Venture Capital Funding being disrupted by ICO's

Over the past week I've watched Bitcoin continually smash through barriers like $3,000, then 3,500, and now through $4,000. Bitcoin hit a high of $4,202 early this morning. On August 1st Bitcoin was just above, $2,700, and now it is sitting currently at $3925.86 per Coin Market Cap data. The price drive seems to be coming from more people accepting cryptocurreny as a legitimate asset. Cryptocurrency marketcap is currently $132,421,471,204 (as of writing this). Part of the reason for this drive is institutional investors are making their way into crypto as we speak. Goldman Sachs says "Don't ignore Bitcoin". This has been proven time and time again, every time someone has said Bitcoin was done, they were wrong. Weather it was after the Mt. Gox incident or when Mark Cuban called it a bubble back in June, yet announced he's investing in Unikoin, a esports betting website and now soon to be coin.

Over $1 billion has been raised through Initial Coin Offerings (ICO) this year. They have now raised more than Venture Capitalists (VC) this year, and the VC's can feel it. Per Goldman Sachs:

"Whether or not you believe in the merit of investing in cryptocurrencies (you know who you are) real dollars are at work here and warrant watching especially in light of the growing world of initial coin offerings (ICOs) and fundraising that now exceeds Internet Angel and Seed investing."

Here's the reality, crytocurrency is the future, and it is too late for SEC or anyone to stop the ICO train. This is disruption, technology is too fast. This is causing many prominent VC's to pressure the SEC to strike down ICO's. The SEC recently ruled The DAO as a security, after their ICO was hacked and $7 million in Ether was lost. Many suspect the SEC to strike down, so many ICO's have been excluding U.S. citizens or only allowing Accredited Investors from the U.S. VC can either cannabaize itself like Steve Jobs did when the iPhone came out, which eventually killed off the iPod, but he knew that if Apple didn't do it, someone else would. Or they can wait to it's too late and close up shop. Per Forbes: "The VC industry has benefited greatly from technology and the internet, so I see how the VC industry is going to get disintermediated, decentralized, disrupted, so I can sit around and wait for someone to disrupt ourselves, or we can choose to disrupt or cannibalize ourselves," said Brock Pierce." That article was from back in April, before VC got surpassed by ICO's.

VC can do what Blockchain Capital did, and issue shares in a fund form as a trade-able digital asset, or they can die off as the ICO train continues to run at full steam.

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