Question 1

What is Outshine Ventures?

Accepted Answer

Outshine Ventures is a global community of sophisticated investors that is actively investing in early-stage Web3 startups on a deal-by-deal basis.

Question 2

What Outshine Ventures is Not

Accepted Answer

Outshine Ventures is not a token fund, does not trade liquid assets, is not a custody provider, and does not issue NFTs or any other token.

Question 3

Who Can Participate?

Accepted Answer

US accredited investors, as defined by the SEC, and global individuals who meet their countries’ respective guidelines. All investors must pass KYC requirements via our fund admin.

Question 4

What Is the End-to-End Process?

Accepted Answer

The Managing Partners source and personally diligence deals via their global network of Web3 investors, founders, and experts. Once a lead VC is determined for the round, investors will be provided with all relevant information about the company, including our full diligence materials. Investors who would like to participate in the round will then notify us. After collecting interest, we will secure an allocation in the round. Once an amount has been secured, investors will use Allocations.com to view and sign legal documents and wire funds. First time investors will need to create an account with Allocations.com and complete the KYC and accredited investor attestation.

Question 5

What is the Typical Check Size for a Startup?

Accepted Answer

Target syndicated check sizes range from $50k to $250k per investment.

Question 6

What is the Minimum Check Size for Individual Investors per startup?

Accepted Answer

The minimum check size for each investor, per startup, is currently $5,000. This amount may vary depending on the level of interest per startup.

Question 7

Does Outshine Ventures Invest in Each SPV?

Accepted Answer

Yes, Outshine Ventures invests in every SPV alongside other investors in the syndicate.

Question 8

Who is the Fund Admin for the SPVs?

Accepted Answer

Sydecar handles the end-to-end SPV process, which includes: KYC (Know-Your-Customer) compliance, accredited investor attestation, providing K1s on an annual basis, and assisting with distribution of funds during a liquidity event. You can read more about Sydecar and its terms of service on its website.

Question 9

What Currencies are Accepted?

Accepted Answer

The fund admin accepts USD.

Question 10

Is There a Membership Fee?

Accepted Answer

There is currently no annual membership fee to join and participate in Outshine Ventures.

Question 11

What About Other Fees?

Accepted Answer

The cost for each SPV is set by our fund manager (Sydecar). It is based on the type of SPV, amount being raised, number of investors, and location of investors. Pricing will be disclosed to investors ahead of each SPV creation. These fees will be equally divided among all angel investors in the SPV, including Outshine Ventures itself.

For each SPV, Outshine Ventures is assigned 20% carry in the SPV, which is collected upon a liquidation event.

Question 12

What Are the Investment Types?

Accepted Answer

Standard equity and token warrants (when applicable).

Question 13

What is a Token Warrant?

Accepted Answer

A Token Warrant Side Letter gives investors rights to future tokens with the amount determined as a proportion (agreed upon with the company) to their equity investment in the company. (e.g., 1:1 ratio).

Question 14

How are Follow-On Startup Investments Handled?

Accepted Answer

Updated diligence materials will be sent to investors in the case of a follow-on opportunity. If an allocation is available to us and enough interest is collected, investors are able to participate in follow-on investments.

Question 15

What is the Exit Criteria for a Startup Investment?

Accepted Answer

Exit criteria varies per startup and is determined on several factors including the performance of the investment and availability of liquidity events. Check respective investment memos regarding potential exit opportunities prior to investing in a particular startup.

Question 16

How Do Liquidation Events Work?

Accepted Answer

Liquidation events and disbursements are handled by the fund admin. In the event of a positive disbursement, investors receive their initial capital investment and carry, proportionate to their ownership in the SPV, less Outshine Ventures’ 20% carry in the SPV.

What is Outshine Ventures?

What Outshine Ventures is Not

Who Can Participate?

What Is the End-to-End Process?

What is the Typical Check Size for a Startup?

What is the Minimum Check Size for Individual Investors per startup?

Does Outshine Ventures Invest in Each SPV?

Who is the Fund Admin for the SPVs?

What Currencies are Accepted?

Is There a Membership Fee?

What About Other Fees?

What Are the Investment Types?

What is a Token Warrant?

How are Follow-On Startup Investments Handled?

What is the Exit Criteria for a Startup Investment?

How Do Liquidation Events Work?

FAQs are subject to change.

Please contact an Outshine Ventures team member with any additional questions.

FREQUENTLY ASKED QUESTIONS

What is Outshine Ventures?

What Outshine Ventures is Not

Who Can Participate?

What Is the End-to-End Process?

What is the Typical Check Size for a Startup?

What is the Minimum Check Size for Individual Investors per startup?

Does Outshine Ventures Invest in Each SPV?

Who is the Fund Admin for the SPVs?

What Currencies are Accepted?

Is There a Membership Fee?

What About Other Fees?

What Are the Investment Types?

What is a Token Warrant?

How are Follow-On Startup Investments Handled?

What is the Exit Criteria for a Startup Investment?

How Do Liquidation Events Work?

FAQs are subject to change. Please contact an Outshine Ventures team member with any additional questions.

FREQUENTLY ASKED QUESTIONS

FAQs are subject to change.

Please contact an Outshine Ventures team member with any additional questions.