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Bitcoin and the bubble assumption …
Bloomberg: Did Bitcoin Just Burst? How It Compares to History’s Big Bubbles http://ow.ly/xRx730hPFIF “Policymakers can not allow speculation on credit in Bitcoin markets …”
NY Times: Beyond the Bitcoin Bubble “Yes, it’s driven by greed — but the mania for cryptocurrency could wind up building something much more important than wealth.” https://buff.ly/2rbHXO4
Putting the World’s Money into Perspective – Bitcoin vs Gold vs Money Supply vs … — Steemit http://ow.ly/4JTJ30hQPfG
Why a Bitcoin future will always end up in centralization https://thenextweb.com/syndication/2018/01/21/bitcoin-future-will-always-end-centralization/ The only ones who would have the money and computing power to keep the current bitcoin system running in the long term are financial institutions. Therefore the author argues they will end up centralizing bitcoin.
Venture Capital in Germany in 2017
Delivery Hero saved the day for German VC investing. Only due to its 998 mn Euro venture capital investments can German startups bolster an 88% growth in total investments up to 4.3 bn Euros writes Handelsblatt in German http://ow.ly/DOjQ30hMojd
Germany’s largest startup investments 2017 collected by deutsche-startups.de
* Delivery Hero (387 mn Euro)
* Auto1 (360 mn Euro)
* SoundCloud (170 mn Dollar)
* Lampenwelt (120 mn Euro)
* Kreditech (110 Millionen Euro)
find more here: http://ow.ly/r04930hDXKW
German fintech startups raised 716 mn Euros in 2017 reports FINANCE https://buff.ly/2EssWcI
The folks from Finanzchef24 did pull out their calculator and found 74 mn venture capital invested in insurtech startups in 2017 in Germany, down from 82,4 mn in 2016 http://ow.ly/kGvr30i5pAT we are not sure if this is a good sign (bad ideas get no more funding) or a bad sign since the total went down. We will see.
and a warning:
German startups drying up without risk-ready investors who are willing to invest in startups writes Handelsblatt Global http://ow.ly/oXeU30hDW6s
Top cities for entrepreneurs? Everybody talking about Frankfurt titles deutsche-startups.de. The city shows a German record of 57 business formations per 10.000 people, Duesseldorf No2 (50,6), No 3 Hamburg (47,6), No 5 Berlin (44,9) http://ow.ly/E5uT30i5qOp #frmstartupscene
Soccer rules … also in Rhine-Main … at least it should
The DFB’s new academy project: The ‘Silicon Valley’ of football in Frankfurt| Sports | DW | 08.12.2017 https://buff.ly/2AGnNLA DFB is Deutscher Fussball Bund. It is the German Football Association (yes, for our American listeners, the real football :-)). They are building a great academy here in lovely Frankfurt.
Worlds first investment readiness program for sports startups launched in Frankfurt: Application deadline April 1st – A cooperation between Bundesliga football team Eintracht Frankfurt and TechQuartier – MMI SportsTech https://buff.ly/2E8gI9l
The Rhein-Main based healthcare company Boehringer Ingelheim Doubles its Venture Fund for Exciting Biotech http://ow.ly/n8ko30hDWTk
Fincite is a little bit of a different roboadvisor writes Gruenderszene. They offer a white label software for banks and have grown without external investments and large PR, but still making it to No 26 in the Gruenderszene growth ranking with 214% #fintech http://ow.ly/KoVF30hMozN
Hessenschau, the regional news from the local state-broadcaster, has a small video and blog article about why Offenbach, the little neighbor is so attractive for startups. So, it is not only Frankfurt developing a gravitational pull for startups. Learn more here (article in German) http://ow.ly/ALFz30hMo2p
Not only fintech, but also Cybersecurity is big in Rhine-Main
Frankfurt-based Cybersecurity startup Link11 hires former Telekom manager as COO. Link11 offers a cloud-based DDoS protection, primarily in the German-speaking markets writes Rhein Main Startups http://ow.ly/txEM30hGWLd
Frankfurt-based startup Acellere raises more than 2 mn € Venture Capital. Congratulations! Their tool Gamma can spot errors in critical IT infrastructure writes Gruenderszene http://ow.ly/JirG30hWPbZ
Frankfurt’s business tax revenues show that cloud computing and colocation data centers are amongst the strongest growing businesses and taxpayers in the city reports FAZ https://buff.ly/2EbYIvy
German fintech wunderkind Naga buys shares in Frankfurt based easyfolio writes deutsche-startups.de. Naga will own 25% with an option of up to 49%, buying shares from current owner, Frankfurt-based bank Hauck & Aufhäuser https://buff.ly/2ncVC2X
Onto important people from our little corner of the world – no, not us!
Congratulations to Max Laarman – Co-Founder of Emma.
Max has just been awarded as one of the Forbes 30 (under 30 ) for the retail and e-commerce category in Europe! Check out the link to see how one of our top Frankfurt founders and other successful young entrepreneurs in Europe are reinventing the way we shop, on and off! https://rhein-main-startups.com/2018/01/23/forbes-30-under-30-retail-ecommerce/
3 new partners join #Hamburg based startup incubator Hanseventures writes Gruenderszene. Hanseventures is already a shareholder in startups like proptech Hausgold or designer platform Rebell http://ow.ly/jW8B30hWQaU
Did you know that KodakCoin is not backed by the listed company Kodak, but rather by a small Berlin-based startup called Ryde? Ryde earns money by charging websites using wrongfully pictures of their clients http://ow.ly/Adqh30i6JvK
Logistics and mobility will be the big topic of our news for January!
FAZ reports exclusively BMW and Mercedes/Daimler considering merging their car sharing companies Car2go and drivenow http://ow.ly/PJ5h30hXXAe
Lufthansa’s freight arm Lufthansa CARGO invests in Oregon based startup TryFleet writes NGIN mobility. The cargo arm leads a venture capital round of 10 mn Euros. The founder is 21 years old, a former Thiel Fellow, who got a scholarship for starting his business idea http://ow.ly/DKGF30hYquq
Berlin-based Blacklane raises approx. 40 mn US$ venture capital writes TechCrunch “according to sources, to move into concierge services and expand its services globally” http://ow.ly/fpMw30hYqMF Blacklane is a high-end competitor of Uber, think black Mercedes. Blacklane’s service is available in more than 50 countries, 250 cities, and at over 500 airports worldwide.
VW to build autonomous cars with Silicon Valley startup Aurora, aiming for 2021 https://buff.ly/2AFN0WH
“Founded by former autonomous driving chiefs from Google, Tesla, and Uber, Aurora makes technology that has already been tested in SUVs from VW subsidiary Audi with “good results,” German business daily Handelsblatt reported.”
Munich based online shop windeln.de is focused on babies and all you need for them. They are listed, but not profitable (up to 26 mn loss) – Now they start a program to increase efficiency and profit writes Gründerszene https://buff.ly/2nM6GDZ
Otto – the former catalog company – is getting more and more digital. Now they want to invest 85 mn venture capital in startups in their own company builder including startups in logistics e-commerce and fintech writes Gründerszene http://ow.ly/i8Jf30ietwE
Consumer Electronics Show 2018: Byton (a startup from China, founded by former BMW managers) challenges Tesla, BMW and others writes manager magazin https://buff.ly/2m6DGpH Their car will have a touchscreen in the center and should be as easy to use as other smart devices they claim.
IPOs appear to be in the pipeline for Rocket startups:
The online furniture store Home24 will be “rushed” to an IPO in summer writes deutsche-startups.de. Rocket Internet owns 43% of the company, which is currently trimmed for profitability (first 9 months 2017: 195 mn Euro revenue, 20 mn loss) https://buff.ly/2n1WMNQ – This is the first Rocket IPO candidate
Speculations of a potential IPO of Marley Spoon (in the US know as Dinnerly) are abound after Deutsche Startups writes about it. The blog also calculates that their revenue must have passed 40 mn € in total. The company only confirms 10 million meals delivered with no further details concerning revenue or profit http://ow.ly/p2yG30hO0Sh – This is the second Rocket IPO candidate
Munich based geodata startup Cloudeo has big plans writes Gruenderszene. They just raised 5 mn Euros Venture Capital in pre-IPO. Later this year the plan to IPO in the first half of 2018 at Toronto Stock Exchange and an ICO as well https://buff.ly/2DC9kUj
Food is also a big topic
Germans bought 200 mn Euro worth of groceries at Amazon in 2017 writes Amazon-Watchblog.de https://buff.ly/2DAu3Lz So it is already a large market, but it is only a sliver of the overall grocery market in Germany, still dominated by discounters (Aldi, Lidl) or premium stores (REWE, EDEKA think Whole Foods). Manager Magazin has an extensive article here as well http://ow.ly/JTjp30hYAjS concerning the coming shift to ordering groceries online. Amazon is pushing ahead, the German players are already dampening their delivery service efforts. They should do otherwise argues the author, they now still have the money to get in a good position as well and learned a lot from their most recent experiments.
German tech blog t3n is a sharp observer: Amazon Go needs more employees (4 for fresh food, 2 to refill shelves, 1 at checkout = 7 total) per shift than 7eleven (3 per shift). Don’t forget there is a much larger back office for Go as well https://buff.ly/2DDIDNZ
Interims financing bust, now fromAtoB files for insolvency writes deutsche-startups.de the Aachen based startup wanted to calculate the best way to travel between two places including flights, train, ride sharing and long distance buses https://buff.ly/2Dzb179
Berlin-based Fanmiles raises venture capital in a down round (meaning the valuation they got was this time lower than at the VC round before). The valuation was plummeting from 30 mn € to 4 mn € writes Gründerszene http://ow.ly/reEm30hVsLi Fanmiles is also known for receiving investment from famous german football players (Philipp Lahm…)
Kreditech, with an assumed valuation of 300+ mn Euros, Germany’s most valuable fintech is not doing well reports Gruenderszene. According to press reports they collected the startup generated losses of 114 mn Euros in just 24 months. Also the CFO is about to leave. Gruenderszene writes that the revenue growth is pretty small compared to the invested sums they deduce from the losses http://ow.ly/970V30hQT6g We will keep an eye on the fintech for you guys
UK-based Private Equity fund Capital D invests in Berlin-based e-commerce specialist Invincible Brands an “eight-digit amount” for their internationalization and gets majority stake in it writes Gruenderszene https://buff.ly/2mIlgMW
Online shop for glasses Brille24 buys Lensspirit, an online shop for contact lenses writes Deutsche Startups. Another attack on market leaders online and offline http://ow.ly/XmN930hO0Cy
Berlin-based FinTech startup Penta accuses TransferWise to have stolen its debit card branding writes EU Startups http://ow.ly/Z6n030hNYYP
Learn more about Get Penta here in our interview: https://www.startuprad.io/exclusive/exclusive-berlin-based-fintech-penta-goes-live-open-beta-re-thinking-banking/
Berlin based startup AUTO1 gets $558 million VentureCapital Softbank investment http://ow.ly/aye230hNRea After this investment Berlin-based startup AUTO1 is valued at 2,9 bn Euros (3.5 bn US$, 2.57 bn GBP) writes the German version of WIRED http://ow.ly/Z6WL30hNYDS
Handelsblatt has a great article in German about risk in 2018. Noteworthy for us and here: Taking down one cloud service provider could lead to an economic damage of 50 – 120 bn US$. That is approximately the economical damage of a hurricane like Sandy or Katrina http://ow.ly/OM9o30hSe8W
Also the WEF has its annual global risk report. Cybersecurity and cyber threats are high on their list. http://ow.ly/Xjbp30hYByK
Events / Competitions
We are media partner of http://www.startupjobsfair.co/ on May 25th in Berlin. Get your ticket now on your way to hunt for a startup job.
We will also be media partner of the Arctic15, the startup event of arctic startups in Helsinki on May 30th to 31st for Arctic and Baltic startups “Real Return on Investment – Arctic15” http://ow.ly/QgqL30id4mt
The Accelerator Frankfurt, an independent accelerator program, has opened its application for the next batch. They will start on March 12th. In the past many international companies from countries like Korea, Finland and Israel have been in the 4-month program to look in the German market and get their business started in lovely Frankfurt http://ow.ly/seh730hYBLJ
Stay Ahead Of The Curve
How a 22-Year-Old German Discovered the Worst Chip Flaws in History by Bloomberg http://ow.ly/hQ9430hUQjS it is here, because the person in question is a German, and he works for Google in Berlin.
We are in the most dangerous period in the business cycle https://buff.ly/2AJuIni
The SEC has the Munchees: Eating away at the “utility token” theory | The Venture Alley https://buff.ly/2AEThBW