CV VC today announced the launch of its African Blockchain Early-Stage Fund and published the inaugural African Blockchain Report, which provides a compelling structural overview of the emerging blockchain sector and rousing insights regarding its funding. It highlights that blockchain funding far outpaced all other sectors, eleven times. The findings demonstrate how nations and stakeholder capitalists are beginning to step in and embrace Africa’s self-determining participation in the fourth industrial revolution.
While it is a fact that African nations are amongst the fastest crypto adopters globally, today’s CV VC report moves past crypto. It looks at the underlying revolutionary blockchain movement, set to enable Africa to transact and interact for the well-being of its people and economies.
• Companies raised $91 million in Q1 of 2022, a staggering 1,668% YoY increase from Q1 of the previous year.
• When comparing Q1 2021 vs. Q1 2022, venture funding for African blockchain startups far outpaces the growth seen in general African venture funding – 1,668% vs. 149% – showing 11 times the level of growth on a YoY basis.
• Africa is the fastest adopting crypto continent globally, yet it has only a 0.5% share of total global blockchain venture funding, which stands at $25.2 billion
• African blockchain funding of $127 million in all of 2021 is similar in size to a single blockchain ‘mega-deal’ of which there were 59 globally
• The regulatory quagmire is clearing as 6 nations have regulated, and others are making headway
• Blockchain in Africa is unique as it is driving from the bottom up, where essential industries are propelling forward with blockchain tech; agriculture, mining, remittances, inclusion, identity, and property, to name a few
CV VCs’ public-private partnership with the Swiss State Secretariat for Economic Affairs (SECO), intends to see CV VC build the first-ever, blockchain-focused Accelerator for Africa. The goal of this Accelerator is to invest in 100 startups from the African continent over the next 4 years. To date, CV VC has invested in 12 startups where blockchain use cases go far beyond cryptocurrencies to drive Africa’s future. CV VC intends that it will continue as a leading enabler, through the launch of its African Blockchain Early Stage Fund.
Commenting, Véronique Haller, The Chargée d’affaires, Embassy of Switzerland to South Africa, said “Blockchain has the potential to be a catalyst for positive change and shape the future of our continent. With data in and around blockchain in Africa still scarce, the first Africa Blockchain Report will be an important milestone. And let’s bet that Africa will soon be home to its first blockchain Unicorn!”.
