VC10X - A Sane Introduction To The World of Blockchainš - Ash Arora, Partner, LocalGlobe
Jun 18, 2024
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Ash Arora, youngest Partner at LocalGlobe, delves into blockchain & crypto world introducing its adoption, regulatory impacts, DeFi, and diligence for startups. Discusses blockchain as a 'painkiller' for VC investments, impact of crypto volatility & frauds like FTX, and the transformative potential of decentralized finance.
Blockchain merges democratized values and profitability, aiming to revolutionize the internet landscape.
Effective regulation in blockchain demands a balance between innovation and oversight, encouraging collaboration between governments and tech innovators.
DeFi transforms finance by eliminating intermediaries, offering privacy, and disrupting traditional financial systems.
Deep dives
The Ethos of Blockchain and Web 3
Blockchain embodies the democratized ethos of Web One, while integrating the profitability of Web Two. It combines accessibility and trust in a variety of forms, from permissionless to controlled participation, aiming to make the internet profitable and democratic.
Evolution from Web 1 to Web 3
Web One marked the basic internet era before big tech. Web Two saw the rise of companies like Google and Facebook creating user-focused services. Web Three aims to disrupt walled garden models, emphasizing profitability for visionary founders while maintaining democratized accessibility to all users.
Blockchain Regulation and Impact
Regulation in blockchain is debated for balancing innovation and oversight. Effective regulation is crucial, balancing clarity with sandbox environments to nurture innovation. Blockchain's unique features challenge traditional regulatory practices, requiring proactive collaboration between governments and tech innovators.
Decentralized Finance (DeFi) Advancements
DeFi revolutionizes finance by removing intermediaries, offering privacy, and enabling user-controlled transactions. With speculative beginnings, DeFi evolves towards high-utility sectors including B2B payments, cross-border transfers, and asset tokenization. DeFi's potential lies in disrupting traditional financial systems and offering greater financial access.
Due Diligence for Blockchain Startups
In evaluating blockchain startups, a comprehensive framework delves into founders, product, business model, and market viability. Unique considerations for blockchain ventures include ethics, value systems, and governance strategies to ensure alignment with the project's goals and vision.
Ash Arora is the youngest Partner at LocalGlobe, a VC fund ranked #1 early-stage fund in EMEA and #3 globally after Sequoia and Accel.
Previously, Ash was the investment lead for $100Mn Polygon Ventures Fund I with LPs such as Softbank, Lightspeed, Tiger, etc
In this episode, we cover -
- A sane introduction to the world of blockchain & crypto
- Is Blockchain a vitamin or a pain killer?
- What's the path to widespread adoption
- Is regulation a good thing for blockchain?
- What is DeFi?
- Impact of volatility in crypto, and frauds by FTX
- Diligence process to vet blockchain startups
Links:
ā Sponsored by Podcast10x - Podcasting agency for VCs - https://podcast10x.com
LocalGlobe website - https://localglobe.vc/
Follow Ash on LinkedIn - https://www.linkedin.com/in/aashima-arora
Follow Ash on X - https://x.com/0xashesonchain
šļø Hosted by Prashant Choubey
Follow Prashant on X - https://x.com/ChoubeySahab
Follow Prashant on LinkedIn - https://www.linkedin.com/in/choubeysahab
Email - prashantchoubey3@gmail.com
Subscribe to VC10X on Youtube - ā https://youtube.com/@vc10x
VC10X is available on Spotify, Apple Podcasts & YouTube.
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