SINGAPORE / ACCESSWIRE / May 4, 2020 / The current global economic climate during the Covid-19 pandemic has spurred a domino effect of business paralysis. While lockdown measures and social isolation are the primary tools to fight the virus, much of the business world is inevitably slowing down and many companies are unwilling or unable to take risks. However, some "brave" venture capital funds are leading the way in turning these unprecedented challenges into opportunities.
As a direct result of the pandemic, many companies in the fintech space have focused on developing new and innovative technologies to meet specific business and consumer needs created by COVID-19. Whether in the field of telemedicine/telehealth, or contactless-tech which offers stores, hotels and many other businesses decimated a potential lifeline as global lockdowns begin to be slowly lifted. Many business commentators are convinced that fintech currently has a ‘once in a lifetime' economic opportunity.
Among others, blockchain technology is said to have a potentially invaluable and lucrative role to play in combatting Covid-19. It is poised to be the first line of defence through a network of connected devices that track disease outbreaks and dispatch alerts in real time. The use of blockchain would help prevent pandemics by enabling early detection of epidemics, fast-tracking drug trials, and focusing on the impact management of outbreaks and treatment.
While uncertainty and fear remain at the forefront of some investor world views, a few VC funds, along with a number of fintech incubators, are jumping at the chance to invest. PixieFund is one such example. The venture capital fund describes itself as, "passionate about helping early-stage start-ups with the potential for greatness and the will to develop life-changing innovations."
With branches in London and Singapore, PixieFund specialises in sourcing the most promising start-ups in the fintech industry and enabling the growth of an eco-system of innovation. Currently, PixieFund is aggressively growing and has announced that it is looking to fill positions on its prestigious advisory board.
An area of focus for investment by PixieFund is contactless payment systems. As people everywhere seek to reduce contact with others in order to reduce the rapid spread of Covid-19, contactless tech transactions become essential towards building the future of banking systems. PixieFund has said it recognises this imperative and is focusing on aiding start-ups looking to make technological advances in this field.
PixieFund isn't the only brave VC fund making daring investments. Several start-ups are utilising their technology for monitoring infected people and for contact tracing, during the pandemic - and VC funds are taking note.
Ibex Investors, a US-based investment firm recently invested in a mobility and traffic analytics company helping to detect large gatherings of people in an effort to contain Covid-19 outbreaks. Additionally, Ibex Investors recently made a seed-stage investment in a cloud security company just as the coronavirus was spreading from China to the rest of the world.
Qiming Ventures Partners is a third bold VC fund taking extraordinary risks during this uncertain time. Earlier this month, the Chinese and US-based firm announced the closure of a $1.1bn fund to invest in health and other technology start-ups. Quiming Venture Partners is looking to use this fund to develop crucial domain areas such as biopharma, medtech, diagnostics, health care services, information technology, artificial intelligence, enterprise services, consumer internet and e-commerce.
As the world continues to battle the coronavirus pandemic, these VC funds are giving start-ups the ability to play a significant role in providing the critical technology needed to keep businesses and the economy running whilst socially distancing. PixieFund, Ibex Investors and Qiming Ventures Partners are just three examples of funds investing in great entrepreneurs for the benefit of humanity.
SOURCE: Pixie Fund