Crypto-centred startup Housecat has just closed a pre-seed round of €3 million. The funding was raised by BlueYard Capital, Inflection, Notation Capital and 3KVC as well as a number of angel investors and early backers of Ethereum Foundation and Polkadot.
Founded in 2021 with the boom of crypto, Housecat has a remote team spread across Helsinki, Zug and Berlin, and is building a platform that allows users to mirror the trades and DeFi actions of other participants by simply linking their wallet address with that of a more experienced asset manager.
According to the young startup, the crypto sphere has 260 million users worldwide and the crypto economy is standing at $2 trillion – a lucrative market to tap into. However, as commented by Housecat, the economic benefit from this ecosystem is not evenly distributed. This is where Housecat’s crypto asset management platform comes in. The platform, built for people from all walks of life, widens access to the best investment opportunities in crypto to those without expert knowledge.
Ville Vesterinen, CEO and Co-founder of Housecat, explained: “The majority of existing asset management products don’t work for the millions of users who will eventually take crypto into the mainstream. Our mission is to democratize the best crypto investment strategies for everyone, while at the same time empowering anyone to become an asset manager”.
Through the platform an interested co-investor needs to link their wallet, specify the investment amount and within seconds their money is managed alongside leading fund managers.
The best performing asset managers can leverage their skills to gain a following and earn performance fees from everyone who mirrors their wallet without the burden of actually managing anyone else’s funds. Asset managers can set their own performance and asset management fees.
“Anyone can be an investor regardless of how much or little they know about crypto. We have built Housecat for ourselves and for everyone like us who would like to tap into the incredible financial opportunity that is crypto – but who don’t have time or the technical expertise to follow all the different projects, tokens and investment opportunities.” Stated Vesterinen.
The protocol is now in beta-use, and this new funding will boost onboarding of the first investors, beginning in March 2022.