The traditional financial system is opaque and centralized. The recent collapse of the Silicon Valley Bank (SVB) and the 2008 financial crisis are stark reminders of the uncertain nature of banks today. Regulators, investors, and banks didn’t foresee it or chose to ignore telltale markers that showed things weren’t going right at SVB.
Moving away from centralized financial infrastructure, such as banks, private venture capital firms, and investors, which involve a chain of entities all charging for their services, blockchain-powered digital tokens offer a more transparent, decentralized, and secure way to raise capital. Here’s how:
Strengthened security
Blockchain and Web3 technology keep assets secure.DigiFunds is built on Web3 technology to create a more secure investment platform. This ensures a greater openness in investment through shared ownership, enhanced security measures, and decentralization. We apply blockchain technology and advanced encryption to provide greater security for your files, documents, and information, protecting investors, companies, and the wider economy.
A more efficient, decentralized structure
Because every transaction is recorded and verified, it is much harder for bad actors to manipulate or falsify records for fraud or other nefarious activities. The network verification system inherent in blockchain technology is known as proof of work (PoW). PoW enables the creation of decentralized marketplaces, allowing individuals and entities to trade directly without intermediaries. This eliminates the need for a centralized authority, such as a bank, financial institution, or government regulatory agency, which can often create barriers to entry and restrict access to financial markets.
Turbocharged transparency
Asset-backed tokens provide a unique opportunity for investors from all backgrounds, regardless of their experience with digital assets, thus democratizing investment funding. Unlike traditional capital fundraising, which comes with associated costs and funding ceilings that can disadvantage projects, DigiFunds creates a platform where people make investment decisions. If an idea gains traction and people like it, they will support it, and things will get built faster.
DigiFunds is a blockchain-based, real asset-backed digital investment platform that solves venture funding limitations with digital crowdfunding. Putting transparency first, blockchain technology empowers users, providing a more secure alternative to traditional investment opportunities. Companies of any size and from any industry can access the capital they need to be successful. While investors get access to a broad pool of the most exciting new startups.
Learn more about digital tokens and the DigiFunds platform, here.