FIVE QUESTIONS TO ALEXANDRE CAZORLA AND LAMBERT DESPAUX PARTNERS AT SCHEME INVESTMENTS
They are our clients, our friends, good contacts or just people we met in the crypto-community. They have new vision, they are running great projects, they are developing new services or they just want to share their story. Havas Blockchain is interviewing key people of the blockchain ecosystem.
We are today with Alexandre Cazorla and Lambert Despaux Partners at Scheme Investment:
- Can you present your activities
Scheme Investments Aleph is a private collective investment scheme based in Malta with a presence in Paris and Tel Aviv. The Fund invests globally in ventures that develop solutions based on Distributed Ledger Technologies.
Concurrently, we are initiating the fundraising of our second fund, aimed at family offices and institutional investors and which will follow on our seed portfolio companies.
2. What is your view on the Israeli ecosystem?
Israel is one of the world’s best entrepreneurial ecosystem and a hotspot for blockchain innovation. Having a permanent base here in Israel has given us a unique insight into the country’s problem-solving culture and we are impressed by the quality of the projects that we receive on a regular basis. We believe this is partly due to the excellent infrastructure and initiatives put in place to promote risk taking and innovation such as the IDF’s 8200 or IBM’s Alpha Zone accelerators, to name but a few.
On the general public side of things, we believe that the Israeli blockchain community is maturing after the ICO bubble burst and we see many initiatives and great amount of energy deployed to educate the public and promote blockchain technologies. A good example of this is Blockchain’s Factory, a meetup group that regularly ranks first as the most active group in the “blockchain” category.
3. What are the specificities of your fund?
We believe that to be able to deliver sustainable performance we must follow a code of ethics and commitment by being fully dedicated to our portfolio companies and do everything to support them, either by bringing design partners to the table, organising roadshows and proactively looking for solutions by understanding the challenges.
By being 100% focused on Distributed Ledger Technologies we aim, in the long run, to have a measured impact on the modernization of the global economy, the advent of the Internet of value and ultimately the evolution of social structure.
4. How do you select the companies you invest in?
We have identified a few fields of interest where we believe distributed ledger technologies have the potential to solve notable inefficiencies. As such, our investment thesis covers the following topics:
1. Security tokens infrastructure
2. Blockchain interoperability
3. Decentralized finance
4. Cybersecurity applied to blockchain
To guarantee a continuous stream of quality investment opportunities, we establish partnerships with local and foreign cutting-edge incubators and leverage our network in the main European technology hubs.
Given that our Fund targets early stage projects, we focus on precisely defining the problem the company wants to solve and making sure the team can address it properly. We like niche projects led by entrepreneurs with previous proven experience in the field. A working MVP and advanced talks with design partners are additional green lights for us.
5. What is your view on the future of blockchain technologies?
The number of professionals working in the industry has grown dramatically over the past year and the volume of venture capital investment in blockchain projects in 2018 amounted to c. $5 billion, a 400% increase when compared to 2017. This figure represents the validation of the potential of the industry by investments professionals, an important milestone for the maturation of the ecosystem.
On the projects’ side, it is reassuring to see that the burst of the bubble has washed away opportunistic and unrealistic entrepreneurs. In a way, the promises of the projects of 2019 pale in comparison with those of 2017 but they now address real-world problems or inefficiencies that would greatly benefit from distributed ledger technologies.
Blockchain technologies have only been around for 10 years and the few real proofs of concepts outside of using them to support a digital currency have been developed in the last few years only. We believe that the technology and the regulation are maturing enough to support initiatives such as tokenization of securities on an institutional scale and this field might be the engine providing momentum to the next cycle.