We have passed on most tokenization companies we've seen, and usually for the same reason: they focus on the thin layer of tokenization itself versus the processes and ecosystem around it.
@tare_io is the exception, and today we're proud to share our investment in it. The company announced $13.25 million in seed financing led by Blockchain Capital, with participation from Strobe Ventures, Janus Henderson, Neoclassic Capital, the Avalanche Foundation, and The Venture Dept. The capital funds product development and hiring as Tare opens its platform to third-party lenders and institutional investors.
Credit today moves from investors to borrowers through a long chain of intermediaries. An originator underwrites the loan, a servicer collects the payments, a trustee holds the assets, an administrator produces the reporting, and an investor receives a loan tape weeks later that may not reconcile. Tare replaces that cumbersome process with a shared asset ledger and three applications sitting on top of it: a Loan Origination System that writes standardized loan data into the registry at the moment of underwriting, a Loan Management System that handles servicing, waterfalls, and securitization, and a Digital Investor Hub where institutional buyers analyze, purchase, monitor, and sell those assets.
I first met the CEO and Co-Founder,
@humancapitol, while doing diligence on Uniform Labs, a company in which we subsequently invested. When he later started Tare, he called us early. I’ve learned that many of the best relationships can come from diligence calls such as this. Diligence calls put you in rooms with people you have no other reason to be talking to, and some of those people turn into the best investments you make. The first venture investment I ever made also came out of a diligence call: I was speaking with Edward Woodford to get his read on a different company, and the conversation led to Nyca’s investment in his company, ZeroHash, in 2021.
We're proud to back
@humancapitol,
@lucasvo, and
@keerthimoudgal as they build the shared, intelligent ledger that connects loan originators and credit investors directly.
Here's why we invested in Tare:
theventuredept.vc/blog/why-w…
@Blattmachr @deptvc