Donut Crypto Raises $1.8 million for their Seed Round

More startups are stepping into the field of cryptocurrency to simplify cryptocurrency investing. The latest of these startups to do so is Donut. The company recently raised $1.8 million in a seed round led by Redalpine with other investment firms such as Tiny VC being a part of the round.

According to the founders of Donut, the firm has one simple goal in mind, to simplify the process of investing in the digital asset sector. The firm aims to make digital asset investing simple, engaging, and as interesting as possible.

The Spare Savings Sector
The startup enters a crowded “spare savings” sector filled with traditional finance companies such as Chime, Qapital, Digit, Acorns, Empower Finance, and Stash.

While a few these finance applications focus on standalone automatic savings, some of them focus on a hybrid of savings and automatic investing allowing individuals to slowly grow their wealth over time.

Spare Savings and Digital Assets
At the time of this writing, very few applications are present within the spare savings and automatic investing for cryptocurrency. As such, an investment from various angels and firms in Donut indicates a belief in the growth of the blockchain and digital assets over time, it indicates that digital assets will not just exist but will thrive and be a stable part of the new financial system.

The founders of the startup believe that “every stock, bond, currency, even real world asset will eventually become tokenized.”

The founders made certain to clarify that digital assets should be more than just cryptocurrencies over time, that a variety of digital assets such as ERC-721 non-fungible tokens should allow for the ownership of “real estate, art, and even classic cars.” The belief does not seem to be too far off the mark as a few firms have moved to conduct more tokenized real estate offerings and more real estate offerings seem to be present in the marketplace.

At present, several of these offerings seem to be focused solely on accredited and institutional investors, quite likely with good reason too. These new investments are a bit riskier as it is an emerging sector and more information should be present before all can have exposure to these investments.

While safety is a concern, to truly build an open financial system the mass investor base should have more exposure to these new investment vehicles, applications such as donut may be a step in the right direction.

Keep Up with Donut
Donut will allow individuals to automatically conduct spare savings operations and store their crypto assets in a trusted space. The application will launch early access to their “donut test kitchen” by the summer of 2019.