TORONTO, April 08, 2020 (GLOBE NEWSWIRE) -- Despite current market conditions, it is business as usual for a new digital fund. Exponential, a global financial services company focused on digital asset investing, fundraising and trading, has made its new, actively managed Digital Asset Fund available on investment crowdfunding platform FrontFundr and private markets dealer platform DealSquare. The $100 million fund gives retail and accredited investors access to this emerging digital asset class through a venture capital-style fund. This marks one of the first times retail public investors will have access to these investments which have traditionally only been available to accredited investors. Exponential’s Digital Asset Fund invests in companies of the future that bet on the promise of emerging and distributed ledger technologies to transition the market to a new, open, and enhanced digital economy.
Canadian retail investors can now participate in the Digital Asset Fund directly, subject to applicable securities law requirements, giving them access to classes of assets that are typically only accessible to accredited investors who represent only 4% of Canadian households. Exponential aims to make the fund available to US retail investors by the second half of 2020. In Exponential’s experience, digital assets are cost-efficient and generally have lower transaction costs than traditional assets. The Digital Asset Fund will only contain digital assets that comply with securities regulations in Canada.
“At Exponential, we are on a mission to migrate the old world to the new digital economy. The vision of our fund positions our investors for market disruptions. This could not be more relevant to us today than ever before as we face global disruptions due to COVID-19. The world is racing toward an unknown future, but what we do know is that Wall Street and Bay Street will look very different. We have known this for a long time and that’s why we created the Digital Asset Fund,” stated James Wallace, co-founder and co-CEO of Exponential. “We’re building a secure and efficient venture capital-style fund that supports the future economy. Together, we’re giving retail investors and investment advisors access to the digital economy, democratizing the playing field and promoting financial inclusion.”
How Technology Shapes Investor Access to Markets
The Digital Asset Fund will be available to retail investors through FrontFundr – Canada’s leading equity crowdfunding platform and exempt market dealer. FrontFundr gives Canadian-resident retail and accredited investors the ability to review and invest in private companies on one digital platform. Accredited investors can also participate directly through Exponential, and those that wish to invest via their investment advisor or dealer can participate through DealSquare – a partnership between NEO and Silver Maple Ventures.
“Exponential’s mission to help build companies that will drive the future of our digital economy fits extremely well with raising capital online through platforms like FrontFundr and DealSquare. By working together, we are able to give the wider investor community the chance to participate in a unique opportunity, one that aligns with our mission of democratizing Canada’s private markets,” says Peter-Paul Van Hoeken, Founder and CEO of Silver Maple Ventures.
“We stand aligned with Exponential,” added Jos Schmitt, President and CEO, NEO. “In this rapidly emerging digital economy, their Digital Asset Fund allows for the smart thing and the good thing to be the same thing. We are proud to service a fund that targets exceptionally promising companies of the future who are advancing technologies that will drive our economy forward.”
To commemorate the launch of the Digital Asset Fund and educate investors on the capabilities and potential of the digital economy, Exponential hosted a live webcast on Wednesday, April 8, 12:00 pm ET. A secondary in-person launch is likely to be planned after social distancing restrictions lift.
About Exponential
Exponential consists of four teams: Ventures (seed capital), Capital (advisory and growth capital) and Markets (issuance and secondary trading), and Funds (venture and digital asset funds). Exponential also created a diversified digital asset fund that invests in several types of fractionalized assets including real estate, currencies, precious metals and venture capital. The venture portion of the fund invests in visionary founders, with a focus on exponential technology solutions, digital securities, and distributed ledger technology. Exponential believes that these technologies have the potential to alleviate human suffering, expand human potential, and enable access to a more meaningful life for everyone, everywhere. Exponential was the sole seed investor in the world’s first federally approved digital security, FIRE by tribeOS, and through that, has developed a blueprint that helps founders move from seed-stage to digital security offering rapidly and compliantly.
Connect with Exponential: Website | Twitter | Linkedin | Facebook | Medium
About Silver Maple Ventures Inc.
Silver Maple Ventures Inc. (“SMV”) is an exempt market dealer and holding company of FrontFundr Financial Services Inc. (“FrontFundr”) and DealSquare Technologies Inc. (“DealSquare”). With offices in Toronto and Vancouver, the SMV team are national leaders in the private capital markets, developing and operating two fintech platforms to provide access to private markets in Canada and simplify the transaction process. Launched in 2015, FrontFundr is Canada’s leading online private markets platform that allows all investors, accredited and non-accredited, to participate in curated private placements. It has built a community of over 15,000 users and has helped over 40 companies raise over $30 million through its platform. DealSquare, powered by NEO Connect and launched in October 2019, is Canada’s first centralized dealer platform for private placements, digitally connecting capital-raisers to investment dealers and their advisory networks.
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Follow DealSquare on social media: LinkedIn | Twitter
About NEO
NEO or the NEO Group comprises the NEO Exchange and NEO Connect, a group of established fintech companies that provide capital markets infrastructure designed for and led by the industry. Our competition, innovation and advocacy enable change, for the better. NEO Exchange is a progressive stock exchange that brings together investors and capital raisers within a fair, transparent and service-oriented environment, and NEO Connect is a technology platform that enables the distribution of financial assets not listed on a stock exchange in a way that saves costs, reduces operational risks and improves the investor experience.
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