine learning, personalization has undergone a revolution that makes it possible for businesses to effectively provide millions of customers with personalized product experiences. With the help of these tools, businesses can comb through enormous data sets and find insights that make large-scale product customization possible. In order to be successful, personalization needs to improve the product's essential features. An excellent illustration of this is the iPhone, which offers customers quick access to essential functions along with customization choices for apps as well as the way they appear on the screen. By striking this balance, personalization offers value without making the user experience more complex. Through the use of AI and machine learning, businesses may achieve scalable personalization that improves the customer experience. However, it's vital to remember that customization should simplify and enhance rather than make the user experience overcomplicated. Future Directions: Balancing Personalization with User Needs Maintaining a balance between the potential advantages and drawbacks of personalization will be the primary challenge for businesses in the future. It is essential for companies of all kinds to give high importance to ethical considerations and transparency for their clients. Businesses can use personalization to create a digital environment that is more dynamic, personalized, and engaging by implementing technology to increase data security and privacy and develop closer customer interactions. In summary, the role of personalization in product creation continues to expand and remains significant. Effectively utilizing technology to improve customer engagement, satisfaction, and loyalty can give businesses a competitive edge and boost revenue. But it's crucial to find the ideal balance. A bank's bottom line, long-term customer value, and satisfaction could all be enhanced by personalization in banking. This can only be accomplished by keeping a balance between privacy and information, relying on best practices and responsible data governance. By using this kind of approach, businesses may maximize personalization and set the way for a more personalized and engaging digital future. Through careful balancing, financial organizations can fully leverage personalization to propel growth and cultivate strong customer relationships.

Unlocking Growth and Customer Loyalty: The Essential Role of Personalization in Product Development

is one of the most promising segments of venture capital, according to the recent European Deep Tech from Dealroom. Much of what humanity uses today, from electricity and smartphones to cars, was once considered Deep Tech - a scientific or engineering breakthrough that fundamentally changes industries and our view of the world. , explains the immense value of PR managers working on such projects and how best to manage campaigns. Deep Tech report Aleksei Skorik, the founder and CEO of Nanga Agency The products of modern Deep Tech startups are a bit like the Holy Grail; we expect them to solve almost all the problems humanity faces today from climate change to the fight against incurable diseases. For instance, today’s advanced technologies that promise a new future such as artificial intelligence, food biotech, new energy, and quantum technologies should provide answers or so we think. Like any other technology sector, Deep Tech has its own specific challenges including PR issues. We have been working on such projects for a long time today at the agency, and we have a separate practice for Deep Tech. Our portfolio includes AI platforms, drones, energy, quantum computing, communications, and sensors. We'll discuss a few specifics below, but the field of communications, even in a very young startup, is a complex system with a large number of stakeholders. Therefore, you cannot reduce it to the conditional block diagram: "If DeepTech does this…". Such conclusions are largely speculative and may turn out to be seriously wide of the mark. Content Overview Earlier is better Lie to me Exit this way Final thoughts Earlier is better In a typical situation, the founder of a classic technology startup approaches a PR specialist with an inquiry. A classic situation is one in which the mooted product is not based on knowledge-intensive developments and there is no need to work on R&D for many years. The project is at the stage, but the head of the company wants to start promoting it as soon as possible so that he can attract clients and investors. The belief is that money will flow in and all the right audiences will immediately form a queue for the product. MVP If the PR person has been working in the venture capital market for a long time, he understands that it is too early to move on to promotion: ● The product is raw. Bugs keep popping up/a significant portion of the USP is described in the future tense. : "A couple of months and we'll finish this feature and become the first on the market with a similar service.” At the same time, a backlog is constantly moving and there is no demand or movement towards said feature. Phrase-marker ● Questions about the monetization model, target audiences, and more are not answered. The is: "Now it will be like this, but maybe we'll change it.” marker phrase In general, this is quite normal for a company at the MVP stage. But it is extremely harmful and premature to enter the market at this point. Either the specialist honestly says that it is better to wait to move forward with PR or he sings a song about warming up the market and earns some money. If you remember the methodology for determining the level of technology readiness (TRL, see Figure 1), even starting media promotion at TRL-8  is a little early. The right moment to launch is when beta-testing is completed, and the business model is refined. There are several reasons why haste is unnecessary: Even if a journalist prepares a story about a project, a reader confronted with bugs won't mince words when evaluating it. Nor will they return to the product in the future, when it is completed. You only get one chance to make a good impression. Often in the early stages of a startup, the business is transformed beyond recognition. The monetization model, the use of technology, and the audiences can all change. The average journalist will not want to write about a project that might disappear from the radar tomorrow or change beyond recognition. This is a waste of time and energy. A PR person who constantly offers MVP also loses trust among journalists because they are offering something that is an embryonic condition. Now that all of this is said the irony is that these admonitions could be redundant when it comes to the Deep Tech sector. You can start media communication in Deep Tech long before the MVP and even at the experimental stage. For instance, TRL 3-4 is the perfect time to start trumpeting the team's successes. The reason is that Deep Tech projects are designed to solve problems that are so global the earlier the company starts interacting with its target audiences the better. If we remember Rogers' model of innovation diffusion, the recommendation would be as follows: focus not on innovators (see Fig. 2) - there will be no problem with them but on the later majority and the laggards. During the lab prototype and demo stages, the PR specialist, and in scientific communications the Public Information Officer, and his team must work like a small factory. Stories need to be told to different target audiences, of course taking into account different tone-of-voice, vocabulary, and key meanings. Regulators care about one thing, business about another, investors about revenues, and the general public about usage. You have to keep everyone in mind. The more credibility a project achieves by the time the product is released the easier it will be to organize pilots and set up further distribution. Lie to me One of the problems faced by technology PR specialists is the difficulty of verifying the technology and with it the expertise of the team. Multidisciplinary PR agencies have it harder: in fact, they only have a couple of setup calls or meetings to decide if they are ready to get involved and take responsibility for what they bring to the outside. In Deep Tech's case, how do you even evaluate a product that doesn't exist or is so complex that it seems beyond understanding unless you have a Ph.D. in applied science? For instance, AI platforms can turn out to be offices where regular employees work in strict secrecy, big data may be just a small sample of data, and the drones in the video can just roll down the slide. Of course the share of scams today is not comparable to crypto projects that attracted investments on ICOs a few years ago but they still occur. So what can you do to reduce your own risks? We sign an NDA and start our own equivalent of tech due diligence: Prepare a detailed Q&A and thoroughly ask the СTO about the technology stack, ask to show the backlog, and demonstrate how the product works. Assess the team's expertise: the Hirsch index, the number of articles published in international journals, the citation rate, and the affiliation of the co-authors of the publications. By agreement with the founder, we involve external experts who can verify product development. It may seem we are digging too deep. But this is how we work with deep technology. For instance, you have to be prepared for the fact that the potential project may have been inspired by the early success of ScaleFactor, which for six years passed off Filipino accountants as artificial intelligence. During one conversation we had with a potential client team it turned out that the project as a whole lacked the infrastructure for the claimed technologies. In another example, a technical specialist was unable to answer how the claimed high efficiency of the AI solution was evaluated. If an entrepreneur is not trying to hide something, he will tell you about his product in great detail. Moreover, he will be happy to share his success, because behind any victory there are many defeats. For a PR executive if you feel that something is wrong it is better to sensibly assess your own reputational risks. You should not rely on patents when checking a project - they are written in different ways, and there may be no sense in them. A founder's media exposure is also not a guarantee of success. Reputation in the market is a plus but it's better not to rely on it solely. For a Deep Tech project manager the more you try to hide from a PR manager, the less effective your joint work will be. If you feel that the PR manager is not pulling his weight, offer another chance or look to change. Most importantly don't lie or withhold important information. You both have the same goals. Exit this way Life is always more diverse than any set of rules so for some people some recommendations work, for others they do not. This thesis perfectly illustrates the fact that not all Deep Tech projects live for years on investor money. Some may be able to reach operating profit fairly quickly and even forgo additional dilution of the funder's share if there is no need to continually fund R&D and there are no plans to exit the project. However, in the vast majority of cases, Deep Tech is about constant investment in new hypotheses, refinements, increasing production for a healthy cost structure, expansion, and team growth. Here the PR specialist must understand if the project depends on external funding, no matter what tasks it faces today, investment PR will be a red thread through each of them. The venture model assumes that the investors in the project make money either on the company's IPO or on its sale to a strategist. The option when a portfolio company simply generates some kind of profit is viewed by venture funds as not very successful because it is not clear how to get out of such a business. Yes, dividends come on the shares, but the fund will not distribute those shares to its investors. Its job is to further sell the shares, for example, to a fund at a later stage and return 3x, 5x, 10x, etc. of the investment. This is possible when selling either the entire company, or the investor's share to secondary investors, or an IPO, which is essentially a private example of selling to an unlimited number of people. The PR person needs to know this because often Deep Tech startup founders from the very beginning are focused on exiting after a certain period of time. And even if today the PR manager's task is to show the product the focus should be on investment PR. In accordance, markets, messages, platforms, formats, announcements of attracted funds or absence of the same, speakers, and so on need to reflect jurisdictions. If you do not keep this in mind, the tactical PR coverage may in the long run have a negative impact on the company's capitalization. Or it could lead to reputational damage at the time of fundraising if external communications for instance don’t take into account the geographical region of the future investor and the cultural context. For example, active newsjacking on acute social topics may well have a negative impact on communications for conservative foundations in the Middle East. Final thoughts In conclusion, working with Deep Tech and knowledge-intensive projects is always a powerful experience. But in addition to your knowledge and skills in communications, innovation management, and investment, you must be prepared to dig back into biology, chemistry, physics, and other native university disciplines to really understand the DeepTech project you get involved in.

Early Tech Due Diligence: Key PR Considerations for DeepTech Initiatives

Lately, there has been a lot of talk about how Central and Eastern European countries are attracting the attention of investors. According to , CEE is one of the fastest-growing regions for VC funding in Europe, growing 7.6x since 2017. Dealroom And despite the from US-based investors for European in 2023, particularly those emerging from ecosystems in Central and Eastern Europe (CEE), which only make up venture capital investment, there are still initiatives aimed at securing investments for innovative startups in the region. decrease in funding startups 3.6% of the EU’s total is one of those, an event that is playing a vital role in helping the startup ecosystems of Central and Eastern Europe to flourish. This meeting point of reference for CEE entrepreneurship is serving as a platform where innovation converges with business opportunities, capital, and knowledge. Podim All roads go east The event brings together renowned international investors, established corporations, startups, and scaleups from the Alps-Adriatic and Western Balkans regions to connect and engage in efficient networking and deal-making. Recently the Podim Pitching Competition, Podim’s startup competition, announced the ten semifinalists for this year’s event. These startups come from a wide range of industries, covering everything from empowering kids and adults with hands-on experiences to creating mind-winning ads and simplifying the path to psychotherapy through video calls. STEM The ten semifinalists are CircuitMess (Croatia), Midnightdeal (Austria), Behavio and Hedepy (Czech), Radical Storage and Sensoworks (Italy), Qubinets (Croatia), NUTEK AT GmbH (Austria), Remea | EV Charging Platform (Slovenia), and eevie from (Austria). These are working on a diverse range of projects, including developing a no-code big data infrastructure platform, hyperspectral medical imaging technology, an EV charging platform, and solutions to accelerate climate action. startups Big day coming The semifinals will take place during the Podim Investors Meetup, which will be held on Monday, 15 May 2023, from 17:00 to 19:00 (local time) at the Maribox conference center in Maribor, Slovenia. The event is being held in cooperation with AWS, Credo Ventures, and South Central Ventures. During the Investors Meetup, investors, speakers, and key partners will come together to discuss the most interesting startups and entrepreneurs in the region. “At Podim, we believe that innovation is the key to unlocking the potential of the CEE region’s startup and tech ecosystem. We are proud to provide a platform that enables startups, investors, and business executives to connect, learn, and do deals efficiently. Whether you’re looking to pitch your startup, find your next business partner, or simply experience the excitement of the latest trends in technology, Podim is the place to be.”, says Urban Lapajne, Program Manager at Podim. According to their organizers, the Podim Pitching Competition provides a great opportunity for startups to showcase their ideas and receive feedback from investors and industry experts. The competition has a proven track record of helping startups grow and succeed. Past winners of the competition include companies such as Bellabeat, Celtra, and CargoX, all of which have gone on to achieve significant success in their respective industries. In addition to the pitching competition, the Podim Investors Meetup will feature a range of talks and panels on topics such as entrepreneurship, innovation, and investment. The event is a great opportunity for entrepreneurs to learn from experienced industry leaders and to network with potential investors and partners such as IDEO, ENEL, Techstars, Miro, Adidas, UiPath, Google, Infobip, and MIT Media Lab. The event will also feature 70 speakers across 14 program blocks, with highlights including discussions on defining realistic product strategy, workplace culture, and the chatbot revolution for AI startups. In addition, attendees can network with over 200 startups from the CEE and Balkan Region in the Podim Deal Room. This event promises to offer attendees the latest insights, best practices, and valuable networking opportunities. This article was originally published on . 150sec

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Despite the downturn, EdTech continues to be an attractive investment opportunity for venture capitalists. The sector’s growth prospects remain strong, driven by the increasing adoption of technology and online learning, rising demand for upskilling and reskilling, and the growing number of K-12 and higher education students in the country. According to a report by Blume Ventures, the EdTech market in India is expected to grow at a CAGR of 39% to reach $10.4 billion by 2025. While I doubt they will concur with their report now and are likely to focus on alt sectors, the macro indicators underlying the EdTech investment outbreak in 2021 are still positive. Dealroom reported compared to the previous year due to several factors, including the pandemic-induced economic slowdown, rising inflation, and tighter regulatory scrutiny. The sector’s growth was partly fueled by the surge in online learning during the pandemic, and as things have started to return to normal, the growth has slowed down. This especially followed suit in India, where most EdTech companies saw themselves either running out of runway or raising down-rounds. The real status, of course, becomes clearer in the L2 divisions of the sector. a decline in EdTech activity in private and public markets in 2022 The EdTech sector in India is divided into three major sub-sectors, namely, K-12, higher education, upskilling and reskilling, and each sub-sector presents unique opportunities for investment. The three sub-sectors are solving drastically different problems of different segments. Only one, in my opinion, is slated to create true value. The Kids are Addicted & the Government is Worried K-12: The K-12 EdTech sector focuses on providing digital learning solutions for school students. The sector has witnessed significant growth in recent years, with various companies providing digital content, adaptive learning platforms, and personalised learning solutions. However, investing in this sector can be tricky, as it is highly dependent on government policies and the quality of the education system in the country. BYJU’S: , BYJU’S remains one of the leading EdTech companies in India, providing digital learning solutions for K-12 students. The company has raised over $2 billion in funding and has a valuation of $18 billion. Despite the media frenzy Vedantu: Vedantu is an online tutoring platform that provides live classes for K-12 students. The company has raised over $200 million in funding and has a valuation of $1.1 billion. Toppr: Toppr is an online learning platform that provides personalized learning solutions for K-12 students. The company has raised over $100 million in funding and has a valuation of $800 million. The government of India recently announced , which require EdTech companies to comply with a set of rules and regulations, including minimum qualifications for teachers and accreditation requirements. new guidelines for online education While companies like BYJU’S, Vedantu, and Toppr are leaders in this space, they have faced regulatory challenges. The government of India recently announced , which require EdTech companies to comply with a set of rules and regulations, including minimum qualifications for teachers and accreditation requirements. Therefore, investors looking to invest in K-12 EdTech companies need to keep a close eye on regulatory developments. new guidelines for online education Higher Education: A quality problem borrowed from their offline counterparts The Higher Education EdTech sector focuses on providing digital learning solutions for college and university students. The sector has witnessed significant growth in recent years, with various companies providing online degree programs, online certification courses, and digital content. Some of the top investment opportunities in the Higher Education EdTech sector include: upGrad: upGrad is an online learning platform that provides degree programs, certification courses, and executive education programs. The company has raised over $290 million in funding and has a valuation of $2 billion. Simplilearn: Simplilearn is an online learning platform that provides certification courses in various domains such as data science, cloud computing, and digital marketing. The company has raised over $50 million in funding and has a valuation of $300 million. Emeritus: Emeritus is an online learning platform that provides executive education programs in collaboration with top universities such as MIT, Columbia, and Wharton. The company has raised over $185 million in funding and has a valuation of $2 billion. Companies like upGrad, Simplilearn, and Emeritus are leading players in this space and have raised significant funding in recent years. However, investing in this sector requires carefully analysing the market, competition, and quality of online education offerings. The success of these companies is highly dependent on their ability to offer high-quality education that is comparable to traditional classroom-based education. Upskilling and Reskilling: The Only Way Out The Upskilling and Reskilling EdTech sector focuses on providing digital learning solutions for working professionals. The sector has witnessed significant growth in recent years, with various companies providing online courses and certifications to upskill and reskill employees. Some of the top investment opportunities in the Upskilling and Reskilling EdTech sector include: Simplilearn: Simplilearn is an online learning platform that provides certification courses in various domains such as data science, cloud computing, and digital marketing. The company has raised over $50 million in funding and has a valuation of $300 million, with its latest round led by global venture capital firm, Sixth Sense Ventures. Springboard: Springboard is an online learning platform that provides certification courses in emerging technologies such as AI, data science, and machine learning. The company has raised over $30 million in funding and has a valuation of $350 million, with its latest round led by Reach Capital. Scaler: Scaler is an online learning platform that provides coding and programming courses to upskill and reskill. It raised USD 20 million in funding led by Strive. The upskilling and reskilling sub-sector of the EdTech industry presents a unique opportunity. With the world becoming more technologically advanced, companies are constantly seeking employees with new skill sets. According to by 2025, over half of all employees will require significant reskilling and upskilling. This presents a massive opportunity for EdTech companies to fill this skills gap, making the upskilling and reskilling sub-sector a lucrative investment option. a report by the World Economic Forum, But why this over that? A report by HolonIQ states that the upskilling and reskilling market has witnessed a surge in investment, with total funding reaching USD $87bn+ of Global EdTech funding predicted through 2030. $32bn last decade. The report also highlights that upskilling and reskilling programs are the most sought-after offerings by corporates, with 64% of them citing this as a priority. Furthermore, suggests that the upskilling and reskilling of employees can significantly impact a company’s bottom line. The report highlights that companies that invest in upskilling and reskilling can see a 6-9% increase in profit margins. a report by McKinsey Global Institute Looking closely, there are only two facts to marry: There are over 100 million individuals set to enter the workforce in India over the next 5 years. The wider higher-ed environment is not equipped to churn out quality candidates That is the gap. HolonIQ identified a similar gap in 2019 on a global level. The upskilling and reskilling business model is attractive due to its (1) high-profit margins, (2) shorter course durations, and (3) less vulnerability to external factors. Upskilling and reskilling are able to extract a higher revenue per user (RPU) than K-12 & Higher-Ed players as they charge corporate clients, and the courses they offer are typically shorter in duration. The upskilling and reskilling business model typically operates in the B2B space, catering to the needs of corporate clients. EdTech companies provide short-term, high-quality courses designed to upskill and reskill employees in various domains such as data science, cloud computing, and digital marketing. These courses provide specific and valuable skill sets that the job market demands, and consequently tend to be priced far higher than K-12 or higher education course. This leads to a higher revenue per user (RPU) and a shorter customer acquisition cost (CAC), resulting in a higher lifetime value (LTV) per customer. These companies typically have a diversified client base across various industries, which reduces the risk of revenue loss in case of any economic downturn or regulatory scrutiny. Overall, the upskilling and reskilling business model is attractive due to its (1) high-profit margins, (2) shorter course durations, and (3) less vulnerability to external factors. In Conclusion According to the , the decline in EdTech activity is part of a broader trend of a slowdown in the Indian startup ecosystem and not an isolated event due to changes in the EdTech market. The report highlights that the total value of investments in Indian startups declined by 26% in 2022 compared to the previous year. EY PE/VC Trend Book The report also states that investors are becoming more cautious and are focusing on companies with strong fundamentals, which could be a reason for the decline in EdTech activity. According to the , the decline in EdTech activity is part of a broader trend of a slowdown in the Indian startup ecosystem, and not an isolated event due to changes in the EdTech market. EY PE/VC Trend Book The EdTech industry in India continues to present a multitude of investment opportunities that were originally recognised at the start of 2020, with each sub-sector presenting unique prospects. While the K-12 and higher education segments have witnessed significant growth in recent years, investing in the upskilling and reskilling segment can be a better option due to the untapped market, diversification of client base, and higher profitability. As the demand for upskilling and reskilling programs continues to rise, investing in EdTech companies that provide these services can yield significant returns. However, as with any investment, it is essential to conduct thorough due diligence and invest in companies with strong fundamentals and growth prospects. (Originally published on - Siddhant’s thoughts on data, defi, design, and digital) Draftt

The Future of EdTech Funding in India

Launching a B2B department is a turning point for many B2C tech companies. However, such an expansion brings many strategic misperceptions and challenges. The first and foremost rule to succeed is to , even if you aren’t introducing a new product. treat the creation of a B2B department like a startup The difference between B2B and B2C approaches is quite evident regarding sales. In terms of strategy, many companies that launch a B2B department after years of successful B2C performance still fall into the trap of extrapolating the previous experience. And this may become the biggest obstacle to a good start. I will share the five tips for a successful B2B launch and fallacies to avoid at each stage. I defined these principles during the B2B department launch at Headway, a Ukrainian EdTech startup, in March 2022. Owing to this startup-inspired strategy, we managed to boost revenue growth x7 despite the low summer season and the war. The B2B launch needs unique answers to , and . These may dramatically influence the existing product, its positioning, and the overall roadmap of the market entry. You may assume that you’ve refined your product and dive deep into all the past findings to lay the foundation for future B2B growth. 1. Ideating: inspect your product first, don’t skip the problem/solution stage what, why, to whom how What you should do, however, is ignore almost all the B2C learnings. This first stage is an essential prerequisite to market research. To find the right product-market fit, the primary subject of your investigation should not be the market but your product through the eyes of the audience. We talked with 100+ companies from different markets and niches. During personal interviews, we had two primary focuses: what problems potential customers were having and what modification of the product would make the biggest positive impact in that field. In two months, we developed a dashboard with the ICPs and product features clients needed, which helped us identify crucial pre-launch changes, prioritize the next steps of product development, and create a proper basis for further market research. What we did: 2. Concepting: prioritize areas for market research by snooping on your competitors Market research is an obvious prerequisite to entering a new niche and tailoring value propositions. However, how to approach the research and deal with the findings are the critical steps where many fail. Challenges arise when you create the framework for the research. Consider that you compete with businesses from many other niches except your own, your core geographies vary from the B2C scene, and the B2B performance is not limited to product sales, as you may also rely on partnerships for revenue. The research approach is critical because your final users and stakeholders have different pain points. Also, product positioning may differ but not contrast with the one you have for B2C. We keep abreast of Crunchbase and Dealroom to check updates from our business environment, reconsider value propositions and formulate hypotheses for subsequent outbound campaign testing. Some of their cases may help you skip your own long-running tests. Having a broad picture is critical: we keep abreast not only of education apps but all products that boost employee wellbeing and growth, from sports to time management and awareness. What we do: The landscape for investigations may seem limitless. But don’t let your strive to stand out from competitors keep you away from the valuable insights they already have. 3. Commitment: don’t mess with people and processes In many cases, B2B brings the need to switch to a sales-led or hybrid approach to growth in contrast to product-based, which is typical for B2C software. Thus, the B2B performance largely depends on the right team and accurately chosen key roles. For two reasons, many businesses need to pay more attention to processes at this stage: roles can get blurred due to a lack of human resources, and the final agenda may dramatically differ from what it is expected to be afterward. Workflow clarity is crucial during the B2B launch, as the share of outbound leads is predominant, and the closing deal period usually spans three to four months. From the onset, we clarified responsibilities, synchronizing roles with core sales funnel stages. Our key processes include: market and ICP updates, database management and contact validation, outbound sequences and funnel distribution development, marketing activities to increase the inbound leads to share, hot leads processing, and customer success management. Proper task decomposition, alignment, and automation helped our small team of six members close deals for five clients each month, send up to 800 e-mails per sequence, and maintain consistent communication. What we did: A solution that worked for Headway's sales team was adding a Sales Development Representative to search and qualify leads, make the first touch, and then pass the baton to a Sales Manager. 4. Validation: identify common denominators for your core goals Validation is the MVP-testing stage for most startups, and To maximize benefits from dozens of simultaneous tests running during launch, create separate dashboards for each business stage and link to a common denominator of the strategic goal. Those early tests may provide you with growth options for years ahead. even if your product has been up and running for years, you shouldn’t frame yourself. It's all about balancing product modification with its marketing strategy and coordinating those efforts. For Headway, we gathered insights on how to market the current version of the app and what updates to implement into the software, eventually expanding the product's marketing potential on the B2B scene. For example, after one month of consistent work, we realized that depending on the size of the company we are targeting, our buying persona is not only a learning and development specialist but also a CEO/COO in smaller businesses. Then we expanded our focus to heads of departments. Our idea is that even a small team using the product may eventually result in further expansion at the company level. What we did: This modified approach increased our open rate from 65% to 87% and the reply rate from 12% to 35%, which eventually resulted in +600% revenue growth. 5. Scaling: know your focus, but be omni There are countless scaling options to test, and all vary in one way or another. But focus is crucial to avoid wrong conclusions when your sample is relatively small.  We concentrated our initial efforts on content marketing and expanding the variety of communication channels. Due to the longer sales cycle and specifics of fact-based decision-making, longer-form content and business use cases take center stage. This issue may be an obstacle when resources are limited, so an omnichannel approach is useful. In B2B sales, the performance of various channels is less predictable, so you need to test all the platforms and processes consistently. What we did: As an EdTech startup, we identified the gap in understanding the benefits of corporate learning and started creating content to educate potential customers on the topic. We filled our blog with practical advice on team management: building a solid corporate culture, boosting employee productivity, and negotiating skills. Those articles were also an important component of our performance marketing campaigns, affiliate publications, and SMM strategy because they all add to the core goal of cultivating interest in the product by providing customers with practical value. Additionally, we expanded our use scope by integrating into major learning and management systems. Omnichannel content strategy creates a seamless experience for clients, strengthening each channel and breaking the content-creation limits. Approach your B2B department launch like a new startup to accelerate your progress. Using most of your B2C experience as a base may only lead you to the wrong hypotheses that will ultimately fail. Research and testing will consume most of your resources at the initial stages. You will need to find product-market fit, develop ICP, investigate the new niche, define core processes, sales funnel stages, and roles, and start from scratch with marketing and brand development. For a quick start, both flexibility and focus are crucial. Make a lot of tests, align short-term goals with long-term, and be bold and quick when switching from non-working tools to those that maximize your revenue.

Approach Your B2B Sales Launch Like Another Startup: 5 Tips to Accelerate Growth

Ishan Pandey: Hi Piers. Welcome to our series “Behind the Startup.” Please tell us about your background and the inspiration behind ? Radix Piers Ridyard: My journey to becoming CEO of RDX Works, the core software company building the Radix protocol today, has been diverse. My academic career spans aerospace engineering, business and Chinese, through to chartered finance and legal qualifications. Professionally, I worked in investment banking and law, then founded my own electronics manufacturing company. I draw upon this spectrum of experiences in my role as CEO every single day. My journey into crypto started when a friend encouraged me to mine the genesis block of Ethereum. That led me down the path of founding a decentralized deal-room startup for the insurance industry, taking that through YCombinator, and ultimately acquired by RDX Works. : Vested Interest Disclosure The author is an independent contributor publishing via our . Be it through direct compensation, media partnerships, or networking. The author has a vested interest in the company/ies mentioned in this story. HackerNoon has reviewed the story for quality, but the claims hereon belong to the author. #DYOR brand-as-author program So, what’s the inspiration behind Radix? It’s not uncommon in crypto to hear about people’s “lightbulb moment”, which is when someone first truly understands the far-reaching implications of Bitcoin and blockchain on finance and the internet. Our founder, Dan Hughes, had his revelation in 2012. It hit so hard that he pivoted from playing a key role in building the UK’s critical telecommunications infrastructure and NFC card payment standards to focusing full time on what it would take to make the Bitcoin vision a reality. And that is the Radix origin story. Unwavering 10-year pursuit of what it would take to decentralize the entire global financial system. The journey hasn’t been easy. Our no-compromise approach has meant multiple rounds of throwing away sometimes years of work as we realized a certain path wasn’t up to the task. The project almost died not once but twice. But we persevered. That’s what real R&D looks like. And now we’re confident - nay, absolutely sure - that we have the full stack of technologies in place to propel DeFi through its upcoming hypergrowth stage of adoption. We’re now in total execution mode with all hands-on deck building our “Babylon” release for Q1 2023, which brings an entirely novel approach to tokens and smart contracts that we think will be a game-changer for the industry. Ishan Pandey: What are the major challenges for Web3 adoption currently and how does Radix address scalability issues face by blockchain applications Piers Ridyard: If your vision is to decentralize the $400 trillion of global finance, you’ve got to take a very methodical approach to product development. Over the course of the last three years, we have spoken to almost 1,000 Web3 developers, around 5% of the global total. This taught us that contrary to popular belief. The biggest challenge developers are facing is not scalability. It’s the developer experience and it truly sucks. Why? It’s probably best explained through analogy. Building a DeFi or Web3 smart contract today is kind of like building a spreadsheet. To create a token, you build a table that records who has what balances. To add functionality and logic, you build rules that say when those balances can change. Ethereum and nearly all other smart contract platforms look like thousands of these spreadsheets sending messages to one another - updating their balances as they go. While this model is incredibly flexible, it also means that every developer is building what amounts to their own custom spreadsheet from scratch - entirely responsible for ensuring that every piece of logic and all the tokens within are secure. If you stop to think about it, this is madness. The slightest mistake can result in millions of dollars lost. This is why we‘ve seen over $3 billion (yes, that’s with a B) lost to hacks in DeFi over the last two years. And this is why when we surveyed those 1,000 developers, they said they spend up to 90% of their time on securing their code, and only 10% actually build anything useful. DeFi today is a cottage industry with every developer improvising their own logic of assets and tokens in their own custom smart contracts. DeFi needs its industrial revolution, and that means it needs an engine. That’s precisely what we’ve built—the world’s first programmable DeFi Engine, Radix Engine. Instead of developers coding up the logic of tokens and assets - from nothing - inside their smart contracts, on Radix, the engine does it for you. The engine gives developers the full suite of tools to guarantee secure custody and sending of assets. Just as game engines took the burden of physics and graphics away from game developers, Radix Engine does the equivalent for DeFi. Developers can now focus almost entirely on features and functionality, freeing up 90% of the time they currently squander. From a user perspective, this should finally put an end to so many of the hacks that have plagued the industry. If you’re curious to learn how we’ve got an entire content series called Rekt Retweet that goes into depth on how various DeFi hacks would have been stopped if the dApp was on Radix. On the scalability front, we know it’s important. It’s what we spent most of 2013 to 2020 researching; culminating in our groundbreaking Cerberus consensus algorithm, which does away with the notion of a blockchain, and allows Radix to scale like no other network. But there’s no point in having a scalable network before you have a useful one, which is why we’re so focused on delivering Babylon right now. If you are curious and want to dive into the detail of how Cerberus works, you can check out our Whitepaper or Infographic Series. Ishan Pandey: What is asset-oriented programming and how does it solve the problem faced by Defi? Piers Ridyard: Before asset-oriented programming, as explained above, tokens were just lists of accounts and balances created from scratch by developers inside their smart contracts. Programming languages like Solidity do not know what a token is. They have no features to help developers with tokens. They’re not asset-oriented. After asset-oriented programming, the language knows what a token is. Assets are a native first-class feature. If you’re developing in Scrypto, Radix’s programming language, you’ll see first-hand how easy and intuitive this makes Web3 and DeFi development. Creating a token is as easy as saying “create me a token with a supply of 1,000, divisible by 18 digits, and put the starting supply in this vault here”. The equivalent in a legacy programming language means coding all of the above yourself from the ground up. Below is a simple comparison. https://twitter.com/0xOmarA/status/1558194543253721094 On the left, we have the example code for creating a token in the Near blockchain’s implementation of Rust. With comments, it runs to 191 lines. On the right, Scrypto, with only 16 lines of code. You’re no longer building all token logic yourself, you just specify the parameters you want and Scrypto does it for you. We think this is incredibly powerful and also really exciting if you’re a developer looking to get into Web3 and DeFi. The feedback from our burgeoning developer community has been nothing short of incredible. Ishan Pandey: What is the fundamental and technical difference between Radix and Ethereum? Piers Ridyard: Let’s start with Ethereum. You can think of Ethereum as a platform, and on top of that platform sit the thousands and thousands of smart contracts (like spreadsheets) that make up DeFi today. Each has its own list of accounts and balances (tokens), and each sends and receives messages to users and one another in order to update those balances. For Radix’s Babylon mainnet, you can also think of it as a platform with smart contracts on top of it. But instead of these contracts sending messages to one another and updating their internal lists of balances, the Radix platform has an entirely new layer - you can think of it like a shuttle service - that ferries the actual “physical” assets between the contracts. The shuttle service provides guarantees that the assets can’t be lost or stolen during transit. That shuttle service is Radix Engine. Scrypto is the programming language used to build logic that interacts with it. And this is what we mean by asset-oriented programming and the world’s first programmable DeFi Engine. Then for our Xi’an mainnet (to be specified after Babylon launch), we take that single Radix platform and carve it into many small islands. We shard the network. But the beauty of Radix’s consensus algorithm Cerberus is that it allows multiple shuttles to ferry many assets to/from multiple islands simultaneously. In technical terms, this means that the Radix network will be able to scale linearly - adding more computers increases throughput and because the shuttle services can traverse islands, transactions on Radix retain an all-important property of DeFi - atomic composability. So what is atomic composability? Atomic composability is to software as compounding interest is to finance, as they say. It’s the property that ensures that each and every  step of a transaction has to succeed, or the entire transaction fails safely; allowing users to compose complex multi-application transactions with the full confidence that every step will complete or else the whole transaction rolls back and the user is protected. For example, the risk associated with an arbitrage opportunity is much higher without atomic composability. After all, you don’t want to be stuck with a token you don’t want, which is what can happen in DeFi today. But wait, as they say, there’s more. With atomic composability, any arbitrary number of dApps can be seamlessly combined to form products and services that behave as if they were a single fully integrated application. DeFi’s massive edge in capital efficiency as compared to traditional finance is borne from atomic composability. And every single other blockchain and crypto sharding solutions, at least that we’re aware of, break it. Ishan Pandey: According to you, how can cybersecurity issues related to smart contracts be minimized? Piers Ridyard: This is a great question. Ultimately the cybersecurity of smart contracts is something that will always be the responsibility of the developer and project teams. If a developer rushes to market and builds a sloppy application that could be prone to a hack, no one is stopping them from doing so. DeFi is permission-minimized. No platform can protect a project team from social engineering or other threats. However, what we can do is give builders the tools that make their developer experience far easier, safer, and more intuitive. If you can cut through complexity, you lessen the risk that something goes wrong. Some of the fundamental solutions we are giving developers include: ●	Radix’s smart contracts start life as template “Blueprints” that are then instantiated into live “Components”. This will make the process of copying and forking others’ code on-ledger, automated and safer. ●	Scrypto and Radix Engine’s native asset-oriented features abstract the complexity of tokens away from the developer, meaning there’s far less to go wrong. ●	Radix’s native form of authorization, “Badges” (like physical NFTs to prove authority), will make programming complex authentication and authorization models far more intuitive and simple than today. The problem of DeFi hacks won’t go away entirely. But you can bet we are providing the best tools to Web3 and DeFi project teams to mitigate the risk of smart contract hack, exploit and failure. Ishan Pandey: What are your views on regulating DeFi? Should DeFi startups comply with AML, KYC and Sanctions regulations? Piers Ridyard: We take the view that DeFi and traditional finance will be complementary financial systems that operate in parallel with one another. There will be a need and place for each, depending on the user, use case, and context. We think that over time, DeFi’s share of the market will eventually eclipse that of traditional finance, as its inherent advantages of financial efficiency, openness, and innovation will ultimately draw the most capital and users. But for the largest banks and pension funds to be comfortable putting significant sums into DeFi platforms, they must be certain that they are entirely compliant with the law. So how do we balance the need for trust and permission-minimization on the one hand so that DeFi can continue to be truly open and innovative against the compliance needs of most of the finance? The answer is that you provide the tools for regulated entities to be able to be fully compliant, allowing them to build their own permissioned apps and liquidity pools on top of public decentralized ledgers yet still accrue the benefits of security, programmability, and instant settlement that public ledgers bring. This is why we are building Instapass, a one-stop compliance service for users and developers of the Radix network. Entirely opt-in will allow DeFi developers to draw upon a common resource to meet their KYC and compliance needs without having to rebuild their own compliance stack from nothing. Ishan Pandey: Can you provide your views on the recent Celsius multibillion-dollar collapse and its effect on the future of the crypto market? Piers Ridyard: There is a great irony to some of the reporting on “DeFi’s” recent market turmoil, with some proclaiming that DeFi has an existential problem. The irony stems from the fact that despite seeing asset prices drop 50-90%, DeFi (for the most part) has ticked away like clockwork, without a hitch. It’s not DeFi that’s failed. Overcollateralized lending dApps such as Compound, Maker, and Aave continue to liquidate positions. DEXs such as Uniswap or SushiSwap continue to process swaps. Oracles such as Chainlink continue to publish data on the ledger. These protocols were designed to be overcollateralized and trust-minimized; automated machines do their job no matter the market conditions. Contrast this to the suite of centralized crypto institutions that were engaging in undercollateralized lending and leveraged borrowing and consequently faced contagion and cascade liquidations when faced with default. These players are not DeFi. In the future, there will, of course, be a need for centralized institutions that interface with DeFi infrastructure. Not everyone wants to have the responsibility of managing their own private key. Centralized institutions still have a massively important role to play in DeFi’s march to mainstream adoption. But if an organization faces the same risks, it should be subject to the same regulation. The regulatory perimeter needs to encompass these types of institutions just as banks are today, with the same regulatory oversight and guarantees around deposit and other consumer protections. Don’t forget to like and share the story!

Scaling Blockchain and DeFi with Piers Ridyard

Mizar raises $3 million to develop a trading suite for the crypto industry has announced the successful closure of its seed investment round, which raised $3 million towards developing next-generation smart trading solutions. Huobi Ventures, KuCoin Ventures, Gate Labs, MEXC, WOO Ventures, Spark Digital Capital, Shima Capital, Stakely VC, Evolve Capital, Kairon Labs, AU21 Capital, Tenzor Capital, NFT Tech, David Post, and Dean Thomas were among the investors in this round. Mizar Mizar is a next-generation trading platform that allows traders to find methods for safely allocating money and use a variety of trading instruments to put their assets in action. Mizar's objective is to provide powerful but simple-to-use trading tools to the general public. No previous trading experience is required to use smart trading tools. Kalin Metodiev, CFA, Co-Founder and Managing Partner at Nexo, said: Nexo is pleased to enter into a strategic partnership with Mizar to support the development of smart trading tools and strategies. We believe that the platform will allow even a novice crypto investor to trade with more confidence and explore new strategies, thereby enhancing the user experience during the continuous mass adoption of digital assets. Beginners who want to trade in other traders' techniques with a few clicks, investors who want to manage their portfolios with smart functionalities, and expert traders who want to automate their trades and be copied to make a passive income from their portfolio. The mission is to decrease the entrance barriers to crypto trading, enabling novices and specialists to enhance their skills. The Rise of VC Behemoths in Crypto Apart from leading Coinbase's $300 million Series E round in October 2018, digital investment firm Tiger Global Management stayed away from crypto at the start of 2018. The American investment firm mainly focuses on Internet, software, consumer, and financial technology industries. That has drastically altered in the previous fourteen months. Tiger Global is investing in crypto heavily. The US fund which manages $95 billion in assets has currently led or invested in no fewer than 35 crypto-funding rounds, a trend that shows no signs of slowing down. Tiger looks to be increasing its cryptocurrency investments and portfolio. Tiger executed five crypto agreements in each of the first three quarters of 2021, followed by 10 in the fourth quarter. With a little more than a month left in the first quarter of this year, the organisation has already made ten more investments. Tiger has been involved in $5.6 billion in crypto financing, according to Dealroom statistics, since it started investing in the industry in earnest early last year. The company's cash has been distributed pretty equally throughout the sector, although trading and brokerage businesses have reaped the most benefits, accounting for 30.6 percent of its crypto bets. The company's first web3 contract was signed in late 2021, and its first DeFi contract was signed in the first two months of this year. The increase in the activity of investment funds indicates that 2022 will be a deal-making year with lots of opportunities for blockchain startups. Disclaimer: The purpose of this article is to remove informational asymmetry existing today in our digital markets by performing due diligence, asking the right questions, and equipping readers with better opinions to make informed decisions. Catch all the breaking news, and Don’t forget to like the story! and . Image credits: Vighnesh Dudani Fahrul Azmi Disclaimer: The purpose of this article is to remove informational asymmetry existing today in our digital markets by performing due diligence, asking the right questions, and equipping readers with better opinions to make informed decisions. The writer holds Bitcoin, Ethereum, Cardano, Solana and Cosmos. The writer has a vested interest in the story.

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