Y Combinator New China Division Head, Thinks Blockchain Is Good For Entrepreneurs
As part of its development and expansion efforts, YC or Y Combinator has recently announced that it is opening a new division in the Asian market, specifically in China. The new chief selected to head that particular division has already made the news with his bullish predictions for blockchain technology.
According to a recent report, the lead manager at China’s YC branch strongly believes that blockchain is going to bring substantial long-term benefits to many startups across the world and that is one of the reasons behind his bullish blockchain view.
YC is a seed investment company that is based in the renowned Silicon Valley region of the United States of America. The firm has incubated some of the leading players in the crypto world like Coinbase, as well as various other notable startups that include Reddit and Dropbox. In a recent post on their official blog, Y Combinator announced that it was entering the China market and that a former Baidu CEO, Lu Qi, would be leading that newly launched branch.
YC China + Qi Lu: https://t.co/UOiUe6hwSg
— Y Combinator (@ycombinator) August 15, 2018
Lu Qi was interviewed by 36kr, a popular media outlet, and said that YC had a couple of crucial goals already outlined. Some of the critical goals would be to offer startup incubation opportunities and R&D. Also, YC China will focus on talent training as well a creating a research laboratory. In the interview, Lu also talked about blockchain and said that he believed that its core characteristics of digitizing trust and secure data encryption meant that it has excellent potential in enterprise applications over the long-term.
He mentioned that blockchain is particularly interesting regarding how it provides kinds of incentives. Currently, there are only financial incentives like bonds and equity. However, blockchain technology has far better incentive mechanisms that will encourage user participation while lowering the entrepreneurship thresholds in many business areas.
Even though it is unclear how much percentage of Y Combinator’s focus will be on blockchain related firms, they have already proven to be very active in this industry space. Besides incubating Coinbase, the firm also backed CoinTracker, a crypto investment startup that successfully raised over one million dollars in seed funding.
Sam Altman, the YC president, was initially skeptical of the ICO market and referred to it as a bubble. However, he reiterated that the firm was dedicated to ensuring blockchain was integrated into its services to help in democratizing investment access.