Tag: startup

Hong Kong Science and Technology Park: Turning Tech Startups' Visions into Reality

In October 2018, Hong Kong Science and Technology Parks Corporation (HKSTP) announced a wide array of new initiatives, enhanced programs and support services aimed at strengthening and accelerating the growth of Hong Kong’s Innovation and Technology (I&T) sector and startups.

To support its key strategy of grooming promising technology startups—HKSTP operates effective startup incubation programs to turn innovative ideas into marketable products and solutions.

Blockchain.News sat down with Peter Mok, Head of Incubation and Acceleration Programmes, HKSTP to gain further insight into the Incubation initiative and the custom-made programs, that have been designed to support technology startups, and specifically how they could be utilized by blockchain startups.

First “STEP”

HKSTP currently has three stages of support programs for technology startups. Mok said, “The goal is to support startups beginning from their conception stage all the way to their IPO. It is not necessary for the participants to even have a minimum viable product (MVP) during the application stage; we will start our support from the idea. At each of the three stages of incubation, a financial subsidy is included for the startup.”

The first stage is a year-long program aptly named Science and Technology Entrepreneur Programme (STEP). Mok explained, “STEP is ultimately an idea generation which helps potential startups or even a single founder validate their business plan and theoretically confront the issues that could potentially arise in the market through assimilation training. The participants will also be advised on the government assistance schemes for which they may be eligible. Once this stage is complete, not only will the startup teams know if their idea is viable, but they will also learn what is required of them to do business in this sector. Those that qualify for incubation will enjoy a full range of tailor-made support services and facilities that will help drive their business to the next level of development.”

Core incubation

Once the STEP program is completed, the participants can move to one of the three core incubation programs. Mok said, “The core programs focus more on the MVP—prototyping, commercialization, R&D and the initial market offering.” To qualify for the programs, applicants must be a Hong Kong-registered technology startup company limited by shares and established within no more than 2 years on or before the date of the application. Mok expounded, “The admissions criteria are quite broad, but we really evaluate our applicants based on four major but basic elements – the team combination; the business plan; the level of innovation and of course whether we believe the endeavor has a chance for success.”

Incu-App – a 2-year program aimed at companies and startups focused on electronics, green technology, ICT technology, and material and precision engineering;
Incu-Tech – a 3-year program aimed at technology startups, working in deep tech research, during their inception stages; and
Incu-Bio – a 4-year program aimed at supporting the growth and development of biomedical tech start-ups in Hong Kong.

Three incubation programmes offered in HKSTP. Photo:Wheelock Gallery of HKSTP, Admiralty

Mok highlighted HKSTP’s understanding of the hard work and determination it takes to create the perfect product, application or device especially for those that plan to innovate and change the world we live in. He reiterated, “We aim to provide support every step of the way to help technology startups turn their vision into reality.”

When technology startups are ready to take on the world stage, HKSTP offers the Leading Enterprises Acceleration Programme (LEAP) catering to their needs for global business expansion. The LEAP is designed for startups with viable market products and scalable business model. Mok said, “Upon admission, LEAP acceleratees will enjoy a wide range of world-class support and subsidies, including the support to expand their business into the Greater Bay Area (GBA) market, a cluster of 11 cities with a combined population of 65 million and GDP of USD $1.36 trillion (compared to USD $0.76 trillion for San Francisco Bay). In addition, startups can access funding up to HK$ 4.7 million for subsidies and support from fundraising, business development, and professional services.”

Smart Region for a Smart City

The government of HKSAR published the Smart City Blueprint in December 2017, mapping out a development plan designed to embrace innovation and technology, enhance the effectiveness of city management and improve people’s quality of life.

In response, Hong Kong Science Park, a designated smart region living lab in the blueprint, create the ideal testbed for pushing forward the Smart City vision, leveraging the city’s attributes of dense population, efficiency, world-class ICT infrastructure, and high internet connectivity. Mok explained, “Hong Kong is a very highly developed city with a very dense population who are used to convenience. It’s very difficult, to deploy and test any new technological infrastructure without causing major delays and disruption for the people.”

HKSTP is often described as a ‘living laboratory’ that supports and pilots innovative solutions and fosters the adoption of new technologies. As well as providing a platform and support for innovative university research, those in the Smart Region are exposed to HKSTP’s other partners which include some of Hong Kong’s leading corporations as well as other major global entities. Mok highlighted, “We have partnered with over 63 leading corporations from Hong Kong, and globally, which allows our incubation participants and researchers under the startup scheme to meet with corporate leaders—these include organizations such as the Hong Kong Airport Authority, Cathay Pacific and TLC—fostering a collaborative platform for the technological ecosystem and the business sector as well as the sharing of ideas and the co-creation of data applications to deliver socio-economic benefits.”

The accelerating roadmap

In the future, the HKSTP will continue to strengthen its smart innovation and startup support with the introduction of various acceleration programs and corporate matching initiatives.

HKSTP connects startups to investors. Photo: Wheelock Gallery of HKSTP, Admiralty

“In the past, we were mainly focusing on helping startups in Hong Kong and linking them to corporate industry and we will continue to do so,” said Mok. “But we are also running a lot of new acceleration programs such as the IDM2 Hardware Accelerator— it is a hardware solutions program which IDM2 stands for Ideas to Design for Manufacturing and Marketing. This complements our various incubation programs as 51% of these companies come with their own hardware, so hardware acceleration is a logical next step.”

Another new initiative, the Global Acceleration Academy (GAA) aims to connect high-potential startups with world-class industry leaders and bring their innovations to the real-world marketplace. “The GAA program actually serves as a bridge for the market demands and technology at a very early stage. We go inside the corporations with access to their data. They can express their challenges and customer requirements directly to our start-ups who can create tailor-made solutions.” said Mok. “It’s actually a type of early customer engagement, we are not waiting for customers to tell us what to build, we are innovating ahead of the demand.”

The overarching goal of HKSTP is to become the technological launching pad for all of the Asia Pacific. Mok concluded, “We want the best talent from Asia. Leveraging the traditional gateway position of Hong Kong, our focus will be more on deep technology. We have a world-class research foundation for technology research, especially in the realm of biotech momentum technologies. The strides we have already made will distinguish us from most, if not all of the Asian cities, and draw in the best of best researchers globally.”

Part 2 of the interview is coming up, stay tuned!

Peter Mok image via techgoondu.com

Hong Kong with its Incredibly Unique Positioning in FinTech

In the second part of our interview with Peter Mok, Head of Incubation and Acceleration Programs at the Hong Kong Science and Technology Park (HKSTP), he went into detail on the initiatives they have developed to combat the global talent shortage, bring Hong Kong’s lagging Fintech industry up to speed and he tells us how blockchain startups can leverage the Hong Kong-Shenzhen Innovation and Technology Park.

3 Initiatives to Combat the Global Talent Shortage 

Over the last decade, industries across the world have had to contend with the digital disruption of the Fourth Industrial revolution. Big industry had just experienced the global financial crisis and were too busy trying to maintain the status quo to adopt the new technology. The exponential explosion of new innovative technologies has created an equally impressive chasm in the technologically skilled workforce which has contributed significantly to the global talent shortage. In this ever-changing and unpredictable environment, HKSTP has remained committed to growing Hong Kong’s Innovation and Technology (I&T) ecosystem and has relentlessly strived to connect I&T companies with the right talent. 

After a few years committed to driving corporate interest in the Hong Kong I&T market, the lack of talent to meet the demand became a severe issue. Mok said, “In Hong Kong, we found an acute lack of talent for areas such as ‘life science’ and ‘IoT’ which are a huge part of our Smart City development. We came up with three main areas of support for our talent—placement training, the Hong Kong Science Park Career Expo and government collaboration.”

The Hong Kong Science Park is not a school and has no set curriculum. Mok expounded, “We don’t hire directly from the market. We work closely with research universities, community colleges and post-secondary colleges such as the Vocational Training Council, to channel their most promising students into the Hong Kong Science Park. Those students will be given a summer placement in a tech-company environment whether it be fintech, blockchain, life science, etc.” He continued, “While there is no set agreement for the company to offer more than a summer internship, the students are often invited to continue working part-time and in the majority of cases will confirm their employment with the organization before they graduate.”   

The second support system in place for emerging Hong Kong talent is the annual Hong Kong Science Park Career Expo. This year, the Expo saw its largest turnout with over 13,000 visitors seeking information and new careers with Hong Kong’s growing I&T sector. Mok shared, “Over 1600 positions were offered at the Expo this year by around 150 local and international companies. The four major technology fields (Biomedical Technology, Artificial Intelligence and Machine Learning, Smart City and FinTech) were well represented. The Expo has become a very important event for not only our I&T talent but also talent seeking technology-related positions which are also in high demand.”   

HKSTP’s third area of support for I&T talent is research subsidy through two programs created in collaboration with the Hong Kong Government— the Researcher Programme and Postdoctoral Hub Programme. Mok explained, “Every company that resides in the Science Park will be able to apply for up to two researchers in the Researcher Programme and the R&D projects under the “Innovation and Technology Fund” (ITF) can engage up to 2 postdoctoral talent for Postdoctoral programme applications. The Researcher Programme supports park companies to recruit graduates with a Bachelor’s or Postgraduate degree in assisting R&D projects on a full-time basis for 3 years. For Postdoctoral Hub Programme, the park companies can hire PhDs from local or overseas universities. Visa application is often a pain point in recruiting overseas talents. This issue can now be addressed by the Technology Talent Admission Scheme (TechTAS) launched by the government. HKSTP will help the park companies submit the application to facilitate visa applications of overseas talents. He added, “There are no limitations on the nationality of the researchers and through this scheme, we can attract the best researchers both locally and globally.” 

Hong Kong’s FinTech position is “Incredibly Unique”  

Financial Technology, more commonly referred to as FinTech, looks set to reshape the financial sector in the coming years and presents Hong Kong with both challenges and opportunities. According to various reports, Hong Kong, despite its large financial sector, as of yet has only had a modest showing in the FinTech space and lags behind cities such as Shenzhen, Taipei, and Singapore.

“Hong Kong’s position is incredibly unique when compared to our rival Asian cities. The quality of our economic structure, the free flow of capital and information sets us apart. However, presenting our low-tax rate to a struggling tech startup that has not yet made any revenue is not effective motivation for them to set up their business.” Mok said, “Our STEP programme will help bridge the gap in FinTech, through the support we can offer these tech startups in our ‘Incu-App’ and ‘Incu-Tech’ programs as well as the support-systems I’ve already mentioned. For example, one of our Incu-Tech companies which has only been established for two years is already working with around ten of the largest banks in the world, so we have already had some success.” 

Hong Kong’s position as one of the top three global financial centers means that a lot of legacy financial systems are already in place. Mok believes that, eventually, this financial history and experience will allow Hong Kong to overtake its rivals in the FinTech space. “Cities like Shenzhen appear further along, and to some extent they are, but their focus has mainly been on e-payments and e-remittance because they don’t have the legacy systems in areas such as compliance to enhance, they will need to build these systems from the ground up.”

He added, “The Greater Bay Area initiative will also require us to work together and advance together technologically. Competition with the cities in the GBA happens on a daily basis, however, don’t underestimate the potential of collaboration with your partners or competitors. The GBA will allow more collaboration with our neighbors and we can learn from each other.”

Lok Ma Chau Loop: The Tech Gateway for the GBA 

The HKSTP’s infrastructure for research and development is world-class and there are plans to continue its expansion but ultimately, they are limited by the space around them. Occupying a strategic location in Hong Kong bordering Shenzhen, the Hong Kong-Shenzhen Innovation and Technology Park in the Lok Ma Chau Loop offers four times as much land area as Hong Kong Science Park, giving Hong Kong’s innovation and technology ecosystem more room to grow.

HKSTP’s infrastructure in facilitating Greater Bay Area collaboration, photo taken in Wheelock Gallery of HKSTP, Admiralty

Size matters but the location matters more to Mok. He explained, “Having a fully integrated Science Park on the Lok Ma Chau Loop is important as it allows us to share our relevant expertise and to tap the supply chain, manufacturing capabilities and talent pool across the border. This sharing of technical knowledge will be critical to the development of the Greater Bay Area.”

Peter Mok image via techgoondu.com

Blockchain and IoT: Transforming Hong Kong into a Smart City

Blockchain and IoT: Transforming Hong Kong into a Smart City

In December of 2016 the Hong Kong Government released the Smart City Blueprint with a vision to develop Hong Kong into a world-class smart city. The key aims of this transformation are to improve the connectivity, efficiency and environment of Hong Kong by leveraging advances in digital information technology and data collection.

While the phenomenal growth of Information and Communication Technologies (ICT) being deployed has provided ubiquitous connectivity and intelligent automation—transforming into a Smart City demands attention and cooperation from businesses and the public as significant resources are required to support the new infrastructure. One such technology that will prove vital in this cooperation of many actors is blockchain and specifically the way it interacts with the Internet of Things (IoT).Blockchain

Blockchain is a distributed ledger technology (DLT) which was originally created as a way to support cryptocurrencies, namely Bitcoin, but its real-world applications have spread far beyond the coin-sphere. Ultimately, what blockchain technology does is create an encrypted and decentralized ledger or data storage structure that shares information utilizing peer-to-peer networks and provides instantaneous updates to every single party involved. As the name implies, blockchain is literally a chain of digital blocks that contain records and transactions. Each block is connected to the ones before and after it. This makes it very difficult to change a single record as a hacker would need to change the block containing the record and as well as those linked to it to avoid detection. The records on a blockchain are secured through cryptography. Network participants have their own private keys that have a personal digital signature. If a record is altered, the signature will become invalid and the peer network will know immediately that something has happened. Blockchains are decentralized and distributed across peer-to-peer networks that are continually updated and kept in sync. Because they are decentralized, blockchains have no single point of failure and cannot be changed from a single computer. It would require massive amounts of computing power to access every instance (or at least a 51 percent majority) of a certain blockchain and alter them all at the same time. Internet of Things (IoT)

As the world continues to innovate and globalize, connectivity has never been easier and we are starting to see more and more things have the ability to connect to the internet. IoT , put simply, is the idea of basically connecting any device with an on and off switch to the Internet — and sometimes to each other. This includes everything from mobile phones, cars, headphones, refrigerators, and host of others. As of Aug 2018, there are 5 billion connected devices, expect to reach 29 billion by 2022(NCBI, 2018). Softbank CEO Masayoshi Son predicts 1 trillion devices for IoT in next 20 years.

As Hong Kong is being thrust into a state of unprecedented growth to achieve its Smart City vision, major challenges follow as it seeks to enhance its sustainability, population’s health, environmental impact, and safety. The Internet of Things (IoT) offers new opportunities for Hong Kong to use data to manage traffic, cut pollution, make better use of infrastructure and keep citizens safe and healthy.Blockchain and IoT

The communication between these devices with each other and the internet can be facilitated through blockchain technology— which allows for a list of interactions between the devices and the internet. A blockchain platform at the center of an advanced Smart City could keep track of not only which devices interact with each other and the internet, but also what is being done through each interaction. As blockchain was designed as a basis for applications that involve transactions and interactions, it pairs perfectly with the management of IoT data.Some of the ways in which blockchain can actually improve connectivity and IoT is through the utilization of smart contracts. These smart contracts rely on automation to speed up and streamline the contractual processes and are carried out when a specific condition is met. For example, in the construction industry, project managers could set up a system that self-executes payments to contractors and eliminate the current gaps and delays that hold construction up at various stages. In a broader sense, it could be regarding the conditions of goods, environmental conditions, or any other smart application that supports specific Internet of Things processes. The inherent security and transparency that blockchain platforms offers can not only just improve compliance in the IoT but also its interactional features and cost-efficiency as well.

Blockchain technology solves many issues when it comes to enabling peer-to-peer contractual behavior without any third party to “certify” IoT transactions. Some of the biggest issues include scalability, the threat of single-point failure, time stamping, and securing transactions. This is where blockchain technology comes into play, essentially offering a consistent solution to each of these issues.  Smart City Blockchain ImplementationIn the September edition of Smart Vision Magazine, which is published by the Smart City Consortium (SCC), Jase Leung, CEO & Founder, Blockchain Solutions Limited, highlighted the technology’s potential in his article, ‘Smart City: How blockchain shapes Hong Kong future’. Below are two examples of turnkey solutions in blockchain and IoT that his company is currently implementing in the spirit of Smart City:

 – CertAuth (Education and Human Resources)—a cross-certification platform that verifies authenticity of academic transcripts to combat forged educational and professional certifications, which are on the rise due to high demands and competition of the job-market. CertAuth aims to enhances security, reduce recruitment processes and ensure the authenticity of Hong Kong’s skilled workforce.

 – CARMOB (Transportation & Insurance)—partnering with a local taxi-leasing company, a tailor-made onboard diagnostics device records and uploads the taxi’s data to the blockchain which is then analyzed to determine the driver’s attitudes and patterns. Based on these data insights, taxi owners and insurance companies can make more informed decisions regarding the driver’s lease and insurance eligibility.

HK Institutions Dedicated to Smart Evolution

Hong Kong Science and Technology Park (HKSTP)HKSTP have set up Hong Kong’s first Smart Region, creating the ideal testbed for pushing forward the Smart City vision, leveraging the city’s attributes of dense population, efficiency, world-class ICT infrastructure and high internet connectivity. Within the Smart Region, incubation programmes are financed and supported for FinTech and Blockchain Startups. The core incubation programs are:

 – Incu-App–a 2-year program aimed at companies and startups focused on electronics, green technology, ICT technology and material and precision engineering;

 – Incu-tech—a 3-year program aimed at technology startups, working in deep tech research, during their inception stages; and

 – Incu-bio—a 4-year program aimed at supporting the growth and development of biomedical tech start-ups in Hong Kong. 

Peter Mok, Head of Incubation and Acceleration Programs, HKSTP explained, “HKSTP currently has three stages of support programs for technology startups. Mok said, “The goal is to support startups beginning from their conception stage all the way to their IPO. It is not necessary for the participants to even have a minimum viable product (MVP) during the application stage; we will start our support from the idea. At each of the three stages of incubation, a financial subsidy is included for the startup.” He continued, “The Government has funded over 250 startup projects by the six research universities and around 200 of them have received a three-year research grant, we will admit 100 of them into incubation at the Smart Region of HKSTP.”

CyberportMoving away from the focus on FinTech, Blockchain and IoT are also being leveraged to enhance Hong Kong’s global attraction and develop future world events. Cyberport has a cluster of start-ups focusing on e-sports. This sector is touted as an emerging billion-dollar industry and the start-ups in this cluster have also received government grants.

Charles Lam, Senior Manager, FinTech & Blockchain Cluster, Clusters Teams spoke on the development, “Teams from all over the world will fly in and compete. Companies such as Tencent – 51% of their revenue actually comes from the gaming industry.” 

As these games currently have not been built on blockchain, Lam explains the benefits of the technology, “Currently, if you delete the data and delete the players, then everything they have invested will be gone for good. If they decide to build the game on a blockchain platform, all the tools could be sold like a virtual asset. If the platform would run on a blockchain, then these games would truly be global.” This could create a “big ripple” in the gaming industry and Lam added, “that would truly be liberating for Hong Kong.” 

See For Yourself – Hong Kong Electronics FairFrom the 13 – 16 of October the Hong Kong Convention and Exhibition Centre will host the 39th HKTDC Hong Kong Electronics Fair (Autumn Edition) and 23rd electronicAsia events which will be held concurrently. The two fairs will gather around 4,300 exhibitors from across the globe, showcasing a wide variety of intelligent products, innovative start-up ideas, and electronic components.We recommend going along to two of the key forums—“Blockchain in Industrial IoT – The next big thing?” on 13 October, and the Hong Kong Electronic Forum to discuss advanced robotics, MicoLED trends, and applications for electronics products on 15 October.

Image via Shutterstock

BCB Blockchain Collaborates with Philippine Government to Support Local Startups

During the 3rd National Technology Business Incubator Summit, BCB Blockchain, a Singapore-based technology firm agreed to join hands with the government of the Philippines to support the development of local startups through creating smart city projects and applications making use of their funds and blockchain protocol.

Through the signing of a memorandum of agreement (MOA) with the Philippine Council for Industry, Energy, and Emerging Technology Research and Development (PCIEETRD), the firm sealed their agreement. Following this, Dr. Enrico C. Paringit, Executive Director, PCIEERD – DOST, had wished that:

“This partnership will ignite the next wave of applications and innovations for the development of sustainable and smart cities.”

The report, published on Nov. 23, noted that BCB Blockchain firm has also entered partnerships with a number of universities and startups which include: Adamson University, Holy Angel University, De La Salle University Manila,Far Eastern University, Technological Institute of the Philippines, Batangas State University, Caraga State University, Mindanao State University – Iligan Institute of Technology, Siliman University, QBO Innovation hub, Technological University of the Philippines – Visayas, and University of Southeastern Philippines,

Speaking about the partnerships, Douglas Gan, Chief Executive Officer, BCB Blockchain said;

“By providing DOST, universities and TBIs the resources and technical knowledge that BCB Blockchain has, we expect them to deepen their competencies in the area of designing and developing applications and projects for smart cities. We will guide and provide them the access to hands-on workshops, funding, materials, events and technical support.”

Image via Shutterstock

PwC Singapore's Venture Hub, on the Investment Sentiment of Blockchain Startups

November has been a busy month for FinTech and the blockchain industry in Singapore. The Singapore FinTech Festival (SFF) and the Singapore Week of Innovation and TeCHnology (SWITCH) held 11 – 15 Nov gathered over 60,000 participants from 140 countries to foster the development of FinTech in Singapore. The Monetary Authority of Singapore (MAS) also announced key initiatives such as the joint development of FinTech Research Platform connecting investors and FinTech startups.

We arranged an interview with Lim Shu Ning, Director in PwC Singapore’s Venture Hub specializing in Blockchain during the SFF, which Shu Ning shared with us the investment sentiment of Singaporean blockchain startups and the state of enterprise blockchain adoption in Singapore.

Can you give us an overview of the Blockchain team in PwC Venture Hub? What is the scope of services that the team provides? 

PwC Singapore’s Venture Hub adopts a one-stop shop approach to providing solutions, services and collaborating with motivated entrepreneurs, venture capitalists, incubators and accelerators within the venture ecosystem to help them expand into their key markets.

Our team focuses on fast-growing Tech startups including blockchain companies, using our expertise and experience to help founders grow their businesses. We work closely with the companies on areas such as fundraising, strategy, branding and M&A, IPO/ICO advisory to audit & regulatory compliance, legal & tax services and governance advisory.

What are the key pain points faced by blockchain startups in Singapore? What are some of the best advice you can give to these startups? 

Blockchain is clearly a large part of what the Singapore Government sees to be an important and innovation-filled future for Singapore’s financial sector. Despite being a potential game-changer, there are also clear emerging doubts.

One particular concern is cost and efficiency. Given that the amount of resources and money spent, some perceive that substantial progress has not yet been achieved. Of the various use cases we see in the market, a large number may be still at the ideation stage, some might be in the developmental stage but not many are widely adopted or see the widespread application.

This leads to another pain-point which is to identify the right ecosystem partners. The value of blockchain is maximized when partners in the ecosystems work together and operating on a common chain. Currently, we see different organizations in the same industry sector developing many different chains and this is detrimental to the growth of blockchain. That being said, we do see potential interoperability across different blockchain solutions which help to harness efficiency for the ecosystems.

Blockchain companies should focus on creating solutions to solve real business problems through the trust that the blockchain brings, to ensure their products are viable and scalable. Blockchain technology is not the solution to everything, the right application to the right problem statement is the key. 

Are there challenges to find the right talent for the fintech/ blockchain industry? What initiatives have been done to tackle talent shortages? 

As with any new technology, blockchain is relatively new and will continue to evolve. At the moment, we note that there is indeed a limited supply of people with developed skills in this space. On the other hand, the demand for qualified talent is increasing and costly. And this is particularly challenging here due to Singapore’s relatively small population size.

Singapore has the potential to become an Asian Blockchain Hub with its blockchain-friendly regulations and government support in nurturing blockchain development.  With the government’s support, we believe that Singapore will continue to attract and groom the right talent in the near future.

How would you describe the enterprise blockchain adoption in Singapore and what are the interesting use cases in blockchain there? 

In PwC’s Global Blockchain Survey 2018, we noted that 46% of enterprise blockchain adoption resides in the Financial Services industry, 12% in the Industrial products and manufacturing, 12% in Energy and utilities, 11% in Healthcare. Other segments include government, retail and consumer sectors. This trend is quite in line with what we observe in Singapore as well. 

Some of the interesting blockchain use cases we see include (just to name a few):

– Digital identity: Blockchain to create an auditable source of personal identity information shared and verified across multiple organizations. This also empowers users (like us) to have control over our digital identity and personal information.

– Supply Chain visibility: Blockchain eases the existing pain points of buyers, sellers and various parties across the supply chain. Some of the track & trace blockchain solutions we have seen allow traditional businesses to digitize their traditional products include food products into traceable digital assets to tackle some of the key issues in global trade including food safety and wastage.

– Record keeping: Blockchain provides a method for collectively recording and notarizing any type of data. This could include education records and certificates, healthcare records and more.

– Provenance: Blockchain offers an immutable and irreversible source of information that tracks true ownership as well as the authenticity of a product. We see more relevance for this application in the retail luxury products sector and high-value collectibles.

How would you describe the market sentiment on investing in Singaporean blockchain startups in terms of M&A deals and fundraising? 

Market sentiment into investing in Singaporean blockchain startups is picking up. Previously investment was mainly in the form of token sales which are more speculative in nature. However as the market matures, sophisticated investors, as well as corporates, entered the fray seeing the potential of adding blockchain technology to traditional business or seeing the potential blockchain technology brought to different industries. Investment is now into the equity of the startup itself rather via a token sale. 

Through our partnership with Tribe accelerator, we have seen first hand the kind of solutions that corporates are on the look-out for and that they have invested in. While most investments in startups are focused on taking a stake, we may see a growing number of M&A buyouts as these startups grow and as their solutions become more concrete.

We also note that investors are more keen to invest in blockchain startups with specific industry-focused solutions and where they are combining with other technologies such as IoT and AI; rather than blockchain developer companies.

Combating Deforestation with Blockchain in Africa: Everything You Need to Know

The Most Influential People of African Descent (MIPAD) – an African startup tried to address the deforestation crisis in Africa. Through its social impact initiative, the startup intends to assign and plant over 200 million trees across Africa by 2024. 

MIPAD’s Ambitious Plans 

MIPAD’s CEO and Founder, Kamil Olufowobi, had a conversation with CNN. He revealed that the organization is connecting local communities impacted by deforestation or pollution with global citizens who are looking forward to planting their roots in Africa. 

Under this initiative, anybody to place a request to have a tree planted, named or gifted in honor of themselves or anybody they love. 

Olufowobi said that this initiative creates an opportunity where the diaspora wins, Africa wins, and all of humanity wins. He identified that this initiative works to support the diaspora to minimize their barrier of entry to Africa. 

The program intends to drive support for the Great Green Wall (an African-led movement with great plans to grow over 8,000 km of natural habitat across entire Africa). The program also aims to promote climate action as one of the United Nations’ Sustainable Development Goals.  

Taking Care of Environment Is A Collective Responsibility 

Olufowobi mentioned that each new tree planted will be named after the person who planted it or in honor of a person they love. 

He revealed that several diasporas want to connect to Africa. Therefore, this program now brings a deeply emotional and sentimental connection to diasporas having roots in Africa and those living in the continent. 

However, Olufowobi said that Africa is a collective responsibility for all. The initiative is not restricted to African descents but is open to all humanity to support the continent and have their roots planted on African soil.   

Blockchain Use Cases 

To personalize the service, MIPAD works together with Decagon Institute to deploy artificial intelligence and data science to geo-tag and identify trees planted using blockchain technology.   

The use of blockchain is important as it enables MIPAD’s subscribers to know the exact location of their allocated trees and be in a position to see them using satellite imagery like Google Maps.   

The Ambitious Plan to Plant Trees Remotely 

Olufowobi identified that MIPAD is already working with forestry departments and city parks in all major cities in Africa to help people plant their trees remotely. He revealed that the organization functions by getting the order placed while forestry departments and city parks are the ones who do the implementation. 

He said MIPAD are the owners of the trees, and the organization acts as the voice of Africa to the diaspora, saying, “You can support Africa and you, in return, can have your root planted.” 

The organization is banking on its history of connecting Africans to encourage them to get involved in the project. 

MIPAD has recognized African descents in the diaspora from all regions of the world and, so far, has honored about 500 people in more than 60 countries. This is line with the UN’s Declaration of The International Decade for People of African Descent. 

Many African nations are also planting trees. For example, Ethiopia planted 350 million trees in a single day in July 2019. This set a new world record as Ethiopia joined over 20 other African countries in their pledge toward restoring 100 million hectares of land, based on their commitment to the African Forest Landscape Restorative Initiative. 

In December 2019, Nigeria also announced that it would plant a further 25 million trees as part of its commitment to the Great Green Wall.   

  

 Image via Shutterstock

Blockchain Could Potentially Level the Playing Field for Startups and Entrepreneurs

The world of business is growing daily, in an article published by Brad Haddin, a privacy consultant, pointed out that there are 150 million startups in the world today with 50 million new startups launching every year. This means that every day, an average of 137,000 companies have been founded by someone in the world. This number has risen since 2005, which is due to massive globalization and industrialization engaged in by different countries around the world.

Apart from startups, the emergence of entrepreneurs is also on the rise, all of this is due to the fact there is more funding available for people to leverage, and there are free courses teaching people how to be innovative and start their own businesses.

What are the advantages and disadvantages of blockchain that makes it suitable for startups?

Idealog, one of New Zealand’s popular websites for innovation and technology, introduced a program called the Blockchain Accelerator Program, which is an accelerator program that provides an enabling environment for many startups in New Zealand.

One of these first ways blockchain is helping the startup environment, is in the legal sector, as startups using blockchain technology could automate their legal agreements through smart contracts. This will remove human involvement, which usually delays the process. For example, contract agreements that are sitting in email inboxes for days without being attended to – will be eliminated.

This second factor is critical for startups, which is access to capital. Lack of capital is the reason many entities stay away from forming startups. In developing countries and the less developed parts of the world, capital is scarce, and even when it is available, the cost of getting it is very high.

By utilizing technology such as blockchain will give these individuals a level playing field by giving them access to capital anywhere in the world, because the reach blockchain technology is not restricted by geographic location.

Fundraising on a blockchain platform will save entrepreneurs the effort of moving to meet investors in person. By using blockchain self-verifying systems, financial investors and venture firms can choose a project, transfer funds to invest in it, in as little as five minutes, giving the entrepreneur time to engage in more activities, which is critical to their startup’s survival. Given the advantages of blockchain, adoption is still yet to be seen as one of the disadvantages of blockchain is the current lack of talent in the industry.

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Tim Draper Plans to Capitalize on Indian Cryptocurrency Renaissance

Tim Draper is a billionaire investor best known to the crypto community for his participation in the FBI’s 2014 Silk road auctions where he won thousands of Bitcoin.

Draper now appears to have set his sights on being a ground floor investor in India’s emerging cryptocurrency industry.

In an interview on March 21, the venture capitalist revealed that he had met with several Indian Bitcoin and crypto start up businesses on a recent visit to the nation and that he, “hopes to be able to fund a number of them.”

Supreme Court Reverses Crypto Ban

On March 4, India’s Supreme Court reversed the ban imposed by the Reserve Bank of India (RBI), the nation’s central bank, on banks and other regulated entities dealing with cryptocurrencies. Draper called the development a ‘renaissance’ for the country’s cryptocurrency sector in a tweet on March 22 and believes the current global financial crisis will help reveal the advantages of cryptocurrency.

Draper said in his interview, “The Supreme Court of India and the Indian government have shown that the best ideas ultimately prevail, and just in time, because the benefits of Bitcoin and crypto over current systems will become apparent during this crisis.”

Supreme Court Reversal Could Be Reversed

Due to the ban from the RBI, several cryptocurrency platforms that have moved their operations to other jurisdictions such as Singapore, are now planning to move back to India. Banks can also allow customers to link their bank accounts to cryptocurrency platforms, enabling trading.

However, since the crypto ban’s reversal it has been revealed that the Reserve Bank of India (RBI) has planned to report a review petition and appeal the recent Supreme Court’s cryptocurrency ruling.

The review petition from the nation’s central bank arose from concerns of the apex court’s decision that could pave the way for trading in cryptocurrencies and put the banking system at risk. 

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Buy Us Out: Majority of Chinese Blockchain Companies Don't Develop or Even Use Blockchain Technology

Blockchain companies have become a hot property in China over the years, and the rise in company registrations surged following Chinese Leader Xi Jinping announcement last October that the country must strive to become the global blockchain leader.

According to a report from China Finance, many larger businesses across China are blockchain companies in name only and in fact have little to do with the groundbreaking technology.

Chinese Blockchain Boom?

LongHash data reveals that of the 79,555 registered blockchain companies in China, only about 26,000 are operating and 57,000 have lost their license and legal status.

In the first quarter of 2020, as the Coronavirus disruption began to shut down factories, offices and cities in China, a further 2,383 brand-new blockchain companies emerged.

As the number of registrations soared following Xi Jinping’s announcement, Wu Zhen, Head of the Key Laboratory of Internet Financial Security Technology of the National Internet Emergency Center was interviewed about the growing statistics stating: “There are more than 32,000 blockchains […] However, we found that there are actually not many companies that have blockchain technology or chain ownership […] About 10%, or even less than 10%.”

It appears that many of the smaller Chinese registered “blockchain” companies and startups have been found to be shell corporations trying to capitalize on the buzz with the ultimate aim of many of these “blockchain” companies to be bought out or absorbed by a larger technology firm.

Xi Jinping Keeps Pushing Blockchain

During a recent inspection in Zhejiang, Chinese President Xi Jinping emphasized the necessity for the various decisions and arrangements of the government to plan for prevention and control of the Covid-19 outbreak and economic and social development work.

The coronavirus pandemic which was believed to have originated in Wuhan, in the Hubei province in December 2019. The spread of the virus has led to the lockdown of many cities, especially in the province of Hubei. Production has slowed down as many Chinese citizens have not been able to go to work.

The Chinese Leader also visited the city of Hangzhou to review demonstrations of digital governance and digital epidemic prevention. To be able to advance in the modernization of the national governance system and governance capacity, the Chinese Leader emphasized the requirement for deploying blockchain, artificial intelligence, cloud computing, and other disruptive technologies to promote innovation and smart cities.

He pointed out the importance of the implementation for epidemic prevention and control as well as the resumption of production work to strive for the year’s economic and social development goals.

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Purse.io Not Closed Just Yet, Will Bitcoin Jesus be the Bitcoin Startup's Saviour?

Purse.io may be getting a thrown a life line following their shock announcement last week that they would close their doors after six years of trying to bring serious utility to Bitcoin in retail services.

Eduardo Gomez, Support Manager for Purse.io took to Twitter to share the news that the loyal Purse userbase had been desperately hoping to hear. He wrote, “We are in serious talks to get acquired. Meaning that we will most likely live through this.”

This announcement of a possible acquisition was later confirmed in an official company post on April 23 which read, “ Several parties – including well known bitcoin advocates, high volume users, and established cryptocurrency companies – reached out with interest in acquiring purse.io.”

Mention of the well known Bitcoin advocate has led to speculation that Roger Ver, one of the projects original investors, may be getting involved. In a video posted on YouTube on 19 April, Ver said “Purse is too important for the ecosystem to let disappear. I don’t think it’s going to go anywhere.” Ver also mentioned he has been talking to Purse but so far there has been no concrete confirmation of the Bitcoin Cash king’s involvement.

Purse.io’s bitcoin service launched in 2014 and was slated to usher in mass adoption as it interacted with retail giant Amazon, matching gift card users with bitcoin and bitcoin cash investors. The Purse community has been in a state of shock since the intial announcment to close and it seems they are unwilling to go down without a fight.

Earning Digital Gold

Bringing Bitcoin to everyday consumers may now be more appealing than ever with the release of a new report from international news agency Bloomberg indicating that the COVID pandemic’s shake-out of the stock market may be accelerating Bitcoin’s maturation into a new kind of digital gold. 

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