There is no doubt that technology is driving and ruling the world. For that reason, most founders are focusing their efforts on building the best tech possible capable of solving our current problems.
During pitching events, most investment managers not only demand a deck with thorough but summarized details about the proposed business model and financial projections but they also want to see the minimum viable product (MVP) of the start-up.
That is where the answer is. Most founders believe that their MVP is the app or website that deploys the first version of the solution they are trying to develop. The tech stack must undoubtedly be present, but there is an obvious and important piece of the puzzle that is often overlooked — the proof that the project can create, grow and bring together a large and enthusiastic community of followers.
If you think about it, it does make sense. In the end, one of the pillars of the Web3 world is the power of enabling people to interact with each other in a frictionless fashion and without the need for a middleman. So, the lack of engagement is an indicator of how the project has been perceived.
Now more than ever, we are becoming social creatures, and our voice counts and matters. That’s why having a large community does not only serve as a validation that the idea is sound, it also brings a valuable asset to the project. This is the capacity of having a large base of trusted stakeholders to whom you can bounce fresh ideas off about the product or service you are trying to develop.
When analyzing the project’s followers base, savvy VCs usually check which social media platform the project’s followers are using. It is true that crypto Twitter and Telegram channels are the preferred options for blockchain and Web3 projects in general. Developing a sizable and engaging community on sites such as LinkedIn is also important.
Join the community where you can transform the future. Cointelegraph Innovation Circle brings blockchain technology leaders together to connect, collaborate and publish. Apply today
This is because although Twitter can give exposure to a large number of like-minded people and Telegram allows you to share news and updates in a more controlled way, LinkedIn gives you access to a more organized network of stakeholders that you are going to need to drive your projects into a successful harbor.
You will need to demonstrate the ability to be able to engage with a wide range of people and organizations. The type of conversations and interactions that you held publicly are going to signal two things: firstly, how successful the value of your project has been perceived, and secondly, your skills as a founder, leader and CEO, along with your capacity to deal with a different number of situations.
Remember, when a VC invests in your project, they are betting on the quality of the project, but also, they need to be as sure as they can be that you are the right person for the job.
It is very important that when you budget for finance and tech resources, you do not forget to include a social media and community management expert as part of your core team. It could be the key differentiator in getting your project funded at the early stages and hence, increase its chances of success.
The information provided here is not investment, tax or financial advice. You should consult with a licensed professional for advice concerning your specific situation.
Carlos Gomez (CPA and Attorney) is the Chief Investment Officer of Belobaba Fund. A Hedge Fund focused in Web3 Technology and Digital Assets
This article was published through Cointelegraph Innovation Circle, a vetted organization of senior executives and experts in the blockchain technology industry who are building the future through the power of connections, collaboration and thought leadership. Opinions expressed do not necessarily reflect those of Cointelegraph.
Learn more about Cointelegraph Innovation Circle and see if you qualify to join