The advent of Web3 has sparked a wave of curiosity and interest among people eager to make the most of decentralized technologies’ potential. Experts suggest that there should be more and better-quality Web3 education in schools and more support for Web3 founders, who often struggle more than founders of companies in traditional sectors.
Solving the problem with lack of support
Outlier Ventures, the leading global Web3 accelerator, announced the launch of the DePIN Base Camp accelerator program in collaboration with peaq, the layer-1 blockchain for real-world applications. The program will begin in May 2024 and last 12 weeks, with teams receiving up to $200,000 investment.
The new program will focus on supporting the best Web3 founders from around the world, with selected teams engaging in a variety of virtual workshops, mentoring sessions, and more, culminating in a virtual Demo Day.
Decentralized physical infrastructure networks (DePINs) use tokens to crowdsource real-world infrastructure, such as smart sensors or Web access points. DePIN projects are pushing through boundaries beyond digital resources and rapidly expanding into other areas such as telecom, technology, and more, all currently dominated by centralized companies.
Benjamin Meyer, Chief Product Officer of Outlier Ventures, said:
DePIN is breaking new ground, extending its reach from digital resources into data/ IoT and social platforms as it becomes more widely adopted. We are really excited to be collaborating with peaq to launch the DePIN Base Camp Accelerator program, bringing our collective expertise to support founders building scalable ventures and addressing real-world needs.
The DePIN Base Camp will bring together a group of Web3 founders of startups who are focused on unlocking the full potential of DePINs. The accelerator’s goal is to arm promising DePIN projects with all the know-how and support they need to provide a Web3 alternative to the incumbents in real-world industries, from data collection to distributed computation, connectivity, and more.
While the program is open to founders building across all blockchains, participating startups will also have the opportunity to leverage peaq’s DePIN-focused layer-1 blockchain, its Modular DePIN Functions, and its sister network krest.
Bespoke support customized to each startup’s needs
Throughout the duration of the program, Outlier Ventures and peaq’s team of in-house experts will provide bespoke support customized to each Web3 founder’s needs, supporting teams across segments including, but not limited to, data networks, decentralized digital infrastructure networks, data/(Internet of Things (IoT) and service networks and Infrastructure and tooling, AI-enabled UX and decentralized AI models.
The founding team behind peaq, who has been working on what is now known as DePINs since 2017, will also provide its expertise in various aspects of building and running a DePIN, from architecture to core business model and incentive mechanism. Max Thake, co-founder of peaq, commented:
DePIN is the most exciting Web3 sector. It’s what everyone’s been waiting for — real-world use. Blockchain-based applications that anyone can use and want to use. It’s promising to see well-respected, forward-thinking Web3 founders and investors in Outlier Ventures recognize its potential so early on. We’re thrilled to be collaborating on this and helping launch projects that will have a big, tangible, positive, real-world impact not long from now. peaq was purpose-built to power DePINs, so we’re looking forward to providing the best possible network for the next generation of visionary Web3 founders.
The teams of Web3 founders will receive support from subject matter experts on core aspects such as their product roadmap, community building, entity structuring, and beyond. The teams of Web3 founders will also have the support of a network of leading mentors in the Web3 industry, along with investors, to aid in their future fundraising focus. Finishing the program, founders will participate in a virtual Demo Day aimed at enhancing their visibility within the wider Web3 investor community.
Challenges facing Web3 founders
Web3 founders face a variety of challenges throughout their journey. With the right strategies, they can be overcome.
Raising capital
As a web3 founder, raising capital is the main step in starting and growing a business. You need capital to finance your operations, growth, and investments. Approaches include crowdfunding, bootstrapping, venture capital, angel investors, and bank loans.
With crowdfunding, web3 founders can raise small amounts from different people through a public token sale or online platforms.
Web3 founders can use credit, personal savings, and sales revenue to finance their business or ask family and friends for help.
Venture capital is funding from companies that invest in high-potential startups in exchange for tokens or equity.
No need for the service or product
As a web3 founder, finding a so-called product-market fit is imperative for a startup’s success. It is estimated that over a third of startups fail because there is no need for their product or service.
Product-market fit is the state in which the service or product fulfills demand or resolves a pain point.
Building a web3 team
Building a resilient team is one of the most critical issues web3 founders face. Research suggests that a fifth of web3 founders are unable to find the right co-founders or team members.
Web3 founders need to find skilled people who share their vision and are willing to work to realize the startup’s goals. They should focus on building a diverse team, be proactive in their search for the right people, invest in development, and communicate effectively.
Challenges in web3 education
Challenges in web3 education include fear of the risks inherent to crypto and web3, lack of motivation, and information overload. Sometimes, people simply do not know where to start.
Fear of the risks
Web3 founders are well aware that crypto investments come with inherent risks, such as hacks, scams, and fraudulent projects, which can lead to the loss of assets, frustration, and loss of meaning and purpose. Education provides web3 founders with the knowledge to identify vulnerabilities and make informed decisions.
Too much information
Exploring blockchain tech, securing private keys, and grasping the essence of web3 can be overwhelming because too much information is available. This overload can deplete one’s motivation to pursue education in web3. Many Web3 founders find it challenging to navigate the information and identify credible sources.
Not knowing where to start
One final significant challenge for Web3 founders is determining the starting point. The lack of trustworthy education providers and clear pathways complicates the process further.
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