With changes in ICO and other regulatory laws, what does that mean for startups and VCs in SEA?

It’s well known that nine out of ten startups fail within their first few years of incorporation. The second most cited reason for their failures, unsurprisingly, is the lack of capital.
One of the most common ways for startups to raise funds is through VCs, but with the growing streams of funding available, what does it mean for the relationship between startups and VCs?
Have these burning questions and more answered at Tech in Asia Singapore 2018’s panel on VCs, laws and legislation across SEA this May 15 at the Main Stage. The session brings together key stakeholders such as government agencies, investors, and startups, to discuss the roles of different players in the ecosystem, and how they can prepare themselves for the future.
Read on below to find out what we’ve got lined up for this panel session!
ICOs and the city
Initial Coin Offerings (ICOs) have become a popular fundraising option – in 2017 alone, blockchain companies raised close to US$4 billion, and the trend seems set to continue this year. With ICOs being a low-cost option because they do not require any intermediaries and take a shorter time compared to raising capital traditionally through VCs, what does the future hold for both startups and VCs?
Dive into topics such as:
- How do ICOs affect traditional VC funding?
- How much has raising funds from ICOs affect how startups see funding sources?
- Is investing in ICOs a stable form of investment?
- What do startups need to know before diving into ICOs?
How do investors work with ICOs?
With the rise of token sales, does it mean that VCs are no longer needed? Many have argued that while ICOs provide the capital, VCs are still the ones who bring connections, expertise and advice to the table. How can investors prepare themselves for the future to work alongside ICOs?
As ICOs are still relatively new, governments have intervened, setting regulations and safeguards for those investing in them. While China has proclaimed a blanket ban on ICOs, countries such as Singapore and Switzerland are popular countries for ICO campaigns.
The following topics will be covered:
- What other countries might be on track to ban ICOs in 2018?
- How will the ban of ICOs affect you and your portfolio companies?
- What actions should VCs take to prepare for the possibility of the ban of ICOs?
Laws and legislation across SEA
Government policies and regulations have a huge role to play in influencing the business environment and economic development of a nation. A stable political system can promote local businesses, and appeal to foreign investors, while tax increases may discourage investments. How do the laws and legislation across SEA affect startups, VCs and other stakeholders?
Glean insights as we discuss topics such as:
- The role of government regulators in shaping the VC landscape
- What are some laws that have recently passed/been lifted that affects you?
- How does the recent changes in laws affect startups?
Is there saturation of VCs in the landscape?
According to a report by KPMG, the last quarter of 2017 saw the third strongest quarter of VC investment of the decade, despite plummeting deal volume – are there too many VCs, chasing too few ideas? There has been criticisms that money is directed at successful companies scaling up, instead of going towards early stage startups that are in need of capital.
Last year, the Monetary Authority of Singapore (MAS) simplified the regulatory framework for VC managers in Singapore, and reduced compliance costs and time taken for the application process. By doing so, MAS hopes it will attract more VC managers and encourage them to play a greater role in supporting innovation and entrepreneurship.
Key takeaways include:
- How startups can do their due diligence to pick out good VC managers
- How does relaxed regulations affect existing VCs?
Gain more insights about VCs, laws and legislation at TIA SG 2018
Whether you’re from a startup, investment firm, government agency, or simply interested in the tech ecosystem, you’ll definitely walk away from this session with many learning points about the investment landscape in SEA.
With just a conference pass, you’ll also get to learn from industry speakers at our content stages, connect with senior decision makers, check out 250 unique startups at Startup Factory, and more. Get your passes by 15 April to enjoy 15 percent off (code: tiasg15)!
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Editing by Cheong Hui Min
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