Cryptopia

How Cryptopia deployed a thriving secondary market and streamlined their KYC

By launching the secondary market on our Presail platform, we've made all our project raises into tradable assets. Our trading fees are now a major revenue source. Additionally, we've integrated the Presail KYC and AML suite to ensure compliance when onboarding new investors.

Richie

COO, Cryptopia Group

About Cryptopia

Originally started as a YouTube channel, Cryptopia has evolved into a community-focused venture capital powerhouse. Operating out of the Utopia Eco Hotel in the Guatemalan jungle, they offer a picturesque backdrop for their digital media initiatives. Beyond their online presence, Cryptopia serves as a conduit for early-stage funding in Web3 startups, offering their community preferential access to market opportunities. Each potential investment goes through a thorough vetting process, ensuring only the most promising projects make it to their portfolio.

Name
Cryptopia
Presail products adopted
Compliance, Secondary Marketplace, Fundraising, Allocation Management, Token Distribution

Turning idle raises into continuous investment opportunities.

Before Presail: Relying on revenue from fundraising fees.

Cryptopia's multifaceted approach—from digital media to VC investments—posed unique challenges as they aimed for growth. As a lot of their revenue was generated through fundraising fees, they were aware of the imminent risk of revenue losses as a result of adverse market conditions. Simultaneously, they had to grapple with the intricate and time-intensive management of KYC & AML for their investors.

The turning point: A proactive step toward sustainable revenue.

The Cryptopia team recognized the importance of taking proactive measures to protect their business model against the volatile price fluctuations in the crypto market. Given the growth of their investment community, they also urgently needed a solution for their KYC management. To address these challenges, they turned to Presail, ensuring they met both regulatory requirements and revenue objectives.

The Presail solution: Introducing a new, scalable revenue stream.

By activating Presail’s embedded secondary market, Cryptopia unlocked a scalable revenue stream. This market allowed investors to buy and sell allocations from their past fundraising campaigns. As a result, they transformed their previously stagnant deal flow into continuous investment opportunities, earning a commission on every trade. With Presail's KYC solution, it became effortless for investors to join the platform.


"Our secondary market completely changed how we look at our project raises. Now, existing investors can flexibly buy and sell their allocations, and new investors can invest in past deals. We just receive trading fees automatically for every completed trade. The revenue scales, because there is always someone that wants to buy or sell their allocation, regardless of the market conditions" shares Richie, COO of Cryptopia.

The impact: Accelerated growth with compliance in tandem

Within months, Cryptopia saw a significant increase in revenue from secondary trading fees. The onboarding process, traditionally a bottleneck, was streamlined and became twice as fast. This surge in efficiency allowed Cryptopia to align their growth strategy with compliance goals, while also delivering a more flexible service to their investors.

"Presail has empowered us to grow without any hitches. Our investors love the flexibility and automation of the secondary market. They aren't locked to vesting schedules for several years anymore, concludes Richie. "And compliance is no longer a hurdle, but instead an integrated part of our scalable operations".

Why Presail was the right fit for Cryptopia
  • Secondary Market: A designated secondary market that monetized their project raises and introduced trading fees as a new revenue stream, enabling investors to buy and sell allocations.
  • Compliance Suite: A platform with embedded AML and KYC capabilities, that turned regulatory requirements into strategic advantages, and improved the onboarding for investors.

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