Only accredited investors (4% of Canadian households) could invest in these digital, private market assets.

The new $100 million Digital Asset Fund from Exponential will change that preferential treatment. Now retail investors can invest even $500 in diversified digital assets. These are companies of the future that bet on the promise of emerging and distributed ledger technologies. These will transition the market to a new, open, and enhanced digital economy. (Intrado)

Exponential’s diversified digital asset fund invests in several types of fractionalized assets. These include real estate, currencies, precious metals, and venture capital.

Moreover, the fund invests in only those digital assets that are compliant with Canadian securities law.

Retail investors in the U.S. will get the opportunity to invest in the fund in the second half of 2020.

Exponential

James Wallace and James Tonn founded Exponential. It is a fully-integrated venture capital firm, providing seamless access to venture funding, investment banking, stock exchange listing, and trading capabilities, according to its website.

Exponential consists of four teams: Ventures (seed capital), Capital (advisory and growth capital) and Markets (issuance and secondary trading), and Funds (venture and digital asset funds).

Exponential was the sole seed investor in the world’s first federally approved digital security, FIRE by tribeOS. Thereafter, it was able to develop a blueprint that helps founders move from seed-stage to digital security offering quickly and in a manner that is compliant with regulations.

Exponential’s venture fund team invests in innovative founders, with a focus on disruptive technology solutions and distributed ledger technology.

How investors can buy into the fund

The Digital Asset Fund will be available to retail investors through FrontFundr – a Canadian equity crowdfunding platform and exempt market dealer. FrontFundr gives Canadian-resident retail and accredited investors the ability to review and invest in private companies on one digital platform.

Accredited investors can also participate directly through Exponential at the Invest page.

Those wishing to invest via their investment advisor or dealer can participate through DealSquare – a partnership between NEO and Silver Maple Ventures.

Management views

“The vision of our fund positions our investors for market disruptions. This could not be more relevant to us today than ever before as we face global disruptions due to COVID-19. The world is racing toward an unknown future, but what we do know is that Wall Street and Bay Street will look very different,” stated James Wallace, co-founder and co-CEO of Exponential. “We’re building a secure and efficient venture capital-style fund that supports the future economy. Together, we’re giving retail investors and investment advisors access to the digital economy, democratizing the playing field and promoting financial inclusion.”

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