IOTA Foundation, a non-profit foundation focused on distributed ledger technology (DLT) and permissionless ecosystem development, has announced a partnership with Liverpool-based cofoundery, Nova. Under this collaboration, the two companies will work together to increase the number of successful startups utilizing the next generation of Distributed Ledger Technology.
The programme will enable aspiring tech entrepreneurs, through funding and mentorship, to develop innovative new business models using IOTA technology. The partnership programme with Nova is now open for applications, and entrepreneurs are invited to apply at wearenova.co.uk/partnerships/iota.
The partnership aims to prevent the main reasons for startup failure and ensure that the full potential of distributed ledger technology can be realized. Focusing on the very early stage of startup development, IOTA will initiate a seed fund to would-be entrepreneurs harnessing the Tangle, its distributed ledger technology. Alongside this investment fund, entrepreneurs will also have access to an IOTA test lab to build and test their solutions, Nova’s mentoring programme, and its expert tech startup team consisting of 20+ startup consultants and a full range of digital disciplines.
Nova will be investing in ideas that prove user problem-fit. This investment will be matched by the IOTA grant programme if DLT is identified as the right solution. This increased runway will help the startups create viable businesses develop within the IOTA ecosystem.
Currently, IOTA’s ledger technology is being developed to power the future Internet of Things, enabling fast, feeless micro-transactions in a permissionless economy. The technology is currently being deployed within a range of industries, such as Digital Healthcare, Mobility, Global Trade and Supply Chains, Energy, Smart Cities and Telecommunications, Media & Technologies.
Nova will bring its expertise in partnering with aspiring entrepreneurs to co-found tech startups, which helps to eliminate many of the risks involved in starting a business. In addition to providing guidance across all areas of business, from market research to product development, Nova also provides the entrepreneur with a multi-disciplined team for the first year of the partnership. To date, Nova has co-founded over 80 tech startups. Over 50% of these are still in existence after three years, compared to the average startup three-year survival rate of just 10%.
David Sønstebø, co-founder and co-chair at IOTA, stated, ” The Tangle network overcomes many of the limitations and inefficiencies of blockchain technology, and as such, has huge potential to transform machine to machine transactions that are at the core of IoT. Our partnership with Nova is about enabling that innovation, by helping initial ideas come to fruition in the form of viable, scalable and sustainable business models.”
Andrew Dean, Head of Partnerships at Nova, added, “There are many hurdles to successfully launching a startup, and many of the most common mistakes occur very early on in the process. The fact that 90% of startups fail means that there are loads of brilliant business ideas out there that simply never materialise into anything meaningful, and a lot of talent and ambition is wasted.
“We want to make sure that IOTA entrepreneurs have the best possible chance of success. Some of the most exciting technological developments of our time are fueled by IOTA technology, and we’re looking forward to playing a part in bringing some of those ideas to market.”