Timestamp, a U.S. crowdfunding platform, offers Bitcoin startups an alternative funding solution by connecting them to new investment opportunities.
In an effort to connect cryptocurrency ventures with new funding sources, a new crowdfunding site just for Bitcoin startups has been introduced in the US.
Accredited and non-accredited investors can participate in the program, which Timestamp announced on Nov. 25.
The company claims that, like with traditional equity investing, investors will acquire ownership holdings in backed enterprises.
“This structure ensures complete regulatory compliance while giving investors real equity ownership,” Timestamp CEO Arman Meguerian told Cointelegraph.
With no upfront costs and a 7% reward on successful campaigns, the site offers entrepreneurs an alternative to traditional venture capital funding.
To generate interest early on, projects can “soft launch” using a campaign page. They can move on with a full public launch after finishing the necessary legal documentation.
The Securities and Exchange Commission (SEC) regulates crowdfunding, especially where equity offers are involved. Public documents show that Timestamp has been registered with the agency since October 2023.
“We operate within a clear regulatory framework as a US-based platform registered with the SEC and FINRA, while giving founders access to a global network of investors who are interested in Bitcoin,” Meguerian stated.
Despite being centered on businesses that use Bitcoin, capital can only be invested using fiat money. According to reports, the business is collaborating with financial partners and regulators to incorporate Bitcoin payments by 2025.
Since the Ordinals protocol was introduced in 2023 and Bitcoin-based spot exchange-traded funds (ETFs) were approved in early 2024, the Bitcoin ecosystem has seen a surge in innovation.
Since then, the rise in entrepreneurs developing solutions for Bitcoin’s network has been aided by institutional investors’ interest in the cryptocurrency.
Five businesses are currently using the Timestamp website to raise money for their projects, which range from Bitcoin wallets and payments to a Bitcoin version of Pokémon Go.
Meguerian stated, “We’re building the infrastructure required for sustainable growth of the Bitcoin ecosystem.”
According to Galaxy Research, in the third quarter of 2024, cryptocurrency entrepreneurs raised $2.4 billion from venture capital firms, a 20% decrease from the previous quarter.
