Launched less than three months ago, DIVI•hub, a platform focused on the creative economy that allows content creators and fans to share the profit of projects, has just announced a substantial pre-Seed funding of $2.4 million from the American investment holding Comstar International LTD.
The funds, which according to the startup represent 10% of DIVI•hub‘s total capital, will be invested in expanding the business to other segments of the creative economy, such as music and sports; and to debut in the US market; the approval process with the Securities Exchange Commission has already begun.
Founded by Brazilian entrepreneur Ricardo Wendel and the U.S. financial expert David Farron, DIVI•hub is betting on a new category of investment, passion investment – assets based on the passions of the audience.
Through an app, DIVI•hub allows crowdfunding in digital entertainment projects such as YouTube channels, games, music, and art, while creating opportunities for fans and brands to become investors, being compensated with part of the profits of the content creators.
For BRL 10, fans with no investment experience can become investors in their favorite YouTube, games, and music channels and be paid a portion of the profit and revenue of these businesses.
For creators, the money raised serves as funding for the creators’ projects. “Unlike what many investment funds are doing, with DIVI•hub the artist doesn’t have to negotiate his entire portfolio and can sell a portion of it, sharing the success with those who matter most: the fan,” explained Wendel.
To invest, fans acquire part of a digital asset, the so-called DIVI, and can be paid according to the results generated by the channel, game, or project. DIVIs are tokens that function as parts of the creators’ legal property, according to the fintech company. They are not cryptocurrencies; they carry Quantum Ledger technology, developed by Amazon Web Services, in which each token is completely traceable and each transaction has a unique mathematical code that enables transparency and security.
Also according to the entrepreneur, the startup today has ongoing projects with YouTubers, influencers, and gamers. “But the creative economy is much broader. There is room for projects involving art, fashion, sports, and especially music. The music vertical is our next big bet,” he added.