August Funding Numbers Say More About Crowdfunding than Crypto

Yesterday, TechCrunch came out with an article knocking down crypto’s August numbers, which were up over 50% compared to those from July. They continued, noting that a bump in funding isn’t all that it seems, reasoning that it included a “huge $400 million round raised by ‘Shariah-compliant’ digital asset exchange Haggex…”

“When you look at the news, they always have a narrative. There’s been an emphasis on the struggle that crypto, as well as the rest of the tech industry, is having in finding funding, given the poor global economic climate. That’s true, of course. However, even when there’s good news, the powers that be paint it to align with the lens of their predetermined narrative,” said Richard Gardner, CEO of Modulus, a US-based developer of ultra-high-performance trading and surveillance technology that powers global equities, derivatives, and asset?exchanges; Fortune 500 firms; government agencies and laboratories; and leading research universities.

“The fact is that there was a great deal of excitement over Haggex, not unlike many quarters where a single entity reports a massive round. VC provided 91 companies in the crypto space with funding last month. And this reporting says more about the state of our funding infrastructure than it does crypto. The way technologists find and attain funding is broken. It is a relic of a time filled with near-zero interest rates,” said Gardner.

“What we’re seeing on the ground is that technologists and entrepreneurs are looking for new ways to find funding. They’re moving away from VC money to crowdfunding. Kickstarter is, perhaps, the most notable platform, but that’s a concept that works far better for consumer products than ideas and technology. The market has a vacuum, and we’re beginning to see the market respond with budding new startups --- most of which are still in stealth mode,” noted Gardner.

Last month, Modulus announced that the company was set to release new white label?crowdfunding?and?private placement platforms for non-accredited investors. That technology would allow operators to be able to launch their own investment platforms, driving grassroots investment opportunities.

“What we’re beginning to see, in the crowdfunding space, is a revolution where the industry has realized that there’s real demand for platforms that allow everyday Joes to insert themselves into any number of technological projects. The projects stretch beyond technology to finance, real estate, and intellectual property, along with a host of other industries --- all of which are yearning for better access to investment,” said Gardner.

Earlier this summer, Modulus launched a patent-pending AI conversational assistant tailored?to the?fintech industry. Last month, Modulus CEO Richard Gardner was announced as a new addition to the Board of Directors of the American Society for AI (ASFAI).

“Between AI, crypto, and all of the other technologies which are seeing growth measured by leaps and bounds rather than inches, investment dollars have never been more in demand. Unfortunately, central banks have made those dollars harder to access than any time in recent memory. That leaves a massive vacuum, which entrepreneurs will certainly take advantage of. Crowdfunding platforms are about to see a massive spark that will fundamentally change the rules of the game,” Gardner opined.

About?Modulus:

Since 1997, Modulus has provided advanced financial technology products and services to financial exchanges; brokerages;?trading?firms; hedge funds; and educational, governmental, and non-profit institutions throughout more than 100 countries. The company's products and services reach millions of users around the world. Modulus is the largest holder of fintech IP on the planet.