Binance is one of the most recognizable names in the cryptocurrency industry. After all, it is the primary exchange and forefront for the entire field – a place where many newcomers begin their cryptocurrency journey.
However, what a lot of people don’t know is that aside from its popular exchange, Binance also runs many other initiatives, each aimed at furthering the cause of crypto.
One of these different paths is Binance Laboratories. Those of you familiar with the world of crypto-VCs and angel investors have surely heard of it, but if you haven’t dived into investing at an early stage, it may be over. unnoticed.
In short, Binance Labs is the venture capital arm of Binance and CryptoPotato had the chance to speak to Chase Guo – his chief investment officer. With an investment background in companies such as Blackstone Group and Morgan Stanely, he also holds a bachelor’s degree in economics from the University of Pennsylvania.
In this interview, we discuss the intricacies of Binance Labs, their investment goals, how they choose which projects to invest in (and special tips for entrepreneurs looking to incubate), Changpeng Zhao’s attitude. (CZ) in building Binance a flat organization, and much more.
The intermediary between the third party and Binance
As a venture capital arm and innovation incubator of Binance, Binance Labs identifies, invests and empowers viable blockchain entrepreneurs, startups and communities, by providing funding for industrial projects that help grow the broader blockchain ecosystem, ”Guo explains.
“Binance Labs is committed to supporting fast-executing teams that positively impact the crypto space. Since Binance Labs is a venture capital arm of Binance, we potentially consider that the companies in our portfolio are listed on the Binance stock exchange, and that some may go through Launchpad or Launchpool.
Also, many of them can work with Binance Smart Chain (BSC) to create their products. Binance Labs is a kind of “middleman” that connects the third party (portfolio companies) to the entire Binance ecosystem.
What is the current direction or crypto trend that Binance Labs is looking for projects to invest in?
“Within the crypto and blockchain industry, the market is changing and evolving very quickly. It is therefore difficult to predict which sector will be the next target or the next trend. This is why Binance Labs does not specify a sector for investments, but instead we are intensively researching blockchain projects that have the potential to facilitate mass adoption of crypto on a global scale.
We plan to invest capital in projects that match our values. We want to invest in the early stages of projects and long term HODL tokens or shares and support the projects we invest in. We also wish to contribute to these projects, adding value to them, so that they can become industry players, just as we have done with our previous portfolio companies.
Over 100 projects in over 25 countries
Please share some statistics and figures regarding recent Binance Labs investments.
“Binance Labs has incubated over 100 projects in more than 25 countries around the world since its inception in April 2018. We regularly close a number of deals, in order to uncover projects that may dominate the market in their early stages.
How does Binance Labs choose to invest? Who are the “game changers” of whether a project will receive a successful investment?
“Binance Labs is looking for top teams with disruptive ideas. For early stage projects, the team fundamentals decide how the project will play out in the future. We are looking for teams with good vision, strong execution skills and courage. For projects at a later stage, we look for solid execution in the form of operational statistics and historical growth and then how they compare to competitors in the space.
In addition to that, I would like to share a few questions that the Binance Labs team has before they make any investments. I think individual investors should ask similar questions when considering investing in projects.
- How do these projects approach user adoption?
- Will this project change the world?
- Will people like this product when it launches?
- What does the business model look like and will this business be sustainable for the next 10 years? “
Besides funding, is there any type of support or guidance Binance provides to the projects?
“We provide full support for all projects, from daily operational advice to integrations with the Binance ecosystem. We guide the companies in our portfolio through different products including NFT IGO, Binance Launchpad, Launchpool, listing, etc.
We have a regular incubation program that we run, and we are currently in the middle of Season 3 of the Incubation Program. Season 4 of the incubation program will officially launch in March 2022 and projects can apply to be part of it through an application form.
Anyone who wants to join CZ can send him a message
If I am the founder of a project, what advice can you give to make it happen and be funded by Binance Labs?
“I think fundamentals like product-to-market fit, product uptake, and a track record of entrepreneurship are important. You also need founders who have a clear vision and mission, which will allow you and the team to continue to build the product through the ups and downs.
The Binance organization: Speaking to Gin Chao (former Binance CSO) he mentioned in his 2019 interview that Binance is a flat organization, is it still like that from 2021? How is Changpeng Zhao (CZ) accessible in such a large organization?
“Yes, Binance is still a flat organization. If anyone in the organization wants to contact or speak to CZ, they can message them. Not only for CZ, but we also have easy access to conversations with senior members of the organization. “
$ 100 Free on Binance (Exclusive): Use this link to sign up and receive $ 100 Free and 10% Fee Discount on Binance Futures in the first month (terms).
PrimeXBT Special Offer: Use this link to sign up and enter the code POTATO50 to get a 50% free bonus on any deposit up to $ 1750.