Today I am joined by John Ng – Managing Partner of Signum capital, a Singapore based investment fund focused exclusively in the blockchain space. We began our discussion on the value and specific use cases of blockchain technology, how it disrupts the traditional financial world; then moving onto investment considerations such as the decision to invest in token or equity, how Signum performs its due diligence process; and lastly looking into key future developments including the expected price movement following Bitcoin’s halving in May 2020.

Key Takeaways

2020 will be the year of consolidation; companies that haven’t made enough progress on its product and have burnt through their runway will die. Companies that have survived the last 3 -4 years will really take on shape and form in 2020.

Equity is the primary form of fundraising among blockchain companies nowadays; and there are two types of companies fundraising in the market – 1) companies which have achieved their growth targets and need more cash to obtain faster growth 2) companies which ran out of money and the only thing that is left to sell is its equity.

In anticipation of bitcoin halving in May 2020, price correction is believed to happen, with prices of Bitcoin surging up later in the stage. But this halving would not be the same as the past few times.

Signum Capital’s portfolio companies highlighted in the interview include Konkrete (https://www.konkrete.io/) and Lightnet (https://lightnet.io/)



Tweetables

“2020 will be the year when we see companies that have survived again, for the last three years, four years, that they really take on shape and form and to produce really strong results” @john_ng_p

“There'll be a correction…overall, I do see prices of Bitcoin surging up later in the stage” @john_ng_p

“So many unicorns have died last year. I think we should find another animal” @john_ng_p

Episode links

Signum Capital: https://www.signum.capital/

Koncrete: https://www.konkrete.io/

Lightnet: https://lightnet.io/

Lightnet launch: https://www.straitstimes.com/business/banking/uobs-private-equity-arm-co-leads-42m-investment-in-thai-fintech