“The Bitcoin Database” contains more than 300 bitcoin startups – currently the world’s biggest database in terms of # of bitcoin startups – and serves the purpose of helping entrepreneurs and investors get a quick overview, in order to further participate in building a viable bitcoin ecosystem.

Assuming everyone understands the concept of Bitcoin by now, I will dive right into it. If you want to read up on Bitcoin please visit The Bitcoin Wiki.

This open source database is open for everyone to use, and contributions, and can be accessed here: http://bit.ly/1lWzyzB (send a request and we will approve it). At this point it contains 318 briefly-assessed startups, but it is continuously updated with the help of the community. It’s worth mentioning that many of the startups are focusing on crypto currencies in general, and some also have operations that stretch beyond the crypto currency space (i.e. a couple of security companies with Bitcoin focus), but they all have a significant role within the bitcoin ecosystem. This blog post provides a snap shot of the current state of the ecosystem, and hopefully can encourage more bitcoin enthusiasts to participate in the development.

The picture below illustrates the data set after removing 50 companies that either are flagged as scam, very unstable or failed. A clear majority of the bitcoin startups have their origins in the US, but there are also a lot of bitcoin startups created in Europe and increasingly in Asia. 20 startups’ locations remain unidentified, which could potentially give Asia and Australia & Zealandia a stronger position as well.*(1)

test3

 

Funding

Today, 33 bitcoin startups have announced that they’ve raised 87,5 MUSD in venture, seed and crowdfunding. The vast majority of these (85%) are from the US, but we are also experiencing a significant activity in the Asian market (mainly China and Singapore). The (blank) category contains Dark Wallet, which was crowdfunded and is operated by a distributed network of developers.

detailed funding per region v2

 

Of all funding announced so far, about 67% has gone into five North American startups (Coinbase, Circle, Ripple, gyft and 21E6), where Coinbase alone has received 36% of the total global funding.

Detailed funding v2

The funded startups are mainly active in the sectors Exchanges, Wallet & Banking and Payment processing, but also Mining activities.

# funding per sector V3

Mind share development*(2)

Based on all startups in the database, the two sectors with highest mind share historically have been Exchanges and the Financial products & Lending. The Financial products & Lending sector has had the second highest mind share at about 25%. During peak months, Exchanges, Wallets & Banking and Payment Processing stands for more than 85% of all searches, while the Financial products & Lending sector is reduced from about 25% to below 10%, which could be seen as an indicator of interest/early adoption by the general public as the Financial products main purpose is speculation. I’s important to note that these illustrations have a bias towards consumer facing startups in countries where Google has high penetration as the illustrations are based on actual Google searches.

Mindshare v2

Top actors active in the sectors with highest mind share

  • Web wallets: Mt.Gox (Asia) (mostly known for being the 4th biggest exchange), Blochain.info (Europe)  and Coinbase (US) together have more than 2,6M wallets today (considering the numbers were announced before Christmas)
  • Exchanges: BTC China (Asia), btc-e (Europe) and Bitstamp (Europe) have together more than 2,5M bitcoins traded on their platforms the last 30 days. By adding the 4th biggest exchange Mt.Gox (Asia), we will reach a volume of almost 3,3M bitcoins (≈ 2,8 Bn USD) during the last 30 days. (*3)
  • Merchant integrations: according to each startup’s website, BIPS (Denmark), Coinbase (US) and BitPay (US) are together serving more than 54K merchants. BitPay and BIPS have also integrated with Shopify and other big eCommerce platforms, which potentially would add a significant number of merchants connected to these platforms within a near future.

top 3 top 3

 

The Bitcoin Database

This is a living data set and it is open for everyone to be used and to participate updating the data. The set is found here: http://bitcoin.knackhq.com/btcdb – access will be granted to everyone that sends a request

 

To know if Bitcoin/Crypto currencies are a bubble, or if this is the beginning of a new world – well, we probably need to wait another three years. The only thing we know is that we are so excited by all the opportunities that come with Bitcoin, so much so that we can’t sleep at night – and we assume that we are not alone. Gentlemen, place your bets.

 

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Joel Eriksson Enquist is an associate with the Stockholm based venture capital firm Creandum. Previously he has run and founded a number of companies and organizations, including a global tool provider for entrepreneurship support organizations, a consultancy firm and several non-profit organizations. He was also previously an EIR at Nebula Ventures and an advisor to U Ventures. At Creandum, among many things, he is leading the Bitcoin initiative.

Ludvig Öberg is an early bitcoin adopter and bitcoin angel, who has worked for companies such as SatoshiDice and Opencoin (Ripple), and is currently working as VP of Business Development at Safello – a Swedish based Fixed-rate exchange.

Creandum is the leading Nordic venture capital firm investing in innovative and fast-growing technology companies within consumer, software and hardware industries. The firm has over €250M under management and has over the last decade invested in more than 25 companies including Spotify, Wrapp, Cint, Vivino, iZettle and Videoplaza. For more information, please visit www.creandum.com.

 

 

*(1) As many Bitcoin startups are either active in several segments at the same time (e.g. Exchanges, Banking&Wallets and Payment Processing like coinbase), it wouldn’t make sense to force each company into a single sector. Startups that are active in several sectors are double counted in these charts.

*(2) As an indicator to understand how interest for each sector is developing, actual Google searches are used for every company from the data set in each sector.

*(3) Bitcoincharts.com 30d (09-Jan 2014)

Main Sources:

Crunchbase

Angel.co

Google trends + Adwords tools

Various BTC angels and community feedback (Reddit and BitcoinTalk)

Creandum Analysis