Fenbushi Capital: Has Invested Nearly 50 Start-ups With A Total Investment of $50 Million
Since its born, blockchain develops quickly as the Internet of value. According to statistics, there has been more than 600 investments with a total of $2.1 billion (excluding ICO) occurred in this area since 2012. At the same time, the giants of enterprise are competing for admission and many start-up companies accepted support from them, such as Japan SBI, Google, Citibank, Goldman Sachs, JP Morgan Chase.
Fenbushi Capital was established in October 2015, funded by the Wanxiang Holdings, and has created globally nearly 50 diversified portfolio after two years of layout, with a total investment of more than $50 million. The distributed portfolio covers all stages of the blockchain industry, vertical industry, region and business models, including the basic blockchain, IOT, supply chain, cross-border remittance, traceability, enterprise applications and other circuits.
Recently, according to the latest release of the blockchain industry report from CB insights, a US well-known market research firm, Fenbushi Capital ranked the top five in the most active venture capital institutions, and the only one Chinese venture capital.
Top 10 list also includes:
- Andreessen Horowitz, famous Silicon Valley venture capital, has invested Facebook, Instagram, Twitter and other giants;
- Draper Associates, owned by Silicon Valley luminaries Tim Draper;
- AME founded by Yahoo founder Yang Zhiyuan;
- DCG and Blockchain capital, both well-known investment institutions in the field of blockchain; and so on.
Investment philosophy and projects
The investment philosophy of Fenbushi Capital can be divided into three points:
First of all, pay attention to the pattern and positioning of the project and whether its prospects is wide enough or not. The project itself should give full play to the advantages of blockchain, such as decentralization, P2P transactions, privacy protection and and so on. For example, decentralized exchanges, cross-border remittance and safe multi-party calculation.
Secondly, whether the project finds the pain points of the existing model with an innovative solution. Furthermore, in the selected scene, whether the application of blockchain is able to achieve something that can not be done before, to create a new business model, or improve efficiency and reduce the cost. Supply chainfinance powered by blockchain is a good example of innovative business models.
In addition, blockchain is a very comprehensive field, requiring distributed systems, cryptography, economics, game theory, network security and other knowledge and skills, so the background of the founding team is particularly important. The founding team have to have a strong product and technical background and have a strong business development capabilities and resources which determine the final realization and landing possibilities of the project.
So far, Fenbushi Capital has been laid out on multiple directions, their typical portfolio is as follows:
So far, the companies invested by Fenbushi Capital have completed or are under the next round of financing, and their valuation has increased several times. Such as the smart contract company Symbiont obtained Ma Yun’s Hang Seng Electronics $4 million of investment, cross-border remittance applications ABRA has completed $16 million B round of financing led by Foxconn. At the same time, the domestic projects such as Bubi Chain and Yuanben are in the process of the next round of financing and nearly completed.
In order to share with the majority of investors and blockchain enthusiasts about the growth of this industry, the official account of Fenbushi Capital released some informations as the following:
- Industry information: Sharing several selected excellent information of blockchain industry weekly;
- Research Report: well-known industry analysts will weekly release industry research report, and there are hundreds of blockchain research report / white paper;
- Post-project: the introduction and the latest progress of the projects invested by Fenbushi Capital.
The Fenbushi Capital partner Shen Bo considers that the blockchain economic values are open source mentality, altruistic spirit and global vision.
“Specifically, only open source can drive the public to participate, only altruistic can inspire the wisdom of the public and only global view can maintain the spirit of innovation.”